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UNIVERSITY 

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THE 

BANKEUPTCT  LAW  ANNOTATED 


BEING  THE 

NATIONAL  BANKRUPTCY  ACT  OF  1898 

AS  AMENDED 

FEBRUARY  5th,  1903. 

THE 

ORDERS  IN  BANKRUPTCY,  THE  OFFICIAL  FORMS 
AND  THE  UNITED  STATES  EQUITY  RULES. 

WITH 

ALL  THE  DECISIONS  SINCE  1898,  DIGESTED  AND  ARRANGED 

UNDER  APPROPRIATE  SECTIONS  WITH 

FULL  CROSS-REFERENCES, 

AND 

ALL  FORMER  BANKRUPTCY  ACTS. 

Together  with 

A  LIST  OF  JUDGES,  CLERKS  AND  REFEREES,  WITH  THEIR 
JURISDICTIONS. 


ERRATA. 

Page  48.     Below  Section  4-b  insert  "as  amended  by  act  of  1903,  Section 
,  of  amended  act,  post." 

Page  114.     Section  18-a,  twelfth  line  from  top,  "in  equity"  should  be 
nthin  parenthesis. 

Page  127.     Strike  out  "c"  before  the  star  in  the  last  line  of  Section  2.3-b. 
Page  284.     Strike  out  last  line  "as  amended,  etc." 

Page  361.     Words  in  brackets  "See  General  Order  XXVII"  should  read 
See  General  Order  XXXVII." 

Page  508.     Under  "Sixth  Circuit"— "Terms"— in  place  of  "Chicaeo" 
sad  "Cincinnati."  * 


THE 

BANKRUPTCY  lAW  ANNOTATED 


BEING  THE 

NATIONAL  BANKEUPTCY  ACT  OF  1898 

AS  AMENDED 

FEBRUARY  5th,  1903. 

THE 

ORDERS  IN  BANKRUPTCY,  THE  OFFICIAL  FORMS 
AND  THE  UNITED  STATES  EQUITY  RULES. 

WITH 

ALL  THE  DECISIONS  SINCE  1898,  DIGESTED  AND  ARRANGED 

UNDER  APPROPRIATE  SECTIONS  WITH 

FULL  CROSS-REFERENCES, 

AND 

ALL  FORMER  BANKRUPTCY  ACTS. 

Together  with 

A  LIST  OF  JUDGES,  CLERKS  AND  REFEREES,  WITH  THEIR 
JURISDICTIONS. 


BY 

SIDNEY  CORNING  EASTMAN. 

Referbb  in  Bankruptcy  in  Chicago. 


CHICAGO  : 

Ti  H.  FLOOD  &  CO. 

1903. 


Copyrighted  1903 

BY 

Sidney  Corning  Eastman. 


1903 


s 


,--> 


\ 


*'The  primary  object  of  a  bankruptcy  law  is  to  secure  a 
just  distribution  of  the  bankrupt's  property  among  his 
creditors;  the  secondary  object  is  the  release  of  the  bank- 
rupt from  the  obligation  to  pay  his  debts."  Justice  Miller, 
in  Wilson  v.  City  Bank  (1873),  Sup.  Ct.  of  U.  S.,  17  Wall. 
(U.  S.),  473. 


H-^>05r>»sr  r^ry 


PREFACE. 


The  United  States  is  the  only  civiHzed  nation  which  has 
not  had  a  permanent  bankruptcy  code.  The  laws  of  1800, 
1841  and  1867  were  respectively  repealed  after  a  few  years 
trial.  The  defects  in  each  created  a  sentiment  of  opposi- 
tion which  finally  grew  sufficiently  strong  to  cause  its 
destruction.  Many  have  come  to  regard  such  legislation 
as  necessarily  short-lived  and  to  believe  its  object  should  be 
like  imto  the  old  Jewish  law,  a  periodical  discharge  for 
the  financially  crippled.  The  real  object  and  value  of 
bankruptcy  law  is,  however,  well  shown  in  that  early  case, 
an  extract  from  which  is  presented  on  a  preceding  page. 
The  administrative  feature  of  the  law  does  not  so  forcibly 
arrest  the  attention  of  the  casual  observer  as  does  the 
discharge  part,  yet  in  the  former  is  the  real  effectiveness 
and  utility  of  the  law  found. 

The  Referees  in  Bankruptcy  under  the  law  of  1898,  early 
in  their  experience,  came  together  in  convention  and  talked 
over  the  new  law,  compared  notes,  exchanged  ideas  and 
finally  appointed  committees  to  take  up  in  a  careful  and 
elaborate  manner  all  suggestions  that  were  offered  for  im- 
y  proving  the  law.  Their  labors  resulted  in  the  elaboration 
of  an  amendatory  act  which  they  presented  to  the  com- 
mittees of  the  Senate  and  House  of  Representatives.  Judge 
Hoar  of  the  Senate  and  Congressman  Ray  of  the  House 
(now  United  States  District  Judge  for  the  Northern  Dis- 
trict of  New  York),  cordially  received  these  suggestions 
and  invited  further  labors.  The  result  is  shown  in  the 
adoption  of  the  amendment  of  February  5,  1903,  which 
is  incorporated  in  this  volume. 


VI  PREFACE. 

It  is  apparent  that  the  interest  which  has  been  thus  dis- 
played and  the  education  which  the  country  has  had  on 
the  subject  of  bankruptcy  legislation  has  made  a  change 
in  public  sentiment,  and  it  is  confidently  asserted  by  those 
competent  to  speak  that  a  national  bankruptcy  law  has 
become  a  part  of  our  jurisprudence,  to  be  amended  and 
improved  from  time  to  time,  but  never  to  be  repealed. 

Every  effort  has  been  made  to  secure  accuracy  in  the 
book  and  to  avoid  errors.  For  those  errors  that  have 
crept  in,  the  stress  of  preparation  in  the  midst  of  exacting 
official  duties  will  in  a  measure  be  an  explanation. 
The  author  invites  criticisms  and  suggestions  from  the 
users  of  this  book. 

The  author  desires  to  make  recognition  of  the  valued 
assistance  of  Mr.  Carl  V.  Wisner  of  the  Chicago  bar,  in 
the  preparation  of  this  work. 

Sidney  Corning  Eastman. 
Chicago,  March,  1903. 


i 


SCOPE  NOTE. 


This  volume  is  the  outgrowth  of  a  system  of  note  taking 
made  necessary  in  practice.  It  contains  a  brief  notation 
of  every  decision  which  has  found  its  way  into  print  since 
the  law  of  1898  came  into  being,  down  to  March  15,  1903. 
It  does  not  claim  to  be  a  text  book,  but  contains  the  features 
of  an  annotated  statute  and  an  index  digest. 

It  has  been  the  effort  to  collect  all  the  cases  on  the  sub- 
ject of  bankruptcy  decided  since  1898.  To  that  end  a 
careful  search  of  all  the  reports,  State  and  Federal,  has  been 
made.  This  has  been  done  by  going  to  the  reports  them- 
selves. The  collections  of  bankruptcy  cases  in  the  National 
Bankruptcy  News  (cited  N.  B.  N.)  and  in  the  American 
Bankruptcy  Reports  (cited  A.  B.  R.)  have  been  carefully 
examined,  and  all  cases  foimd  therein  digested  and  arranged 
imder  appropriate  sections.  One  himdred  and  fifty  cases 
or  more  have  been  fotmd  and  digested,  not  now  found 
in  any  series  of  reports  devoted  to  bankruptcy  decisions. 

The  purpose  has  been  to  give  the  lawyer  the  use  of  all 
his  Hbrary,  and  with  that  end  in  view  reference  has  been 
made  to  the  various  reports  in  which  each  case  is  reported. 
Owing  to  the  large  niimber  of  cases  and  the  fact  that  they 
cover  every  portion  of  the  United  States,  the  court,  the 
district  and  the  date  of  the  case  has  been  given  so  that  the 
lawyer  can  see  at  a  glance  whether  a  case  has  been  decided 
and  is  controlling  in  his  district  and  circuit.  A  list  of  the 
judicial  officers  of  the  coiuts  of  bankruptcy  has  been  added, 
as  this  information  has  not  been  found  in  any  other  publica- 
tion, and  the  numerous  inquiries  therefor  seemed  to 
justify  its  publication.     It  has  been  obtained  by  personal 


VU  SCOPE    NOTE. 

correspondence  with  the  clerks  and  referees  in  the  various 
districts. 

In  carrying  out  the  original  plan  of  placing  imder  each 
section  or  paragraph  all  the  decisions  relating  to  it,  with  a 
short  note  of  the  substance  of  the  case,  it  became  apparent 
towards  the  close  that  by  reason  of  the  increasing  number 
of  cases  some  sections  were  overloaded.  It  was  too  late 
to  attempt  a  cirrtailment,  and  it  was  deemed  better  to 
carry  out  the  plan  irrespective  of  the  growing  bulk.  A 
difficulty  arose  which  is  apparent  in  that,  owing  to  the 
somewhat  incoherent  shape  which  the  act  assumed  from 
the  manner  of  its  production,  many  sections  cross  and  inter- 
fere with  each  other,  which  resulted  in  an  embarrassment 
in  correctly  placing  the  notes. 

The  purpose  has  been  to  give  the  lawyer  who  has  occa- 
sion to  consider  questions  of  bankruptcy  law  a  complete 
working  tool  containing  all  the  statute  and  case  law. 


TABLE  OF  CONTENTS. 


Sec.  Paob. 

8    U.  S.  Constitution 1 

CHAPTER   I. 

definitions. 
Sec. 

1  Meaning  of  Words  and  Phrases 3 

CHAPTER  II. 

CREATION    OP    COURTS    OP    BANKRUPTCY  AND    THEIR    JURISDICTION. 

2  Jurisdiction  of  Coxirts  of  Bankruptcy 11 

CHAPTER  III. 

BANKRUPTS. 

3  Acts  of  Bankruptcy 32 

4  Who  May  Become  Bankrupts 47 

5  Partners    51 

6  Exemptions  of  Bankrupts   58 

7  Duties  of  Bankrupts 69 

8  Death  or  Insanity  of  Bankrupts 75 

9  Protection  and  Detention  of  Bankrupts 76 

10  Extradition  of  Bankrupts 78 

11  Suits  by  and  against  Bankrupts 78 

12  Compositions  when  Confirmed 85 

13  Compositions,  when  Set  Aside 89 

14  Discharges,  when  Granted  89 

15  Discharges,  when  Revoked 103 

16  Co-debtors  of  Bankrupts 104 

17  Debts  not  AflEected  by  a  Discharge 105 

CHAPTER  IV. 

COURTS  AND  PROCEDURE  THEREIN. 

18  Process,  Pleadings,  and  Adjudications 113 

19  Jury  Trials , 119 

20  Oaths,  Affirmations   121 

21  Evidence 122 

22  Reference  of  Cases  after  Adjudication 125 

23  Jurisdiction  of  United  States  and  State  Courts 126 

24  Jtirisdiction  of  Appellate  Courts 132 

25  Appeals  and  Writs  of  Error 135 


X  TABLE  OF  CONTENTS. 

Page. 

26  Arbitration  of  Controversies 139 

27  Compromises    139 

28  Designation  of  Newspapers 139 

29  Offenses     140 

30  Rxiles,  Forms,  and  Orders 142 

31  Computation  of  Time 142 

32  Transfer  of  Cases 143 

CHAPTER  V. 

OFFICERS,  THEIR  DUTIES  AND  COMPENSATION. 

33  Creation  of  two  OfiBces 145 

34  Appointment,  Removal,  and  Districts  of  Referees 145 

35  Qualifications  of  Referees 146 

36  Oaths  of  Office  of  Referees 147 

37  Number  of  Referees 147 

38  Jurisdiction  of  Referees 147 

39  Duties  of  Referees 149 

40  Compensation  of  Referees 152 

41  Contempts  before  Referees 154 

42  Records  of  Referees 156 

43  Referee's  Absence  or  Disability 156 

44  Appointment  of  Trustees 156 

45  Qualifications  of  Trustees 158 

46  Death  or  Removal  of  Trustees 158 

47  Duties  of  Trustees 158 

48  Compensation  of  Trustees   162 

49  Accotmts  and  Papers  of  Trustees 164 

50  Bonds  of  Referees  and  Trustees 164 

51  Duties  of  Clerks 167 

52  Compensation  of  Clerks  and  Marshals 168 

53  Duties  of  Attorney-General 169 

54  Statistics  of  Bankruptcy  Proceedings 169 

CHAPTER  VI. 

CREDITORS. 

55  Meetings  of  Creditors 170 

56  Voters  at  Meetings  of  Creditors 172 

67  Proof  and  Allowance  of  Claims 173 

58  Notice  to  Creditors   185 

59  Who  may  File  and  Dismiss  Petitions 187 

60  Preferred  Creditors 192 


TABLE   OF   CONTENTS.  XI 
CHAPTER  VII. 

ESTATES. 

Page. 

61  Depositories  for  Money 204 

62  Expenses  of  Administering  Estates 204 

63  Debts  which  may  be  Proved 205 

64  Debts  which  have  Priority 7  210 

65  Declaration  and  Payment  of  Dividends 217 

66  Unclaimed   Dividends    219 

67  Liens     220 

68  Set-offs  and  Counter  Claims 238 

69  Possession  of  Property 239 

70  Title  to  Property   241 

71  Clerks  to  index  Petitions  and  issue  Certificates  of  Search 255 

72  Referees  and  Trustees  to  receivie  no  greater  compensation  than 

Act  provides    255 

Time  Act  goes  into  effect 251 

Time  Amendment  goes  into  effect 256 

General  Orders  in  Bankruptcy 257 

Official  Forms  in  Bankruptcy T  285 

United  States  Equity  Rules 361 

Amendment  of  Feb.  5,  1903 397 

Report  of  House  Committee 7 406 

Former  Bankruptcy  Statutes 423 

Judicial  Officers  of  Courts  of  Bankruptcy^ 506 


TABLE  OF  CASES  DIGESTED. 


A. 

Ablowich.  In  re  (1900),  S.  Dist.  N. 

Y.,  Brown,  J.,  102. 
Ablowich  V.  Stursburg  (1901),  C.  C. 

A.,  2nd  Cir.  98. 
Abrahamson    &    Bretstein,    In    re 

(1898),   N.   Dist.   N.  Y.,    Moss, 

R.,  148,  186. 
Abraham  Steers  Lumber  Co.,  In  re 

(1901),  S.  Dist.  N.  Y.,  Thomas, 

J.,  180. 
Abram,  In  re  (1900),  N.  Dist.  Cal., 

DeHaven,  J.,  159. 
Abraham,  In  re  (1899),  C.  C.  A.,  5th 

Cir.,     McCormick,  J.,   18,   129, 

135. 
Adams,  In  re  (1899),  N.  Dist.  N.  Y., 

Moss,  R.,  236,  251. 
Adler  v    Jones  (1901),  C.  C.  A.  6th 

Cir.,  Day,  J.,  87,  88. 
Adams  Sartorial  Co.,  In  re    (1900), 

Dist.  Colo.,  Hallett,  J.,  16. 
Adler.  In  re  (1900),  W.  Dist.  Tenn., 

Hammond,  J,  88. 
Aiken,   Lambert  &  Co.  v.   Hoskins 

(1901),  N.  Y.  Sup.  Ct.,  Hough- 
ton, J.,  99. 
Alfred,  In  re    (1899,)  W.  Dist.  Mo., 

Mott,  R.,  59. 
Altman,  In  re  (1899),  N.  Dist.  N.  Y., 

Hotchkiss,  R.,  52. 
Altman,  In  re  (1899),  N.  Dist.  N.  Y., 

Coxe  J.,  51. 
Albert   Goodman   Shoe   Co.,    In   re 

(1899),   E.   Dist.   Pa.,   McPher- 

son,  J.,  238. 
Alderson,  In  re  (1900),  Dist.  W.  Va., 

Jackson,  J.,  205,  216. 
Allen,  In  re  (1899),  N.   Dist.  Cal., 

DeHaven,  J.,  30,  207. 
Allen   V.    French    (1901),    Sup.    Ct. 

Mass.  Barker, J.,  195. 
Alexander,   In  re   (1900),   N.   Dist. 

Ga.,  Newman,  J.,  181. 
American  Brewing  Co.,  In  re  (1902), 

C.  C.  A.,  7th  Cir.,  Bunn,  J.,  7, 

44,  118. 
Anonymous,  In  re  (1899)  .Dist.Wash- 

ington,  Hanford,  J.,  167. 
Anson,  In  re  (1900),  N.  Dist.  Cal., 

•DeHaven,  J.,  215. 
Ankenny,  In  re  (1899),  N.  Dist.  la., 

James,  R.,  174. 


Ankenny,  In  re  (1900),  N.  Dist.  la., 

Shiras,  J.,  70,  177. 
Anderson,  In  re  (1900),  Dist.  S.  C, 

Brawley,  J.,  25. 
Anderson,   In  re    (1900),   W.    Dist. 

Pa.,  Buffington,  J.,  195. 
Anderson,  In  re  (1901),  Dist.  Mass., 

Lowell,  J.,  67. 
Andrea,  In  re  (1902),  E.  Dist.  Wis. 

Seaman,  J.,  221. 
Andrews  v.  Mathes  (1902),  Sup.  Ct. 

Ala.,  Harlson,  J.,  253. 
Arkell,  In  re  (1901),  Sup.  Ct.  N.  Y., 

Ingraham,  J.,  106. 
Amett,  In  re  (1901)  ,|W.  Dist.  Tenn., 

Hammond,  J.,  28,  157,  241,  247. 
Arington  v.  Arington   (1902),    Sup. 

Ct.  N.  C,  Fuchs,  J.,  111. 
Arrington  Co.,  H.  J.,  In  re   (1902), 

E.  Dist.  Va.,  Waddill,  J.,  89. 
Armour  Packing  Co.  v.  Brown  (1899) 

Sup.  Ct.  Minn.,  2. 
Arnold,    In   re    (1899),    Dist.    .Ky., 

Evans,  J.,  188,  233. 
Arnold   v.    Trevianns    (1903),    Sup. 

Ct.  N.  J.,  Jenks,  J.,  222. 
Asbury  Park  Bldg.,  &c.,  v.  Shepard 

(1901),  Sup.  Ct.  N.J. ,33. 
Atkins  V.  Wilcox  (1900) ,  C.  C.  A.,  8th 

Cir.,  McCormick;  J.,  175. 
Audubon  v.  Shufeldt  (1901),  Sup.  Ct. 

U.  S.,  Gray,  J.,  47,  175. 
Averill,  In  re  (1899),  K.  Dist.  Ohio, 

Remington,  K.,  204,213, 

B. 

Baker,  In  re  (1899),  E.    Dist.  Tex., 

Hurley,  R.,  107,  210. 
Baker, /«   re    (1899),    Dist.     Kan., 

Hook,  J.,  77. 
Barker,  In  re   (1899),   Dist.   Minn., 

Lochren,  J.,  153,  218. 
Barrows,  In  re  ,  W.  Dist.  Va.,  Paul, 

J.,  244. 
Basch,  In  re  (1900),  S.  Dist.  N.  Y., 

Brown,  J.,  WS. 
Baudouine,  In  re  (1899),  S.  Dist.  N. 

Y.,  Brown,  J.,  244. 
Baudouine,  In  re  (1900),  C.  C.  A., 

2nd  Cir.,  Wallace,  J.,  20,  85 
Baumann,   In  re    (1899).    W.   Dist. 

Tenn.,  Hammond,  J.,  8. 


XIV 


TABLE  OF  CASES  DIGESTED. 


The  numbers  refer  to  the  pages. 


Baker-Ricketson  Co.,  In  re  (1899), 

Dist.  Mass.,  Lowell,  J.,  10,  32, 

37,  39,  42. 
Barden,  In  re  (1900),    Dist.  N.  C, 

Purnell.  J.,  54,  92,  168. 
Bardes    v.    Hawarden    Natl.    Bank 

(1900),  Sup.  Ct.  U.  S.,  Gray,  J., 

18,  20,  127,  138. 
Bates,    In    re     (1900),     Dist.    Vt., 

Wheeler,  J.,  254. 
Bartlett   v.    United   States    (1901), 

C.  C.  A.,  9th  Cir.,  Gilbert,  J., 

141. 
Baumann  v.  Feist  (1901),  C.  C.  A., 

8th  Cir.,  99. 
Baer  v.  Grell  (1901),  Municipal  Ct. 

of  New  York,  Joseph,  J.,  105. 
Bank  v.  Craig  Bros.  (1901),  W.  Dist. 

Ky.,  Evans,  J.    50. 
Bank  of  Commerce  v.  Elliott  (1901), 

Sup.  Ct.  Wis.,  Marshall,  J.,  84, 

131,  134. 
Barrett,  In  re  (1901),  S.  Dist.  N.  Y., 

Wise,  R.,  180,  200. 
Bashline,  In  re  (1901),  W.  Dist.  Pa., 

Buffington,  J.,  180. 
Baber,/n  re   (1902),  W.  Dist.  Tenn., 

10,  Hammond,  J.,  159. 
Barker,  In  re  (1901),  N.  Dist.  la., 

Shiras,  J.,  153. 
Barnes  Mfg.  Co.  v.  Norden  (1902), 

Sup.  Ct.  N.  Y.,  Dixon,  J.,  109. 
Baird,  In  re   (1902),   E.   Dist.   Pa., 

McPherson,  J.,  20. 
Barber  V.  Franklin  (1902),  Sup.  Ct. 

N.    Y.,    Gildersleeve,    J.,    230, 

253. 
Bashinski  v.  Talbot  (1902).  C.  C.  A., 

5th  Cir.,  Shelby,  J.,  69. 
Bank  v.  Iron  Co.    (1899),  N.   Dist. 

Ga.,  Newman,  J.,  128,  226. 
Babitt  V.  Kelly  (1902),  Ct.  App.  Mo., 

Good.  J..  194. 
Balk  V.  Harris  (1902).  Sup.  Ct.  N. 

C.  Furches.  J.,  111. 
Barclay  v.  Barclay  (1900),  Sup.  Ct. 

111.,  Phillips,  J..  111. 
Baemcroflf,  In  re  (1902) ,  E.  Dist.  Pa., 

McPherson,  J.,  115. 
Bailey  v.   Glover   (1874),   Sup.   Ct. 

U.  S.,  1. 
Bates   Machine   Co.,   In   re    (1899), 

Dist.  Mass.,  Lowell,  J.,  48. 
Baginsky  &  Co.,   In  re   (1899),   E. 

Dist.  La.,  Gurley,  R.,  164. 
Beck,    In   re    (1899),    S.    Dist.    la.. 

Woolson,  J.,  213. 
Beddingfield,  In  re  (1899),  N.  Dist. 

Ga.,  Newman,  J.,  189. 


Becker,  In  re  (1899),  E.    Dist.  Pa.; 

Dunn,  R.,   162. 
Bear  &  Co.  v.  Chase  (1900),  C.  C.  A.,' 

4th  Cir.,  Waddill,  J..  84,  234. 
Becker,  In  re  E.  Dist.,  Pa.,  McPher- 
son, J.,  16,  17. 
Beers  v.  Hanlin  (1900),  Dist.  Ore.; 

Bellinger,  J.,  34,  210. 
Bemer,  H.  D.  In  re   (1899),  N.  Dist. 

O.,  Remington,  R.  14. 
Bean,     In    re     (1900),     Dist.     Vt., 

Wheeler,  J.,  60,  71,72. 
Beauchamp,  In  re  (1900),  Dist.  Md., 

Morris.  J.,  64,  67. 
Berkowitz, /n   re     (1900),    S.    Dist. 

N.  Y.,  Wise,  R.,  102. 
Bemer,  In  re   (1900),   S.   Dist.   O.,' 

Remington,  R.,  96. 
Becker,  In  re  (1901) ,  N.  Dist.  N.  Y.; 

Coxe,  J.,  71,  99. 
Bemis,  In  re' (1900),  N.  Dist.  N.  Y.," 

Coxe,  J.,  98. 
Bender,  In  re  (1901),  W.^Dist.  Ark.," 

Rogers,  J.,  18,  22. 
Beaver  Coal  Co..  In  re  (1901),  Dist. 

Ore.,  Bellinger,  J.,  237. 
Beck,    In   re.    (1901),   Dist.    Mass.; 

Lowell.  J.,  54,  73. 
Benedict  v.  Duhel  (1902),  Sup.  Ct. 

N.  Y.,  McLaughlin,  J.,  193. 
Beaver  Coal  Co.,  In  re  (1902),  C.  C. 

A.,  9th  Cir.,  Gilbert,  J.,  237. 
Beerman,  In  re  (1901).  N.  Dist.  Ga.; 

Newman,  J.,  72,  84. 
Beach  v.  Macon  Grocery  Co.  (1902), 

C.  C.  A.,5thCir..  17,21. 
Beak,  In  re  (1902),  Dist.  Ind.,  Baker, 

J.,  68. 
Beals,  In  re  (1902) .  Dist.  Ind.,  Baker, 

J.,  231. 
Beebe,  In  re  (1902),  E.  Dist.   Pa.; 

McPherson,  J.,  94. 
Bellah.    In    re    (1902).    Dist.    Del., 

Bradford,  J. .9,  33.  117,  190. 
Benedict.  In  re  (1902).  Sup.  Ct.  N. 

Y.,  Houghton,  J.,  245. 
Berry  v.  Jackson   (1902),   Sup.   Ct. 

Ga.,  Lumpkin,  J.,  107. 
Belding,  In  re  (1902),  Dist.    Mass.; 

Lowell,  J.,  194. 
Bernhardt  v.  Curtis  (1902),  Sup.  Ct. 

La.,  Provosky,  J.,  104. 
Bingham,   In  re   (1899),   Dist.   Vt.; 

Wheeler.  J..   210. 
Bindseil  v.  Smith   (1900),  Ct.  App. 

N.  J.,  Dixon,  J.,  80. 
Bindseil  v.  Coshion  (1900),  Sup.  Ct. 

N.  J.,  132. 


TABLE  OF  CASES  DIGESTED, 


XV 


The  numbers  refer  to  the  pages. 


Big  Meadows  Gas  Co.,  7«  re  (1902), 

W.    Dist.    Pa.,    Buffington,   J., 

189. 
Binders?;.  McDonald,  E.Dist.  Wis.,  1. 
Blumberg,    In   re  (1899),    E.     Dist. 

Tenn.,  Clarke,  J.,  109. 
Blakely   v.    Booneville    Natl.   Bank 

(1899),    Dist.  Ind.,     Baker,  J., 

229. 
Blakely   v.   Booneville  Natl.     Bank 

(1899),   Dist.    Ind.,   Baker,  J., 

199. 
Blocy.  in  re  (1901),  C.  C.  A.,  2nd 

Cir.,  Shipman,  J.,  199. 
Blair,  In  re  (1900),  S.  Dist.  N.  Y., 

Brown,  J.,  13,  52,  196. 
Blankfein,  In  re  (1899),  S.  Dist.  N. 

Y.,  Coxe,  J.,  72. 
Blankfein,    In   re    (1899),   S.    Dist. 

N.  Y.,  Brown,  J.,  157. 
Blair,    In    re    (reOl),    Dist.    Mass., 

Lowell,  J.,  236. 
Block,  In  re  (1901),  C.  C.  A.,  2nd 

Cir.,  Shipman,  J.,  8,  35,  100. 
Blumberg  v.  Bryan  (1901),  C.  C.  A., 

5th  Cir.,  McCormick,  J.,  176. 
Bloomingdale  v.  Empire  Rubber  Mfg. 

Co.,    (1902).    E.    Dist.    N.    Y., 

Thomas,  J.,  20.  241. 
Blake  et  al.  v.  Francis  Valentine  Co. 

(1898),  N.  Dist.  Cal.,  Hawley, 

J.,  4.  79.  253,  254. 
Boasberg.  In  re  (1899),  N.  Dist.  N. 

Y..  Hotchkiss,  R.,  100. 
Booth,  In  re  (1899),  N.  Dist.  Ga.. 

Upson,  R.,  81. 
Bozeman,  In  re  (1899),  S.  Dist.  Ga., 

Myrick,  R.,  245. 
Booth,    In    re    (1899),    Dist.    Ore., 

Bellinger,  J.,  246. 
Boston,   In  re   (1899),   Dist.    Neb., 

Munger,  J.,  63. 
Botts  V.  Hammond  (1900),  C.  C.  A., 

4th  Cir..  Simonton,  J..  220. 
Boardman,  In  re  Dist.  Mass.,  Lowell, 

J..  248. 
Booneville   Natl.    Bank   v.    Blakely 

(1901).  C.  C.  A..  7th  Cir.,  Jen- 
kins. J..  17,  18.  136. 
Bolinger,  In  re  (1901).  W.  Dist.  Pa., 

Buffington,  J.,  62. 
Boorstin,    In    re    (1902),    N.    Dist. 

Ga.,  Newman,  J..  61. 
Boyd  V.  Glucklich  (1902) ,  C.  C.A.  .8th 

Cir..  26. 
Boyd  V.    Lemon    Gale   Co.    (1902), 

C.  C.  A.,  5th  Cir.,  Pardee,  J., 

10,  34,  35. 


Bondenote  v.   Hannamann    (1902),' 

Sup.    Ct,    la.,    Waterman,    J., 

195. 
Bray  et  al.  v.  Cobb  (1898),  E.  Dist. 

N.  C,  Pumell,  J.,  45,  119,  120. 
Bray  v.  Cobb  (1900),  E.  Dist.  N.  C, 

PumeU,  J.,  108,  152,  146,  156, 

174. 
Brooks,    In   re    (1899),    Dist.    Vt.; 

Wheeler,  J.,  22. 
Bragasa,  In  re  (1900),  N.  Dist.  Tex.; 

Meek,  J.,  102. 
Bracken  v.  Milner  (1900),  W.  Dist. 

Mo.,  PhiUips,  J.,  110. 
Bragasa  v.  St.  Loviis  Cycle  Co.  (1901), 

C.  C.  A.,  6th  Cir.,  Pardee,  J., 

99. 
Brewster,    In  re    (1902),    N.    Dist. 

N.  Y.,  Smith.  R..  175. 
Brice.   In  re    (1899),    S.    Dist.    la.; 

Woolson,  J.,  13. 
Brice,   In  re    (1900),   S.    Dist.    la.; 

Woolson,  J.,  44,  47. 
Brice,   In  re   (1900),   S.   Dist.   la.; 

Shiras,  J.,  102. 
Brinckmann,  In  re  (1900),  Dist.  Ind.; 

Baker,  J.,  188. 
Brown.  In  re  (1899).  W.  Dist.  Pa.; 

Buffington,  J.,  62. 
Brown,  In  re  (1899),  W.  Dist.  Pa.; 

Ransom,  R.,  62. 
Brogdbine,  In  re,  Dist.  Mass.,  Lowell, 

J.,  242. 
Brooke,    In   re    (1900),    Dist.    Ore.; 

Bellinger,  J.,  79. 
Brooks,  In  re  (1900),  E.  Dist.  Pa.; 

McPherson,  J.,  157. 
Browne,  In  re  (1900),  E.  Dist.  Pa.; 

McPherson,  J.,  20. 
Brown  v.  Case  (1901),  Sup.  Ct.  Mass.; 

Lathrop,  J.,  221,  235. 
Brown,  In  re  (1901),  C.  C.  A.;  6th 

Cir.,  117. 
Brown,  In  re  (1901),  E.  Dist.  Mo.; 

Rogers.  J.,  188. 
Brown  v.  Barker  (1902).  Sup.  Ct.  N. 

Y.,  Hiscock,  J.,  244. 
Bruss-Ritter  Co.,  In  re   (1898),  E. 

Dist.  Wis.,  Seaman,  J.,  2,  17, 

252 
Brumelkamp,  In  re  (1899),  N.  Dist. 

N.  Y.,  Stone  R.,  71,  116,  264, 

286. 
Brumelkamp,  In  re  (1899),  N.  Dist. 

N.  Y.,  Coxe,  J.,  72,  121,  147, 

286. 
Bnmdage.  In  re   (1900),  N.    Dist. 

la.,  Shiras,  J.,  74. 


XVI 


TABLE  OF  CASES  DIGESTED. 


The  numbers  refer  to  the  pages. 


Brundin,  In  re  (1901),  Dist.  Minn., 

Lochren,  J.,213. 
Bryan  v.  Bemheimer  (1901),  U.  S. 

Sup.  Ct.,  Gray.  J.,  20,  22,  40. 
Bryant,    In     re    (1900),    E.    Dist. 

Tenn.,  Clarke,  J.,  96. 
Bryant  v.  Kinyon  (1901),  Sup.  Ct. 

Mich.,  Hooker,  J.,  110. 
Brice  v.  Guaranty  Co.  (1901),  C.  C. 

A.,  6th  Cir.,  Severens,  J.,  176. 
Bryan  v.  Madden  (1902),  Sup.  Ct.  N. 

Y.,  Russell,  J.,  199. 
Buntrock  Clothing  Co.,  In  re  (1899), 

N.  Dist.  Ia.,Shiras,  J.,21. 
Burnett    v.    Morris    Mercantile    Co. 

(1899),    Dist.    Ore.,    Bellinger, 
'     J.,  129. 
Buntrock  Clothing  Co.,  In  re  (1899), 

N.  Dist.  la.,  Shiras,  J.,  79,  82. 
Bushnell  (1899),  Dist.  N.  J.,  Parker, 

R.,97. 
Buelow,  In  re  (1899),  Dist.  Wash., 

Handford,  J.,  63. 
Burrus,  In  re  (1899),  W.  Dist.  Va., 

Jackson,  J.,  214,  223. 
Burka,  In  re  (1900),  E.  Dist.  Mo., 

Adams,  J.,  245. 
Burka,  In  re  (1901),  W.  Dist.  Tenn., 

Hammond.  J.,  76,  115,  117,  209. 
Bumham  v.  Pidcock  (1900).  N.  Y. 

Sup.  Ct..  McAdam,  J.,  106,  109. 
Burk  V.  RoUinson  (1901),  Sup.  Ct. 

R.  I.,  58. 
Burke,   In  re,    (1901)    N.    Dist.  O., 

Remington,  R.,  213. 
Burlington  Malting  Co.    (1901),   E. 

Dist.    Wis.,    Seaman,    J.,    188. 
Bussey,  In  re  (1901),  W.  Dist.  Mo., 

Crittenden,  R.,  254. 
BuUis,  In  re  (1902).  Sup.  Ct.  N.  Y., 

Springer,  J.,  109. 
Bullock,  In  re  (1902).  E.  Dist.  N.  C, 

Pumell,  J.,  179. 
Burrell  &  Com,  In  re  (1903),  S.  Dist. 

N.  Y.,  Adams,  J.,  45. 
Byrne  &  Co.,  In  re  (1899),  S.  Dist. 

la.,  Shiras,  J.,  225. 


C. 


Camp.  In  re  (1899),  N.   Dist.   Ga., 

Newman,  J..  59. 
Carpenter  Bros.  v.  O'Connor  (1899), 

O.  Cir.  Ct..  2nd  Dist..  Wilson, 

J.,  15,  79,  80. 
Carter,   In  re   (1899), S.    Dist.   Ga., 

Myrick,  R.,  130. 
Carter  7^.  Peoples  Natl.  Bank  (1900), 

Sup.  Ct.  Ga.,  Little,  J.,  81. 


Carter  v.  Goody ktmtz  (1899),  Dist. 

Ind.,  Baker,  J.,  198. 
Cain,  F.  F.,  In  re  (1899),  N.  Dist. 

111.,  Eastman,  R.,  49,  190. 
Cameron,  &c..  In  re  (1899),  W.  Dist. 

Mo.,  Phillips,  J.,  49. 
Carmichael,  In  re  (1899).   N.   Dist. 

la.,  Shiras.  J..  51. 
Carmichael,  In  re  (1901),  Dist.  Ky., 

Evans,  J.,  65. 
Carter  v.  Hobbs  (1899),  Dist.  Ind., 

Baker,  J.,  128,  129. 
Caroline  Cooperage  Co.,  In  re  (1899), 

E.  Dist.  N.  C,  Pumell,  J.,  30, 

163,  212,  215. 
Campbell,  In  re  (1900),  E.  Dist.  Wis., 

Seaman,  J.,  215. 
Cashman,  In  re  (1900),  S.  Dist.  N.  Y.,' 

Brown,  J.,  97. 
Carley,  In  re  (1902),  C.  C.  A.,  3rd 

Cir.,  Gray,  J.,  92. 
Carley,    In    re    (1901),    Dist.    Ky., 

Evans,  J.,  123.  124. 
Carley.    In    re    (1902),    Dist.    Ky., 

Evans,  J.,  123. 
Cabus,  In  re  (1901),  S.  Dist.  N.  Y., 

Pendleton.  R..  99. 
Carpenter,  In  re  (1901).  C.  C.  A.,  5th 

Cir.,  McCormick,  J.,  67. 
Case,    In   re    (1901),    N.    Dist.    O., 

Remington,  R.,  245. 
Caswell,  In  re  (1901),   Dist.   R.   I.,' 

Borrows,  R.,  64. 
Carver  &  Co.,  In  re  (1902),  E.  Dist. 

N.C.,  Pumell,  J.,  44,  275. 
Carleton,  In  re  (1902).  Dist.  Mass. 

Lowell,  J.,  53. 
Carling    v.    Seymour    Lumber  Co., 

(1902,)  C.C.  A.,  5th  Cir..  Shelby, 

J.,  1.  17.255. 
Campbell  v.  Thompson  (1902),  Sup. 

Ct..  Colo..  Thompson.  J..  244. 
Carr.  In  re  (1902).  E.  Dist.  N.  C, 

Pumell.  J..  160. 
Chemical     Natl.     Bank    v.     Mayer 

(1899).  E.  Dist.  N.  Y..  Thomas 

J.,  51. 
Challoner.    In   re    (1899).    N.    Dist. 

111.,  Kohlsaat.  J..  105. 
Chambers,  Calder  &  Co.,  In  re  (1900) 

Dist.  R.  I.,  Brown.  J.,  81,  82. 
Chattanooga   Natl.    Bank   v.    Rome 

Iron    Co.    (1900),    Cir.    Ct.,    N. 

Dist.  Ga..  Newman.  J.,  221. 
Chatfield  v.   O'Dwyer   (1900),  C.  C. 

A.,  8th  Cir.,  136. 
Chicago-Joplin     Lead     Co.,     In     re 

(1900),  W.   Dist.  Mo.,  Philips, 

J..  61. 


TABLE  OF  CASES  DIGESTED. 


XVU 


The  numbers  refer  to  the  pages; 


Christensen;  In  re  (1900),  N.  Dist. 

la.,  Shiras,  J.,  120,  238. 
Christensen,   In   re    (1900),  N.  Dist. 

la.,  James,  R.,  183,193,  201. 
Chrystal  Spring  Bottling  Co.,  In  re 

(1900),  Dist.  Va.,  Wheeler,  J., 

19,  237,  244. 
Chapman,    In   re    (1900),    N.    Dist. 

Ill.,Kohlsaat,J.,38,  247. 
Chicago  Title  &  Trust  Co.  v.  Roblins 

Sons  (1901),  Cir.  Ct.,  N.  Dist. 

111.,  Kohlsaat,  J.,  37. 
Chism  V.  Citizens  Bank  of  Clarks- 

dale    (1900),    Sup.    Ct.     Miss., 

Terrell,  J.,  199,  200. 
Chase,   Ex   parte    (1900),    Sup.    Ct. 

S.  C,  Pope,  J.,  232. 
Chambers,  Calder  &  Co.,  In  re  (1901) , 

Dist.  R.  I.,  Littlefield,  R.,  184, 

273. 
Chappeli,  John,  In  re  (1901),  E.  Dist. 

Va.,  Waddill,  J.,  7. 
Champion,  In  re  (1902) ,  S.  Dist.  Ala., 

En-in,  R.,  197. 
Chequasset  Lumber  Co.,  In  re  (1901) , 

S.  Dist.  N.  Y.,  Adams,  J.,  190. 
Chesapeake  Oyster  &  Fish  Co.,  In 

re  Dist.   Colo.,   Hallett,  J.,   50. 
Chaplin,  In  re   (1902),   Dist  Mass., 

Lowell,  J.,  182. 
Chauncey    v.    Dyke    Bros.     (1902), 

C.  C.  A.,  8th  Cir.,  Thayer,  J.,  21. 
City  Natl.  Bank  v.  Doolittle  (1901), 

C.  C.  A.,  5th  Cir.,  Toulmin,  J., 

87.  88. 
City    Natl.    Bank   of   Greenville   v. 

Bruce    (1901),    C.    C.    A.,    4th 

Cir.,  Waddill,  J.,  176. 
Citizens  Bank  v.  W.  C.  DePauw  Co. 

(1901),    C.     C.    A.,     7th    Cir., 

Grosscup,  J.,  33,  36. 
Claflin  Co.  v  Eason,  Trustee  (1899), 

E.  Dist.  Tex.,  White,  R.,  107, 

216. 
Cliffe,  In  re   (1899).   E.   Dist.   Pa., 

McPherson,  J.,  28,  39,  115. 
Clute,   In   re    (1899),    Superior    Ct. 

San  Francisco,  Coffey,  J.,  240. 
Clark  V.    American   Mfg.,   &c.,   Co. 

(1900),    C.     C.    A.,    4th    Cir., 

Waddill,  J.,  40. 
Clisdell,  In  re  (1899),  N.  Dist.  N.  Y., 

Moss,  R.,  15. 
Clisdell,  In  re   (1900),  N.   Dist.   N. 

Y..Coxe,J.,  14,92. 
Clisdell,  In  re   (1899),   N.   Dist.   N. 

Y.,  Moss,  R.,  15. 
Claiborne.  In  re  (1901),  S.  Dist.  N. 

Y.,  Brown,  J.,  77,  84. 


Claff,    In    re    (1901),    Dist.    Mass.; 

Lowell,  J..  106. 
Clark,   In  re   (1901),   Dist.   Wash., 

Hanford,  J.,  52. 
Clemmons  v.  Brinn  (1901),  Sup.  Ct. 

N.  Y.,McAdam,  J.,  106. 
Cleland   v.    Anderson    (1902),    Sup. 

Ct.  Neb.,  Pound,  J.,  249. 
Coe  Powers  et  al..  In  re  (1899),  N. 

Dist.    O.,   Remington,    R.,    10, 

173. 
Coflfman,  In  re  (1899),  N.  Dist.  Tex., 

Meek,  J.,  28,  60. 
Cohn,  In  re  (1899),  W.   Dist.  Mo., 

Rathbum,  R.,  99. 
Collier,  In  re  (1899),  W.  Dist.  Tenn., 

Hammond,  J.,  167. 
Collisi,  In  re  (1899),  W.  Dist.  Mich., 

Blair,  R.,  159. 
Continental    Natl.    Bank    v.    Katz 

(1899),  Superior  Ct.  Cook  Co., 

lU.,  Ball,  J. ,79. 
Columbus   Electric   Co.   v.   Worden 

(1899),  181. 
Coffin,  In  re  (1899),  E.  Dist.  Texas, 

Dillard,  R.,152, 163, 181. 
Collins,  In  re   (1899),   S.   Dist.   la., 

Sawyer,  R.,  235. 
Cobb,  In  re  (1901),  E.  Dist.  N.  C, 

Pumell,  J.,  277. 
Cobb,  In  re  (1899),  E.  Dist.  N.  C," 

Pumell,  J.,  228. 
Cohn,  In  re  (1899),  S.  Dist.    N.  Y., 

Brown,  J.,  131. 
Cornell,  In  re  (1899),  S.  Dist.  N.  Y., 

Brown,  J.,  140. 
Cox  V.  Wall  (1899),  W.  Dist.  N.  C, 

Ewart,  J.,  128. 
Cooks  V.  Peoples  Natl.  Bank  (1901), 

N.  Y.  Sup.  Ct.,  Houghton,  J., 

195. 
Collingnon,  In  re   (1900),   N.   Dist. 

N.  Y.,  Hotchkiss,  R.,  206. 
Columbia   Real   Estate    Co.,    In   re 

(1900),    Dist.    Ind.,    Baker,   J., 

42,  115. 
Conhaim,  In  re  (1900),  Dist.  Wash- 
ington, Hanford,  J.,   159,   179. 
Covirrier  Journal,  &c.,  Co.  v.  Schaafer 

Meyer  Ptg.  Co.  (1900),  C.  C.  A., 

6th  Cir.,  Lurton,  J.,  134,  136, 

183 
Covington,  In  re   (1901),  W.   Dist. 

N.  C,  Pumell,  J.,  150. 
Cogley.  In  re  (1901),  N.  Dist.   la., 

Shiras,  J.,  159. 
Cohn,   In  re   (1900),   E.   Dist.   Mo., 

Adams,  J.,  123. 


XVlll 


TABLE  OF  CASES  DIGESTED. 


The  numbers  refer  to  the  pagas. 


Cole.  In  re  (1901).  W.  Dist.  N.  Y., 

Hazel,  J.,  84. 
Cooke,  In  re  (1901),  S.  Dist.  N.  Y., 

Brown,  J.,  91. 
Corbett,  In  re  (1900),  E.  Dist.  Wis., 

Seaman,  J.,  241. 
Corn,   In  re   (1901).   N.   Dist.   Ga., 

Newman,  J.,  101. 
Cobb  V.  Overman  (1901),  C.  C.  A., 

4thCir.,  Waddill,  J.,206. 
Coe,  Powers  &  Co.,  In  re  (1901),  C. 

C.  A.,  6th  Cir.,   Day,  J.,  216. 
Collins  V.    McWalters    (1901),   Sup. 

Ct.,    N.    Y.,    Gildersleeve,    J., 

94,  105,  109. 
Colwell  V.  Tinker  (1901),  N.  Y.  Sup. 

Ct.,  Gildersleeve,  T,  108. 
Cohn,  In  re  (1901),  Dist.  Ore.,  Bel- 
linger, J.,  99. 
Cobb,   /«r^.,E. Dist.  Mass.,  Farmer, 

R.,  123. 
CoUer,   In   re    (1901),    Dist.    Mass., 

Lowell,  J.,  65. 
Columbia   Bank  v.   Birkett    (1901), 

Sup.  Ct.  N.  Y.,  Clark,  J.,  110. 
Columbia    Real    Estate   Co.,    In   re 

(1902),  C.  C.  A.,  Tth  Cir.,  Sea- 
man, J.,  115,  133. 
Colwell  V.  Tinker  (1902),  N.  Y.  Sup. 

Ct.,  Ct.  App.,  Bartlett,  J.,  105. 
Colton   Export   &    Import    Co.,    In 

re     (1902),     S.     Dist.     N.     Y., 

Adams,  J.,  180. 
Countryman,  In  re  (1903),  W,  Dist. 

la.,  Shiras,  J.,  107. 
Coddington,  In  re  (1902),  W.  Dist. 

Pa.,  Archbald,  J.,  46. 
Conrader,    In   re    (1902).    W.    Dist. 

Pa.,  BuflFington,  J.,  57. 
Costello    V.    Harbaugh    (1898),    Ct. 

App.  111.,  2. 
Crenshaw,    In    re,    S.    Dist.    Ala., 

Toulmin,J.,93. 
Cronin,   In  re   (1899),   Dist.   Mass., 

Lowell,  J.,  188. 
Crooks  V.  Peoples  Natl.  Bank  (1899), 

Sup.    Ct.    N.    Y.,    Herrick,   J., 

193  195 
Crow,  In  r^'(1902),  W.  Dist.  Ky., 

Dean,  R.,  217. 
Craft  V.  Morrow  (1902),  Penn.  Co. 

Ct.,  Taylor,  J.,  222. 
Cronson,    In   re    (1899),    W.    Dist. 

Pa.,  216. 
Criterion  Watch  Case  Mfg.  Co.,  In 

re  (1902),  S.  Dist.  N.  Y.,  Wise, 

R.,  89. 
Crocker,  In  re  (1902),  S.  Dist.  N.  Y., 

Wise,  R.,  176. 


Crist,  In  re   (1902),  S.   Dist.  Ala.; 

Toulmin,  J.,  93.  95. 
Curtis.   In  re   (1899),   S.   Dist.   111., 

Allen,  J. ,2,  41,253. 
Curtis.  In  re  (1899),  C.  C.  A.,  7th 

Cir.,  Jenkins.  J.,  189. 
Cunningham  v.  Bank  (1900).  C.  C. 

A.,   6th  Cir.,   Lurton,  J.,    150, 

276. 
Curtis,  In  re  (1900),  C.  C.  A.,  7th 

Cir.,  Jenkins,  J.,  136,  214. 
Currier,  In  re  (1901),  W.  Dist.  N.  Y., 

Hotchkiss,  R.,  83. 
Gushing,    In    re    (1901),    W.    Dist. 

N.  Y.,  Moss,  R.,  209. 
CuUinane  v.  State  Bank  of  Waverly 

(1902),    Sup.    Ct.    la.,    Bishop, 

J.,  228. 

D. 

Damon,    In   re,    W.    Dist.    N.    Y.; 

Hazel,  J.,  169. 
Davidson,  In  re  (1901),  S.  Dist.  la.,' 

McPherson,  J.,  195. 
Daniels,  In  re  (1901),   Dist.   R.  I.,* 

Brown,  J. ,56,  211,  217. 
Davis,   In   re    (1901),    Dist.    Mass., 

Lowell,  J.,  246. 
Davis   V.    Stevens    (1900),   Dist.    S. 

Dak.,  Carlin.  J.,  32. 
Davis.  In  re  (1901),  S.  Dist.  N.  Y., 

Adams,  J.,  246. 
Davis,  In  re  (1903),  W.  Dist.  Tex.," 

Maxey.  J.,  244. 
Davis  V.  Bohle  (1899),  C.  C.  A.,  8th 

Cir.,  Thayer,  J.,  2,  17.  40,  229, 

240. 
Dawley,    In   re    (1899),    Dist.    Vt.," 

Wheeler,  J.,  65. 
Daubner,  In  re  (1899),  Dist.  Ore.; 

Bellinger,  J.,  65. 
Darwin.  In  re  (1902),  C.  C.  A..  6th 

Cir.,  Day,  J.,  231. 
Day  V.  Beck,  &c.,  Co.  (1902).  C.  C. 

A.,    5th    Cir.,    Shelby,    J.,    40, 

118,  120. 
Dayville  Woolen  Co.    (1902).   Dist. 

Conn..  Townsend.  J.,   158. 
DeLong.  In  re  (1899),  N.  Dist.  N.  Y., 

Moss.  R..  80. 
DeLue,   In  re   (1899),   Dist.   Mass., 

Lowell,  J.,  235. 
DeLeeuw,  In  re  (1899),  Dist.  N.  Y., 

Brown,  J.,  97. 
Deuel,  In  re  (1900),  W.  Dist.  Mo., 

Philips.  J..  27. 
Demarest,  In  re  (1901),  Dist.  N.  J., 

Kirkpatrick,  J.,  59. 


TABLE  OF  CASES  DIGESTED. 


XIX 


The  numbers  refer  to  the  pages. 


DeLand  v.  Niptur  &  Chany  Bank 

(1903),  Sup.  Ct.  la.,  Demarest, 

J..  194. 
Dean  v.  Justices,  &c.   (1899),  Sup. 

Ct.  Mass.,  Holmes,  J.,  91. 
Dews,    In    re    (1899),    Dist.    R.    I., 

Brown,  J.,  100. 
Dews,    In   re    (1900),    Dist.    R.    I., 

Brown,  J.,  96,  98. 
Denning,  In  re  (1902),  Dist.  Mass., 

Lowell,  J.,  56. 
Dean  v.   Plane  et  al.    (1902),   Sup. 

Ct.    111.,    Cartwright,    J.,    193. 
Dillon,   In   re   (1900),   Dist.    Mass., 

Lowell,  J.,  183. 
Dillon,  In  re  (1900),  N.  Dist.  Cal., 

DeHaven,  J.,  61. 
Diller,  In  re  (1900),  N.  Dist.  Cal., 

DeHaven,  J.,  64. 
Dinglehoef   Bros,   In   re    (1901),   E. 

Dist.  N.  C,  Pumell,  J.,  14. 
Distler   v.    McCauley    (1901),    Sup. 

Ct.   N.  Y.,  Woodward,  J.  105. 
Dixon,  In  re   (1899),   S.   Dist.   la., 

Woolson,  J.,  90. 
Diack,  In  re  (1899),  S.  Dist.  N.  Y., 

Brown,  J.,  249. 
Diack,  In  re  (1900),  S.  Dist.  N.  Y., 

Brown,  J.,  27. 
Dietz,  In  re  (1899),  S.  Dist.  N.  Y., 

Brown,  J.,  103. 
Dickinson,  In  re   (1902),   W.   Dist. 

N.  Y.,  Moss,  R.,  197. 
Dickson   v.    Wyman  (1901),   {In   re 

Jourdan),    C.    C.    A.,    1st   Cir., 

Putnam,  J.,  201. 
Dixon, /n    re    (1902),  N.  Dist.  Cal., 

DeHaven,  J.,  153. 
Doyle  V.  Hall  (1899),  Appellate  Ct. 

111.,  1st  Dist.,  Horton,  J.,  232. 
Doty,  In  re  (1900),  S.  Dist.  N.  Y., 

Dexter,  R.,  184. 
Dow,    In   re    (1900),    S.    Dist.    la., 

McPherson,  J.,99. 
Dobson,  In  re  (1899),  N.  Dist.  111., 

Kohlsaat,  J., 
Dougherty  &  Co.,  In  re  (1901),  N. 

Dist.  Ga.,  Newman,  J.,  237. 
Dole,  In  re  (1901) ,  Dist.  Vt.,  Wheeler, 

J.,  247. 
Dreebin,  In  re  (1900),  N.  Dist.  Tex., 

Meek,  J.,  214. 
Dressel   v.    No.    State   Ltunber   Co. 

(1902^,  E.  Dist.  N.  C,  Pumell, 

J.,  14,  179. 
Drake,    In   re    (1902),    Dist.    S.    C, 

Brawley,  J.,  50. 
Duell,  In  re  (1899).  W.  Dist.  Mo., 

Philips,  J.,  155. 


Durham,    In    re    (1900),    E.    Dist. 

Ark.,  Trieber,  J.,  20. 
Duncan  v.  Landis  (1901),  C.  C.  A.,' 

3rd  Cir.,  Gray,  J.,  7,  39,  120, 

134. 
Dtinlap  V.  Thomas  (1902),  Sup.  Ct. 

Washington,  White,  J.,  233. 
Duncan,  In  re  (1899),  N.  Dist.  Tex., 

Meek,  J.,  213. 
Dunnigan  Bros.,  In  re  (1899),  Dist. 

Mass.,  Lowell,  J.,  53,  58. 
Duguid,  In  re  (1899),  E.  Dist.  N.  C, 

Pumell,  J.,  47. 
Dunbar  v.  Dunbar  (1901),  Sup.  Ct. 

Mass.,  Barber,  J.,  208. 
Duffy,   In  re   (1902),   Middle   Dist. 

Pa.,  Archbald.  J.,  69. 
Dundas,    In   re    (1901),    Dist.    Vt., 

Wheeler,  J.,  200. 
Duplan  Silk  Co.  v.  Spencer  (1902), 

C.    C.   A.,    3rd   Cir.,   Gray,   J., 

221    245. 
Dupree,'/»  re   (1899),  E.   Dist.   N. 

C,  Pumell,  J.,  44.  188. 
Durham,   In  re   (1902),   Dist.   Md., 

Morris,  J.,  130,  132. 
Duble,  In  re  (1902) ,  Middle  Dist.  Pa., 

Archbald,  J.,  208. 
Dvorak,  In  re  (1901),  N.  Dist.  la,, 

Shiras,  J.,  185. 
Dwyer,  In  re  (1902),  Dist.  N.  Dak. 

Amidon,  J.,  47,  119. 

Eaton,  In  re   (1901),   N,   Dist.   N. 

Y.,  Coxe,  J.,  96. 
Easley,  In  re,  (1898,)  W.Dist.  Va., 

Paul,  J.,  234. 
Easley,  In  re  (1899),  W.  Dist.  Va.," 

Paul,  J.,  21. 
Eagles   &   Crisp,   In  re   (1899),    E. 

Dist.    N.   C,   Pumell,   J.,    171. 
Eagles   &   Crisp,   In  re    (1900),    E. 

Dist.  N.  C,  Pumell.  J.,  54. 
Ebert,  In  re  (1899),  W.  Dist.  Wis., 

Lewis,  R.,  192,  197. 
Edson,    In    re    (1902),     Dist.    Vt., 

Wheeler,  J.,  193,  205,  208. 
Eggert,  In  re  (1900),  C.  C.  A.,  7th 

Cir.,Jenkins,J..  197.198. 
Ehle.  In  re  (1901),  Dist  Vt.,  Wheeler, 

J.,  245. 
Eisenberg,   In   re    (1902),    S.    Dist. 

N.  Y.,  Adams,  J.,  186. 
Eidemiller,  In  re   (1900),   N.   Dist. 

111.,  Kohlsaat,  J.,  44. 
EUis  V.  L.  Hayes,  &c.:  Co.   (1902), 

Sup.  Ct.  Kas.,  Smith,  J.,  189, 

251. 


XX 


TABLE  OF  CASES  DIGESTED. 


The  numbers  refer  to  the  pagM: 


Elliott  V.  Toeppener   (1902),   Sup. 

Ct.  U.  S.,  Fuller,  J.,  120. 
Elstree    v.    Burt    (1902).    Sup.    Ct. 

R.  I.,  Douglas,  J.,  104. 
Elgin   State   Bank  v.    Rice   (1902), 

C.    C.    A.,    Sth    Cir.,    Lochren, 

J.,  230. 
Ells,    In    re    (1900),    Dist.    Mass., 

Lowell,  J.,  205. 
Elk  Park,  &c.,  Co.,  In  re     (1899), 

Dist.     Colo.,     Hallett,    J.,     49. 
Ellithorpe,   In  re    (1901),   N.    Dist. 

N.  Y.,  Hotchkiss,  R.,  60. 
Elmira  Steel  Co.,  In  re  (1901),  N. 

Dist.   N.  Y.,  Hazel,  J.,  8,   14, 

118,  190. 
Elmira  Steel  Co.,  In  re  (1901),  N. 

Dist.  N.  Y.,  Moss,  R.,  14,  39, 

118. 
Empire     Metallic     Bedstead      Co., 

In  re   (1899),   N.   Dist.   N.   Y., 

Hotchkiss,  R.,  5. 
Empire,  &c.,  Co.,  In  re  (1899),  N. 

Dist.  N.  Y.,Coxe,  J.,37. 
Empire      Metallic      Bedstead     Co., 

In  re  (1899),  C.  C.  A.,  2nd  Cir., 

Shipman,  J.,  37. 
Emsley  &  Son,  In  re  (1899),  S.  Dist. 

N.  Y.,  Brown,  J.,  223,  234. 
Emsley  &  Co.,  In  re  (1900),  C.  C. 

A.,  2nd  Cir.,  Wallace,  J.,  234. 
Emerick,    In   re    (1900),    W.    Dist. 

Pa.,  Buffington,  J.,  242. 
Emsile,  In  re  (1900),  C.  C.  A.,  7th 

Cir.,  Wallace,  J.,  82. 
Engle,  In  re   (1901),  E.  Dist.   Pa., 

McPherson,  J.,  237. 
Epstein,  In  re  (1901),  E.  Dist.  Ark., 

Trieber,  J.,  247. 
Epstein,    In    re    (1901),    W.    Dist. 

Ark.,  Trieber,  J.,  163. 
Ervin,  In  re  (1902),   E.   Dist.   Pa., 

McPherson,  J.,  55. 
Ervin,  In  re  (1901),  E.  Dist.  Pa., 

McPherson,  J.,  175. 
Eshwege  &  Cohn,  In  re  (1902),  S. 

Dist.  N.  Y.,  WilUs,  R.,  214. 
Etheridge  Fumitvu-e  Co.,  John  A., 

In  re  (1899),  Dist.  Ky.,  Barr, 

J.,  2,  17,252. 
Evans,  In  re  (1900),  E.  Dist.  N.  C, 

Pumell,  J.,  68. 
Evans  v.   Rounsaville   (1902),   Sup. 

Ct.  Ga.,  Little,  J.,  106,  226. 
Evans  v.  Stalle  (1903), Sup. Ct. Minn., 

Stark,  J.,  111. 
Ewing,  In  re  (1902),   C.  C.  A..  2nd 

Cir.,  38,  190. 


P. 

Fahy,  In  re  (1902),  N.  Dist.  Iowa, 

Shiras,  J.,  90. 
Farley  &  Co.,  In  re  (1902),  W.  Dist. 

Va.,  McDowell,  J.,  53,  187. 
Farmer,  In  re  (1902),  E.  Dist.  N.  C, 

Pumell,  J.,  205,  208. 
Fall  City  Shirt  Mfg.  Co.,  In  re  (1899), 

Dist.  Ky.,  Evans,  J. ,216. 
Falconer,   In   re    (1901),   C.    C.    A., 

Sth  Cir.,  Thayer,  J.,  61,  72. 
Feigenbaum,  In  re  (1902),  S.  Dist. 

N.  Y.,Adams,J.,91. 
Feldstein,  In  re   (1902),   C.   C.   A., 

Lacombe,  J.,  101. 
Feuerlicht,    In   re    (1902),    S.    Dist. 

N.  Y.,  Smith,;.,  193. 
Fellereth,  In  re  (1899),  N.  Dist.  O., 

Ricks,  J.,  198. 
Ferguson,  In  re  (1899),  S.  Dist.  N. 

Y.,  Brown,  J.,  38. 
Feldstein,  In  re  (1900) ,  S.  Dist.  N.  Y.," 

Brown,  J.,  73,  101. 
Fellows  V.  Freudenthal  (1900),  C.  C. 

A.,   7th  Cir.,   Seaman,   J.,   30, 

97   153. 
Fields  \.   karter   (1902),   C.   C.   A., 

5th  Cir.,  94. 
First  Natl.  Bank  v.  Hym  (1902),  Sup. 

Ct.  la.,  McLain,  J.,  81. 
First    Natl.     Bank    of    Denver    v. 

Klugg  (1902),  Sup.  Ct.   U.  S., 

Fuller,  J.,  133,  135. 
Fisher,   In  re    (1899),    Dist.    Mass., 

Olmstead,  R.,242. 
Fixen,  In  re  (1899),  S.   Dist.  Cal.,' 

Wellborn,  J.,  17,  123. 
Fielding,    In    re    (1899),    W.    Dist. 

Mo.,   Philips,  J.,    153,  163,  217. 
Finklestein,   In  re    (1900),    S.    Dist. 

N.  Y.,  Brown,  J.,  95. 
Finley,  In  re  (1900),  S.  Dist.  N.  Y., 

Coxe,  J.,  171. 
Fisher,   In  re   (1899),    Dist.    Mass., 

Lowell,  J.,  242. 
Finley,  In  re  (1900),  S.  Dist.  N.  Y., 

Coxe,  J.,  271. 
Fisher  v.  Cushman  (1900),  C.  C.  A., 

1st   Cir.,    Putnam.   J.,    20.    27. 
Fitchard,  Inre  (1900),  N.  Dist.  N.  Y., 

Coxe.  J.,  98. 
Fixen  &  Co.,  In  re  (1900),  C.  C.  A., 

9th  Cir.,   Morrow,  J.,    10,    181. 
Filer.  In  re  (1900).  S.  Dist.  N.  Y., 

Brown,  J.,  13.  32. 
Filer,  In  re  (1901),  S.  Dist.  N.  Y., 

Dexter,  R.,  176. 


TABLE  OP  CASES  DIGESTED. 


XXI 


The  numbers  refer  to  the  pages. 


Fider,  In  re  (1899),  Sup.  Ct.  Minn., 

Wanty,  J.,  111. 
Fite  V.  Fite   (1901),  Ct.  App.  Ky., 

Guffy,  J.,  205. 
Fife,   In  re    (1901),   W.    Dist.    Pa., 

Buffington,  J.,6,  209. 
Finnigan  v.  Hall  (1901),  N.  Y.  Sup. 

Ct.,  Russell,  J.,  105. 
First    Natl.    Bank    of    Guilford    v. 

Weare    (1901),    Sup.    Ct.   Me., 

Emory,  J..  252. 
Fleishman  (1902),  Dist.  Ct.  N.  Dist. 

111.,  Kohlsaat,  J.,  95. 
Flannagan,  In  re   (1902),  W.   Dist. 

Tex.,  Maxey,  J.,  68. 
Flick,    In   re    (1900),    S.    Dist.    O., 

Thompson,  J.,  176,  211. 
Fly,    In    re    (1901),    S.    Dist.    Cal., 

Wellborn,  J.,  66. 
Forbes,  In  re   (1901),  N.   Dist.  O., 

Doyle,  R.,  248. 
Foley,  Dean  Lumber  Co.  v.  Sawyer 

(1899),  Sup.  Ct.  Minn.,  Mitchell, 

J.  2. 
Foerst,  In  re  (1899),  S.  Dist.  Ky., 

Evans,  J.,  123. 
Folb,  In  re  (1899),  E.  Dist.  N.  C, 

Pumell,  J.,  173. 
Fowler,  In  re  (1899),  W.  Dist.  Wis., 

Bunn,  J.,  122. 
Fowler,  In  re   (1899),  Dist.  Conn., 

Banks,  R.,  130. 
Fort    Wayne     Electric    Co.,  In   re 

(1899),    Dist.    Ind.,   Baker,   J., 

153    225 
Forsyth' v.  Vehmeyer  (1900),  U.  S. 

Sup.  Ct.,  Peckham,  J.,  109. 
Force,    In   re    (1900),    Dist.    Mass., 

Farmer,  R.,  211. 
Foreman  v.  Burley  (1901),  C.  C.  A., 

5th  Cir.,  Putnam,  J.,  137,  175. 
Fox,    In    re    (1900),    N.    Dist.    O., 

Remington,  R.,  88. 
Fox,  Simon,  In  re  (1901),  N.  Dist. 
I         O.,  Remington,  R.,  185. 
French  v.  R.  Pets  Co.   (1900),  132. 
Franklin,  In  re  (1901),  Dist.  Mass., 

Lowell,  J.,  130. 
Freche,  In  re  (1901),  Dist.  N.    J., 

Kirkpatrick,  J.,  109. 
Frazee  v.   Nelson    (1901),   Sup.   Ct. 

Mass.,  Morton,  J.,  233. 
Fruda  v.   Osgood    (1901),   Sup.   Ct. 

N.  H.,Blodgett,J.,  132. 
Frey  v.  Torrey  (1902),  Sup.  Ct.  N. 

Y.,Laughlin,  J.,  109. 
Freschberg.  In  re  (1902),  S.  Dist.  N. 

Y.,  Wise,  R.,  115. 


Frazier,  In  re  (1902),  W.  Dist.  Mo.; 

Philips,  J.,  221. 
Freimd,  In  re  (1899),  N.  Dist.  Penn., 

James,  R.,  51. 
Frick,   In  re    (1899),    N.    Dist.   O., 

Fay,  R.,  212,  215. 
Franks,  In  re  (1899),  S.  Dist.  Ala., 

Toulmin,  J.,  22. 
Price,   In   re    (1899),    S.    Dist.    la., 

Woolson,  J.,  94,  279,  356. 
Friedman,  In  re  (1899),  S.  Dist.  N. 

Y.,  Holt,  R.,  246. 
Friedman,  In  re  (1899),  S.  Dist.  N. 

Y.,  Holt,  R.,  178,  225. 
Frazier  v.  Southern  Loan  &  Trust 

Co.   (1900),  C.  C.  A.,  4th  Cir., 

Paul,  J.,  22. 
Freund,  In  re   (1899),  S.   Dist.   N. 

Y.,  Brown,  J.,  97,  98. 
Friederich,  In  re  (1900),  C.  C.  A., 

7th  Cir.,  Jenkins,  J„  59. 
Franklin   Syndicate,   In   re    (1900), 

E.    Dist.    N.    Y.,    Thomas,   J., 

73,  186. 
Frye  v.   Penna.   Trust  Co.,    (1900) 

Sup.   Ct.    Pa.,   Green,   J.,   200. 
Frank,  In  re  (1901),  W.  Dist.  Pa., 

Buffington,  J.,  92. 
Francis- Valentine  Co.,  In  re  (1899), 

N. Dist.  Cal., De  Haven,  J.,  (235). 
Francis- Valentine  Co.,  In  re  (1899), 

C.  C.  A.,  9th  Cir.,  Gilbert,  J., 

240. 
Fxilton  Club,  In  re  (1902),  N.  Dist. 

Ga.,  Newman,  J.,  50. 
Funk,  In  re   (1900),   N.   Dist.   la., 

Shiras,  J.,  33,  47. 

G. 

Gany,  In  re  (1900),  W.  Dist.  N.  Y., 

Brown,  J.,  245,  246. 
Gardner,  In  re  (1901),  E.  Dist.  Va., 

Waddill,J.,153. 
Gardiner,  In  re  (1901),  S.  Dist.  N. 

Y.,  Brown,  J.,  247. 
Gasser,  In  re  (1900),  C.  C.  A.,  8th 

Cir.,  Sanborn,  J.,  279. 
Garden,  In  re  (1899),  N.  Dist.  Ala., 

Bruce,  J.,  61. 
Gay,    In   re    (1899),    Dist.    N.    H., 

Aldrich,  J.,  52,  167. 
Gallagher,  In  re  (1901),  Dist.  Mass., 

Farmer,  R..  196. 
Gamer,  In  re  (1901),  N.  Dist.  Ga., 

Newman,  J.,  229. 
Gaylord,  In  re  (1901),  N.  Dist.  N. 

Y.,  Coxe,  J.,  99. 


XXll 


TABLE  OF  CASES  DIGESTED. 


The  numbers  refer  to  the  pages. 


Gaylord,  In  re  (1901),  C.  C.  A.,  2nd 

Cir.,  Wallace,  J.,  95. 
Gaylord,  In  re  (1901),  E.  Dist.  la., 

Shiras,  J.,  242. 
Gaylord,  In  re  (1902),  E.  Dist.  Mo., 

Adams,  J.,  182. 
Gabriel  v.  Tonner  (1902),  Sup.  Ct. 

Cal.,  Gray,  J.,   199. 
Gans  V.  Ellison  (1902),  C.  C.  A.,  3rd 

Cir.,  Acheson,  J.,  201,  202. 
Gashington,  In  re  (1902),  N.  Dist. 

Tex.,  Meek,  J.,  208. 
Gamer,  In  re  (1902),  W.  Dist.  Va., 

McDowell,  J.,  62. 
Gage  V.  Bates  Machine  Co.   (1902), 

Sup.    Ct.    N.    H.,    Mather,    J., 

81,  131. 
Gerdes,  In  re   (1900),   S.   Dist.   O., 

Thompson,  J.,  129. 
Gerson,  In  re  (1901),  E.  Dist.  Pa., 

Mason,  R.,  176. 
Gerson,  In  re  E.  Dist.  Pa.,  Mason,  R., 

163. 
Gerson,  In  re  (1899),  E.  Dist.  Pa., 

Mason,  R.,  163,  214,  216. 
Gerson,  In  re  (1901),  C.  C.  A.,  3rd 

Cir.,  Acheson,  J.,  207. 
Gee  V.  Gee  (1901),  Sup.  Ct.  Minn., 

Lovely,  J.,  110. 
Gemer   v.    Yates    (1900),    Sup.    Ct. 

Neb.,  Sullivan,  J.,  112. 
GhigUone,  In  re  (1899),  S.  Dist.  N. 

Y.,  Brown,  J.,  46. 
Gibbs,    In    re     (1900),    Dist.    Vt., 

Wheeler,  J.,  66. 
Gillette   &   Prentice,   In  re   (1900), 

W.  Dist.  N.  Y.,  Hazel,  J.,  56, 

57,  190. 
Gibbs,    In    re     (1901),     Dist.    Vt., 

Wheeler,  J.,  225. 
Gister,  In  re  (1899),  N.    Dist.    la., 

Shiras,  J.,  82. 
Githens   v.    Shiffler    (1902),    Middle 

Dist.  Pa.,  Archbald,  J.,  32. 
Gilbert,    In   re    (1902),    Dist.    Ore., 

Bellinger,  J.,  8,  35,  37,  38. 
Gibson,  In  re  (1902),  Sup.  Ct.  L  T., 

Clayton,  J.,  71. 
Glover  Grocery  Co.  v.  Done  (1902), 

Sup.    Ct.    Ga.,    Lvunpkin,    J., 

87. 
Globe   Cycle   Works,   In  re   (1899), 

N.  Dist.  N.  Y.,  Hotchkiss,  R., 

79. 
Glasner,  Snyder  &  Co.,  In  r<?(1902), 

Dist.  Md.,  Brinton,  R.,  74. 
Glass,  In  re  (1902),  N.  Dist.  N.  Y., 

King,  R.,  265,  279. 


Gladding  Co.,   In  re   (1902),   Dist. 

R.  L,  Barrows,  R.,  207. 
Good,  In  re  (1900),  C.  C.  A.,  8th 

Cir.,  Thayer,  J.,    133,  135. 
Goodman   Shoe   Co.,   Albert,   In  re 

(1899),   E.   Dist.   Pa.,   McPher- 

son,  J.,  238. 
Goldman,  In  re  (1900),  S.  Dist.  N. 

Y.,  Brown,  J.,  247. 
Goldsmith,    In    re    N.    Dist.    Tex., 

Meek,  J.,  174. 
Goldberg,  In  re  (1898),  Dist.  Utah. 

Baldwin,  R.,  130,  131. 
Goldman,  Beckman  &  Co.  v.  Smith 

(1899),    Dist.     Ky.,     Barr,    J., 

33,  34,  116,  266. 
Goldman,  Beckman  &  Co.  v.  Smith 

(1899),  Dist.  Ky.,  Durrett,  R., 

220. 
Goldstein,   In  re   (1899),   W.    Dist. 

Pa.,  Van  Wormer,  R.,  216. 
Goodier  v.  Barnes   (1899),  N.  Dist. 

N.  Y.,Coxe,  J.,  127,  132. 
Goodale  et  al,  In  re  (1901),  N.  Dist. 

N.  Y.,  Coxe,  J.,  95. 
Goodman  v.  Brunner  (1901),  C.  C. 

A.,  5th  Cir.,  Pardee,  J.,  136. 
Goetzinger,  In  re   (1901),  W.   Dist. 

Pa.,  Bunffington,  J.,  56. 
Goodyear  Rubber  Co.  v.   Schreiber 
(1902),  Sup.   Ct.  Washington,   Ful- 
ler, J.,  253. 
Gordon,    In    re    (1902),    Dist.    Vt., 

Wheeler,  J.,  66. 
Goyer  Co.  v.  Jones  (1901),  Sup.  Ct. 

Miss.,  105. 
Goldberg,    In   re    (1902),    N.    Dist. 

N.  Y.,Ray,J.,81,231. 
Gottardi,    In    re    (1902),    S.    Dist. 

Cal.,  Wellborn,  J.,  26,  27. 
Gray,  In  re  (1900),  Sup.  Ct.  N.  Y., 

Barrett,  J.,  228. 
Greenewald,  In  re  (1900),  E.  Dist. 

Pa.,  McPherson,  J.,  215. 
Greater  American  Exposition,  In  re 

(1900),     C.     C.     A.,    8th    Cir., 

Thayer,  J.,  130. 
Grayson,  In  re  (1901),  Sup.  Ct.  L 

T.,  69. 
Grant,  In  re  (1901),  S.  Dist.  N.  Y., 

Brown,  J.,  35,  41. 
Green,  In  re   (1901),   E.   Dist.   Pa., 

McPherson,  J.,  22. 
Griffith,  In  re  (1899),  E.  Dist.  Tenn.,* 

Grayson,  R.,  130. 
Grabs,  In  re  (1899),  S.  Dist.  Ohio, 

Geiger,  R.,  248. 


TABLE  OP  CASES  DIGESTED. 


xxm 


The  numbers  refer  to  the  pages. 


Grist,  In  re  (1898),  N.  Dist.  N.  Y., 

Hotchkiss,  R.,  77. 
Grimes,  In  re  (1899),  W.  Dist.  N.  C, 

Alexander,  R.,  61. 
Grimes,  In  re  (1899),  W.  Dist.  N.  C, 

Ewart,  J.,  13,  59,  60,  161,  213. 
Grubs-Wiley  Co.,  In  re  (1899).  W. 

Dist.    Mo.,    Rathbun,    R.,    214. 
Green  River  Deposit  Bank  v.  Craig 

Bros.     (1901),    W.    Dist.    Ky., 

Evans,  J.,  40,  41,  116. 
Grossman,   In  re    (1901),   E.    Dist. 

Mich.,  Swan,  J.,  75. 
Groves,  In  re  (1901),  N.  Dist.  O., 

Remington,  R.,  64,  74. 
Greth,  In  re  (1902),   E.  Dist.   Pa., 

McPherson,  J.,  182. 
Gracewich,  In  re  (1902),  C.  C.  A., 

2nd  Cir.,  Wallace,  j.,  246. 
Graff,  In  re  (1902),  E.  Dist.  N.  Y., 

Thomas,  J.,  179. 
Greenberg,  In  re  (1902),  Dist.  Conn., 

Townsend,  J.,  101. 
Gutman  &  Wenk,  In  re  (1902),  S. 

Dist.    N.    Y.,   Adams,    J.,    81. 

82,  241. 
Gutwillig,   In  re    (1898),   So.    Dist. 

N.  Y.,  Brown,  J.,  40. 
Gutwillig,   In  re   (1899).   C.   C.   A., 

2nd  Cir..   Wallace.  J.,   28.   82, 

234. 

H. 

Hartmann.  In  re   (1899),  N.   Dist. 

la.,  Shiras,  J.,  93,  108. 
Hamilton,   In  re   (1900),   W.   Dist. 

Ark.,  Rogers,  J.,  16. 
Hansen    v.    Stephens    (1902),    Sup. 

Ct.  Ga.,  Little,  J.,  23. 
Harris,  In  re   (1899),   N.   Dist.   O., 

Remington,  R.,  58. 
Harris,  In  re  (1902),  W.  Dist.  Tenn., 

Hammond,  J.,  87. 
Harris,  In  re   (1899),   N.   Dist.   O.. 

Ricks,  J.,  56. 
Harris,  In  re  (1899),  N.  Dist.   111., 

Wean.  R..  71,  249,  265. 
Hatch,  In  re   (1900).   S.   Dist.   la., 

Shiras,  J.,  65. 
Hawk   V.    Hawk    (1900),    W.    Dist. 

Ark.,  Rogers,  J.,  206. 
Haensel,  In  re  (1899),  N.  Dist.  Cal., 

DeHaven,  J.,  85,  242. 
Hayden,  In  re   (1899),  S.   Dist.   N. 

Y.,  Locke,  J. .73,  74. 
Harrison    Merc.    Co.,   In  re    (1899). 

W.  Dist.  Mo.,  Philips,  J.,  213. 
Hatch,  In  re  (1899),  E.  Dist.  Mich., 

Davock,  R,,  59. 


Hammond,  In  re  (1899).  Dist.  Mass., 

Lowell,  J.,  224. 
Harper   &   Bro.,    In   re    (1900),    S. 

Dist.  N.  Y.,  Brown,  J.,  33,  37. 
Harrington,  In  re   (1900).  N.   Dist. 

Tex..  Meek.  J..  63. 
Harrington,  In  re   (1900),  E.   Dist. 

Tex.,  Dillard,  R.,  65. 
Hathhom,    In   re    (1900),    E.    Dist. 

La.,  Gurley,  R..  73. 
Hanna   &    Kirk,    In   re    (1901),    E. 

Dist.    Pa..    McPherson,   J.,    36. 
Harper,  In  re  (1900).  N.  Dist.  111., 

Kohlsaat.  J.,  37,  39. 
Hale  et  al..  In  re  (1901),  E.  Dist. 

N.  C.,Pumell,J.,52,  92. 
Hargardine-McKittrich    Dry    Goods 

Co.    V.    Hudson    et    al.    (1901). 

Cir.   Ct.    U.    S..   E.    Dist.    Mo.. 

Rogers,  J.,  106. 
Haskin,  In  re  (1901),  E.  Dist.  Pa., 

McPherson,  J.,  67. 
Hassenbusch,  In  re  (1901),  C.  C.  A., 

6th  Cir.,  Clark.  J..  78. 
Har^'ey  v.  Smith.  In  re  (1901),  Sup. 

Ct.   Mass.,   Knowlton,   J.,   226. 
Harmon  v.   Feldhein  et  al.    (1902). 

Sup.  Ct.  Mich.,  195. 
Hanover    Natl.     Bank    v.     Moyses 

(1902).  Sup.  Ct.  U.  S..  Fuller. 

C.  J.,  1,64. 
Hardt   v.    Schuylkill    Plush    &    Silk 

Co.    (1902),    Sup.    Ct.    N.    Y., 

Ingraham,  J.,  231. 
Harpke,  In  re  (1902),  C.  C.  A.,  7th 

Cir.,  Grosscup,  J.,  194. 
Hawk,  In  re  (1902),  C.  C.  A.,  8th 

Cir.,  Sanborn,  J.,  104. 
Hamilton  v.  McCrosky  (1900),  Sup. 

Ct.  Ga..  Lewes,  J.,  208. 
Hamilton  Furniture  &  Carpet  Co., 

In  re  (1902),  Dist.  Ind..  Baker. 

J.,  222. 
Hathaway     v.     Masterson     (1902), 

Ct.  App.   111.,   1st  Cir.,  Water- 
man, J.,  104. 
Harrison    v.    Walker    (1902),    Sup. 

Ct.     Mich..     Montgomery,     J.. 

195. 
Hayes.  Foster  &  Ward,  In  re  (1902), 

W.   Dist.   Ky.,  Evans,  J.,  208. 
Haskell  v.  Merrill  et  al.  (1900),  Sup. 

Ct.  Mass.,  Holmes,  J.,  244. 
Headley,  In  re  (1899),  W.  Dist.  Mo.. 

Philips,  J.,  74,  179,  274. 
Heinsfurter,  In  re   (1899).   S.    Dist. 

la.,  Woolson,  J.,  16,  228. 
Herrman,  In  re  (1900) ,  S.  Dist.  N.  Y., 

Brown,  J.,  97. 


XXIV 


TABLE  OP  CASES  DIGESTED. 


The  numbers  refer  to  the  pages. 


Henrich,  In  re   (1899),   Dist.   Md., 

Hisky,  R.,  248. 
Hesselton    v.    Prince    (1899),    Dist. 

Mass.,  Lowell,  J.,  242. 
Heyman,  In  re  (1899),  S.  Dist.  N. 

Y.,  Thomas,  J.,  183. 
Heyman,  In  re  (1901),  S.  Dist.  N. 

Y.,  Brown,  J.,  87. 
Hebbart,   In  re    (1900),    Dist.    Vt., 

Wheeler,  J.,  192. 
Hemby,   Hutchinson  Publ.   Co.,  In 

re   (1900),   N.   Dist.   111.,   Kolh- 

saat,  J.,  130. 
Henschel,  In  re  (1901),  S.  Dist.  N. 

Y.,  Wise,  R.,  28. 
Henschel,  In  re  (1901),  S.  Dist.  N. 

Y.,  Brown,  J.,  5,  157,  173. 
Head   &   Smith,   In  re   (1902),   W. 

Dist.  Ark.,  Rogers,  J.,  229. 
Henschel,   In  re   (1902),   C.   C.   A., 

2nd     Cir.,     Wallace,     J.,     173, 

273. 
Hemstreet,   In  re   (1902),   N.   Dist. 

la.,  Shiras,  J.,  122. 
Henschel,  In  re  (1902),  S.  Dist.  N. 

Y.,  Adams,  J.,  13,  137. 
Herron  Co.  v.  Sup.  Ct./n  re  (1902), 

Sup.  Ct.  Cal.,  Harrison,  J.,  2. 
Herzikopf,    In   re    (1902),    S.    Dist. 

Cal.,  Wellborn,  J.,  117. 
Hill  V.  Levy,  In  re  (1900),  E.  Dist. 

Va.,  WaddiU,  J.,  181. 
Hirsch,  In  re  (1900),  S.  Dist.  N.  Y., 

Brown,  J.,  92,  96. 
Hicks  V.  Knost,  In  re  (1899),  S.  Dist. 

O.,  Thompson,  J.,  129. 
Hicks  V.  Knost,  In  re  (1900),  U.  S. 

Sup.  Ct.,  Gray,  J.,  128. 
Hilbom,  In  re  (1900),  S.  Dist.  N.  Y., 

Brown,  J.,  87. 
Hilton,  In  re  (1900),  S.  Dist.  N.  Y., 

Brown,  J.,  84. 
Hixon,  In  re   (1899),   S.   Dist.    la.. 

Woolson,  J.,  279. 
Hill,    In   re    (1899),    N.    Dist.    Ga., 

Newman,  J.,  22,  60. 
Hirsch,  In  re  (1899),  W.  Dist.  Tenn., 

Hammond,  J.,  53,  91. 
Hindman,  In  re   (1900),   C.   C.   A., 

9th  Cir.,  Hawley,  J.,  66. 
Hicks,  In  re  (1901),  Dist.  Vt.,  Wheel- 
er, J.,  41,  75. 
Hilberg,  In  re  (1901),  W.  Dist.  Pa., 

Myers,  R.,  209. 
Hickey,  In  re  (1901),  N.  Dist.  Ja., 

Shiras,  J.,  182. 
Hinsdale,   In  re   (1901),   Dist.   Vt., 

Wheeler,  J.,  248. 
Hines,   In  re   (1902).,   S.   Dist.   Va. 

Keller,  J.,  68. 


Higgins,    In   re    (1899),    Dist.    Ky.; 

Evans,  J.,  234. 
Hoadley  &  Monroe,  In  re  (1900),  S. 

Dist.    N.    Y.,    Brown,   J.,    244. 
Hoag,  In  re  (1899),  W.  Dist.  Wis., 

Bunn,  J.,  63. 
Horgan  &  Slattery,  In  re  (1910),  C. 

C.  A.,  2nd  Cir.,  Wallace  J.,  74, 

123. 
Howland,  In  re  (1901),  N.  Dist.  N. 

Y.,  Coxe,  J.,  222. 
HoUoway,  In  re  (1899),  Dist.  Ky.; 

Evans,  J.,  80,  82. 
Holman,  In  re  (1899),  S.  Dist.  la., 

Woolson,  J. ,91,  102,  279. 
Hopkins,   In  re    (1900),    Dist.    Vt., 

Wheeler,  J.,  64. 
Hopkins,    In    re    (1899),    N.    Dist. 

Ala.,  Turner,  R.,  62,  236. 
HoUenfeltz,   In  re   (1899),   N.    Dist. 

la.,  Shiras,  J.,  224. 
Houston,   In  re   (1899),   Dist.   Ky., 

Evans,  J.,  84,  205. 
Howard,  In  re  (1900),  N.  Dist.  Cal., 

DeHaven,  J.,  122,  177. 
House,  In  re  (1900),  E.  Dist.  N.  Y., 

Thomas,  J.,  99. 
Hoover,  In  re  (1900),  E.  Dist.  Pa., 

McPherson,  J.,  104. 
Hoyer  v.  Comstock  (1901),  Sup.  Ct. 

la.,  Gibbons,  J.,  202. 
Holden,  In  re  (1902),  C.  C.  A.,  9th 

Cir.,  McKenna,  J.,  69,  249. 
Hoover,  In  re  (1902),  E.  Dist.  Pa., 

Buffington,  J.,  62. 
Howden,  In  re  (1901),  N.  Dist.  N. 

Y.,  Coxe,  J.,  94. 
Holstein,  In  re  (1902),  Dist.  Conn., 

Piatt,  J.,  98,  101. 
Harbaugh  v.   Costello    (1900),   Sup. 

Ct.  111.,  Magruder,  J.,  2. 
Hoffman   Addn.,    In   re    (1900),    S. 

Dist.  N.  Y.,  Brown,  J.,  97. 
Holland  v.  Cunliflf  (1902),  Ct.  App. 

Mo.,  Barclay,  J.,  111. 
Hood  V.   Blair  State  Bank   (1902), 

Sup.  Ct.  Neb.,  Barnes,  J.,  252. 
Hubbard,    In   re    (1899),    N.    Dist. 

Ill.,Kohlsaat,J.,108. 
Hughill,  In  re  (1899),  N.  Dist.  O., 

Ricks,  J.,  234. 
Huber,  In  re  (1899),  N.  Dist.  N.  Y., 

Judson,  R.,  97,  206. 
Huddleston,  In  re  (1899),  N.  Dist. 

Ala.,  Turner,  R.,  149,  240. 
Huffman,  In  re  (1899),  W.  Dist.  Pa., 

Myers,  R.,  236. 
Humbert  &  Co.  (1900),  N.  Dist.  la., 

Shiras,  J.,  118,  188,  266. 


TABLE  OF  CASES  DIGESTED. 


XXV 


The  numbers  refer  to  the  pages. 


Huston,"7M  re  (1901),  S.  Dist.  N.  Y., 

Holt,  R.,  243. 
Huenergardt  v.  Brittain  Dry  Goods 

Co.   (1902),  C.  C.  A.,  8th  Cir., 

Thayer  ,J.,  67. 
Hull,  In  re  (1902) ,  Dist,  Vt.,  Wheeler, 

J.,  243,  246. 
Hutchinson  v.  Otis  (1902),  C.  C.  A., 

1st  Cir.,  Putnam,  J.,  231. 
Hutcinson    v.    Leroy   (1902),  C.  C. 

A.,   1st  Cir.,   Putnam,  J.,   129, 

136. 
Hunt,   In  re   (1902),   N.    Dist.   la., 

Shiras,  J.,117. 
Hyde   &  Glo    Mfg.  (5©.      (1900),    E 

Dist.  N.  Y.,  Thomas, J.,  116. 
Hyman,  In  re  (1899),  S.  Dist.  N.  Y., 

Thomas,  J.,  102. 


Ideal  Clothing  Co.  v.  Hazel  (1901), 

Sup.  Ct.  Mich.,  129. 
Idzell,   In  re    (1899),   S.    Dist.    la., 

Woolsen,  J.,  93. 
Independent  Thread  Co.,  In  re  (1902) 

Dist.    N.    Y.,    Kirkpatrick,    J., 

50. 
Ives,  In  re  (1902),  C.  C.  A.,  6th  Cir 

Wanty,  J.,  28,  54,  118,  136. 

J. 

Jacobs,  In  re  (1899),  W.  Dist.  la., 

Jones,  R.,  198,  225. 
Jackson,    In   re    (1899),    Dist.    Vt., 

Wheeler,  J.,  177. 
Janecki  Mfg.  Co.  v.  McElwaine  (1900) 

Dist  Ind.,  Baker,  J.,  58. 
Jacobs,'  In  re  (1900),  C.  C.  A.,  8th 

Cir.,  Thayer,  J.,  134. 
Jamieson,  In  re  (1901),  Dist  R.  I., 

Littlefield,  R.,  243. 
Jackson,  In  re  (1902),  E.  Dist.  Pa., 

McPherson,  J.,  68,  221. 
Jaquith  v.  Alden  In  re  (1902) ,  C.  C. 

A.,  1st  Cir.,  Lowell,  J.,  202. 
Jefferson,  In  re  (1899),  Dist.  Wash., 

Handford,  J.,  123. 
Jefferson,   In  re   (1899),   Dist.   Ky., 

Evans,  J.,  205. 
Jehu,  In  re  (1899) ,  N.  Dist.  la.,  Shiras 

J.,  75,  177,  187. 
Jemison  Mercantile  Co.,  In  re  (1902), 

C.  C.  A.,  5th  Cir.,  McCormick, 

J.,  135,  190,  192. 
Jennings,  In  re  (1902),  W.  Dist.  N. 

Y.,  Hotchkiss,  R.,  231. 
Johnson,    In   re-  (1901),    Dist.    Vt., 

Wheeler,  J.,  236. 


Johnson  v.  Wold  (1899),  C.  C.  A.,  5th 

Cir.,Shely,J.,33,  34,  35. 
Jones,  In  re  (1899),  S.  Dist.  Wis., 

Seaman,  J.,  63. 
Johnson  v.  Cohn  (1902),  Sup.  Ct.  N. 

Y.,  Gildersleeve,  J.,  194. 
Jones  &  Cook,  In  re  (1900),  E.  Dist. 

Mo.,  Adams,  J.,  56,  57. 
Jones  V.  Stevens,  In  re  (1901),  Sup. 

Ct.,  Me.  Wiswell,  J.,  143. 
Johnson,  In  re  (1901),  N.  Dist.  la., 

Shiras,  J.,  68. 
Johnson,  Admr.,  v.  Parmenter  (1901) 

Sup.Ct.Vt.,Rowell,J.,lll. 
Jourdan,  In  re  (Dickson  v.  Wyman 
(1901),  C.  C.  A.,  1st  Cir.,  Putnam,  J., 

202. 
Jones,    In   re    (1900),    Dist.    Mass., 

Lowell,  J.,  179. 
Jones  V.  Schermerhom  (1900),  Sup. 

Ct.  N.  Y.,  Adams,  J.,  132,  233. 
Jones,  In  re  (1902),  E.  Dist.  N.  C, 

Pumell,J.,56. 
Joseph  V.  Makley  (1902),    Sup.  Ct., 

N.  Y.,  App.,  Div.,  O'Brien,  J.. 

84. 
Jones  V.  Rock  &  Malloy  (1898),  Dist. 

Ct.  Pa.,  Clayton,  J.,  194. 

K. 

Kahn,  In  re  (1902),  S.  Dist.  N.  Y., 

Wise,  R.,  85. 
Kahn  v.  Export  &  Commission  Co. 

(1902),  C.  C.  A.,  5th  Cir.,  201. 
Kaizer,  In  re   (1902),   Dist.   Mont., 

Knowles,  J.,163. 
Kaldenberg,  In  re  (1900),  S.  Dist.  N. 

Y.,  Brown,  J.,  175. 
Kalter,   Max  In  re  (1899),  E.  Dist. 

Pa.,  Mason,  R.,  165. 
Kaiser,   In  re   (1900),   Dist.   Minn., 

Lochren,  J.,  92,  279. 
Kautter  &  Cohen,  In  re    S.  Dist.  N. 

Y.,  Adams,  J.,  74. 
Kaufman,  In  re  (1900),  E.  Dist.  N. 

Y.,  Thomas,  J.,  209. 
Kenney,  In  re  (1900),  C.  C.  A.,  2nd 

Cir.,  Laconde,  J.,  237. 
Ketchum,  In  re  (1901),  C.  C.  A.,  6th 

Cir.,Clark,  J.,  27,  28. 
Keller,  In  re   (1901),   N.   Dist.   la., 

Shiras,  J..    181,  196,  201,  215. 
Kersten  &  Kersten,  In  re  (1901),  E. 

Dist.  Wis.,  Seaman,  J.,  22,  37, 

42. 
Kellogg,  In  re  (1901),  W.  Dist.  N.  Y., 

McMaster,  R..  237. 
Kellogg,  In  re  (1902),  W.  Dist.  N.  Y., 

Hazel,  J.,  20,  132,  227,  246. 


XXVI 


TABLE  OF  CASES  DIGESTED. 


The  numbers  refer  to  the  pages; 


Ketcham  v.  McNamara  (1900),  Sup. 

Ct.  Conn.,  Baldwin,  J.,  243. 
Keystone  Coal  Co.,  In  re  (1901),  W. 

Dist.  Pa.,  Van  Womer,  R.,  50. 
Keystone  Coal  Co.,  In  re  (1901),  W. 

Dist.    Pa.,    Buffington,    J.,    50. 
Kenyon,  In  re  (1902),  N.  Dist.  la., 

Shiras,  J.,   100,   101. 
Keller  v.  Fort  Wayne  Electric  Co. 

(1899), Cir.  Ct.Ia.,  Craig,  J.,  232. 
Kelley,  In  re  (1899),  W.  Dist.  Tenn., 

Hammond,  J.,  239. 
Kenney,  In  re  (1899),  S.  Dist.  N.  Y., 

Brown,  J.,  52. 
Kerby- Dennis  Co.,  In  re  (1900),  E. 

Dist.  Wis.,  Seaman,  J.,  235. 
Kerski,  In  re  (1900),  E.  Dist.  Wis., 

Forward,  R.,  27. 
Keegan  v.  King  (1899),  Dist.  Ind., 

Baker,  J.,  23. 
Kelley  Dry  Goods  Co.,  In  re  (1900), 

E.  Dist.  Wis.,  Seaman,  J.,  24, 

41,  42,  213,  266,  276. 
Kemp,  In  re  (1900),  Dist.  Col.,  Hal- 

lett,  J.,  233. 
Kingman,  In  re  (1899),  Dist.  Mass., 

Farmer,  R.,  256,  254. 
Kimball   v.    Rosenham   Co.,   In    re 

(1902),  C.  C.  A.,  8th  Cir.,  San- 
bom,  J.,  108,  202. 
Henry  C.   King  Co.,  In  re   (1902), 

Dist.  Mass.,  Lowell,  J.,  179. 
Kirby-Dennis  Co.,  In  re  (1899),  C.  C. 

A.,  7th  Cir.,  Jenkins,  J.,  220. 
Kimball,  In  re  (1899),  W.  Dist.  Pa., 

Buffington,  J.,  81,  82. 
Kindt,   In  re   (1899),   S.   Dist.    la., 

Shiras,  J.,  116. 
Kindt,   In  re   (1900),   S.   Dist.   la., 

Shiras,  J.,  20,  191,  201,  260. 
Kimball, /n  re   (1899),  Dist.  Mass., 

Lowell,  J.,  175,  260. 
Kinmouth     v.     Brautigam     (1900), 

Sup.  Ct.  N.  Y.,  Collins,  J.,  233. 
Klein  &  Co..  In  re  (1902),  S.  Dist. 

N.  Y.,  Adams,  J.,  159. 
Klopholtz  &  Brien,  In  re  (1902),  E. 

Dist.  Pa.,  McPherson,  J.,  226. 
Kleinhans,  In  re   (1902),   W.   Dist. 

N.  Y.,  Hazel,  J.,  17. 
Kletchka,  Inre  (1899),  S.  Dist.  N.  Y., 

Brown,  J.,  80,  81,  82. 
Klingman,  In  re  (1899),  S.  Dist.  la., 

Shiras,  J.,  196. 
Klein,   In  re   (1900),   N.   Dist.,  111., 

Kohlsaat,  J.,  83. 
Klingaman,  In  re  (1899),  S.  Dist.  la., 

Gale,  R.,  245. 
Knott,  In  re  (1900),  Dist.  Vt.,  Whee- 
ler, J.,  176. 


Knott  V.  Putnam  (1901),  Dist.  Vt., 

Wheeler,  J.,  94,  106. 
Knost  &  Wilhelmy,  In  re  (1899),  S. 

Dist.  O.,  Waite,   R.,   181,   193. 
Knox,  In  re  (1900),  S.  Dist.  N.  Y., 

Coxe,  J.,  181. 
Kross,  In  re  (1899),  S.  Dist.  N.  Y., 

Brown,  J.,  75,  212. 
Kuffler,  In  re  (1899),  S.  Dist.  N.  Y., 

Brown,  J.,  157. 
Krinsky  Bros.,  In  re  (1902),  S.  Dist. 

N.  Y.,  Adams,  J.,  26,  28. 
Kuntz,   In  re   (1899),   Dist.    Minn., 

Dovan,  R.,  244. 

^,. 

Lane  v.  Holcombe  (1902),  Sup.  Ct. 

Mass.,  Knowlton,  J.,  111. 
Laundry  v.  First  Natl.  Bank  (1903) , 

Sup.  Ct.  Kans.,  193. 
Landis  v.  McDonald,  (1901),  Ct.  App. 

Mo.,  Ellison,  J.,  194. 
Lampkin    v.    Peoples    Natl.    Bank 

(1902),  Sup.  Ct.  Mo.,  Ellison,  J., 

199. 
Lafleche,   In  re    (1901),    Dist.    Vt., 

Wheeler,  J.,  109. 
Lamoillie,  &c..  Bank  v.  Stevens  Est. 

(1901),  Dist.  Vt.,  Wheeler,  J., 

55. 
Lawlor,  In  re  (1901),  Dist.  Washing- 
ton, Handford,  J.,  215,  217. 
Lanshaw,  In  re   (1902),   Dist.   Mo., 

Philips,  J.,  174. 
Lange,  In  re   (1899),   N.   Dist.   la., 

Shiras,  J.,  34,  249. 
Langslow   et  al..   In  re    (1899),    N. 

Dist.  N.  Y.,  Coxe,  J.,  167. 
Laskaris,  Inre  (1899),  N.  Dist.  N.  Y., 

Morse,  R.,  15. 
Lasser  Bros.,  In  re  (1900),  C.  C.  A., 

2nd   Cir.,    Shipman,   J.,    175. 
Lazarovic,  In  re  (1898),  Dist.  Kans., 

Corey,  R.,  16,  148. 
Lange,  In  re  (1899),  S.  Dist.  N.  Y., 

Brown,  J.,  41. 
Lange,  In  re  (1900),  S.  Dist.  N.  Y., 

Brown,  J.,  196. 
Laughlin,  In  re  (1899),  N.  Dist.  la., 

Shiras,  J.,  52,  58,  72. 
Levi,  In  re  (1903),  W.  Dist.  N.  Y., 

Hazel,  J.,  194. 
Levy,  In  re  (1899),  N.  Dist.  N.  Y., 

Coxe,  J.,  54. 
Leslie,  In  re  (1903),  N.  Dist.  N.  Y., 

Ray,  J.,  95. 
Leicester  v.    Hoadley    (1903),   Sup. 

Ct.  Kas.,  Cunningham,  J.,  112. 
Lesser,   In  re,  C.   C.   A.,   2nd  Cir., 

Shipman,  J.,  237. 


TABLE  OF  CASES  DIGESTED. 


XXVU 


The  numbers  refer  to  the  pages. 


Lengert  Wagon  Co.,  In  re  (1901), 

S.  Dist.  N.  Y.,  Adams,  J.,  22. 
Lemon,    &c.,     Co.,     In   re    (1901), 

C.  C.  A.,  5th  Cir.,  Day,  J.,  29, 

130. 
Levi,  In  re  (1902),  W.  Dist.  N.  Y., 

Van  Vorhis,  R.,  180. 
Levor  v.  Seiter  et  al..  In  re  (1902), 

Sup.  Ct.   N.  Y.,  Patterson,  J., 

194,  231,  233. 
Lehigh  Lumber  Co.,  In  re  (1900),  W. 

Dist.    Pa.,    Buffington,   J.,    56, 

196. 
Levy,  In  re  (1901),  W.   Dist,   Pa., 

Buffington,  J.,  86,  88. 
Levy,  -^'t  ■"«  (1900),  E.  Dist.  Wis., 

Seaman,  J.,  168. 
Lewis,    In   re    (1900),    Dist.    Mass., 

Lowell,  J.,  207,  214. 
Leopold,  In  re  (1901),  S.  Dist.  N.  Y., 

Wise,   R.,   101. 
Lesser,  In  re  (1901),  S.  Dist.  N.  Y., 

Brown,  J..  175. 
Lesser  Bros.,  In  re  (1901),  S.  Dist. 

N.   Y.,   Brown,  J.,   100. 
Levor    v.    Seiter    (1901),    Sup.    Ct. 

N.  Y.,  Leventripp,  J.,  229. 
Lea  Bros.    v.   Geo.     M.    West    Co. 

(1899),  E.  Dist.  Va.,Waddill,J., 

28,  252,  253. 
Lewis  &  Bros.,  In  re  (1899),  S.  Dist. 

N.  Y.,  Brown,  J.,  6,  229. 
Lewis,  In  re  (1899),  8.  Dist.  N.  Y., 

Brown,  J.,  44. 
Leeman,   In  re    (1899),   Dist.    Me., 

Sprague,,  R.,   180. 
Leidigh  Carriage  Co.  v.  Stengil  (1899) 

C.  C.  A.,  6th  Cir.,  Taft,  J.,  28, 

40,  41,  47,  83,   115,  251. 
Leigh  Bros.,  In  re  (1899),  Dist.  Col., 

Patterson,   R.,  220. 
Levy  &  Richman,  In  re  (1899),  N. 

Dist.  N.  Y.,  Moss,  R.,  51. 
Lehman  v.  Crosby,  In  re  (1900),  S. 

Dist.  N.  Y.,  Brown,  J.,  128. 
Lesser,  In   re   (1900),  C.  C.  A.,  2nd 

Cir.,  Lacombe,  J.,  79. 
Lewensohn,    In  re    (1900),    S.  Dist. 

N.  Y.,  Brown,  J.,  75,  76,  157, 

225. 
Liebowitz,   In  re    (1901),   N.    Dist. 

Tex.,  Meek,  J.,  185. 
Little,   In  re   (1901),   N.   Dist.   la., 

Shiras,  J.,  60,  131,  183,  226. 
Linton,  In  re  (1902),  E.  Dist.  Pa., 

Hoflfman,  R.,  120,   273. 
Lisun  V.  Kraus  (1901) ,  Sup.  Ct.  N.  Y.. 

Hazel,  J.,  112. 
Lipke,  In  re  (1900),  S.  Dist.  N.  Y., 

Brown,  J.,  27,  78. 


Little  River  Ltmiber  Co.,  In  re  (1899) 

W.  Dist.  Ark.,  Rogers,  J.,  34, 

193. 
Little  River  Lumber  Co.,  In  re  (1900) 

W.  Dist.  Ark.,  Rogers,  J.,  212. 
Libby,  In  re  (1900),  Dist.  Vt.,  Whee- 
ler, J.,  65. 
Lipman,  In  re  (1899),  S.   Dist.  N.  Y. 

Brown,  J.,  174. 
Lieber,    In    re    (1899),    Dist.    Pa.,' 

Mason,  R.,  102. 
Lond,  In  re  (1899),  E.  Dist.  Mich.; 

Davock,  R.,  220. 
Logorri  V.  Haven  (1902),  Sup.  Ct.  N. 

Y.,Gildersleeve,J.,  232. 
Lott  V.  Yoimg  (1901),  C.  C.  A.,  9th 

Cir.,Hawley,J.,52. 
Louisville    Trust    Co.    v.    Comingor 

(1902),  Sup.  Ct.  U.  S.,  Fuller.  J., 

128. 
Louisville  Trust  Co.  v.  Marx  (1899), 

Dist.  Ky.,  Evans,  J.,  129. 
Logan,    In    re    (1900),    Dist.    Ky.; 

Evans,  J.,  93. 
Logan  V.  Nebraska  Moline  Plow  Co. 

(1902),  Sup.   Ct,  Neb.,  Day,  J., 

221. 
Lowensohn,  In  re  (1900),  S.  Dist.  N. 

Y.,  Brown,  J.,  225.  234. 
Locks.  In  re  (1900),  W\  Dist.  N.  Y., 

Hazel,  J.,  96. 
Lorillard,  In  re  (1901),  C.  C.  A.,  2d 

Cir.,  Lacombe,  J.,  108. 
Lowenstein,  In  re  (1899),  S.  Dist.N. 

Y.,  Brown,  J.,  174. 
Ludovice  Roofing  Tile  Co.  v.  Penn. 

Inst,   for  the  Blind,  C.   C.  A., 

Dist.  Pa.,  Archbald,  J.,  231. 
Luckhardt,  In  re  (1900),  Dist,  Kan.,' 

Hook,  J.,  49. 
Lyon.  In  re  (1901),  S.  Dist  N.  Y.,' 

Wise,  R.,  273. 
Lyon  V.  Clark  (1900) ,  Sup.  Ct.  Mich.,' 

Moore,  J.,  131,  132. 
Lynch,  In  re  (1900),  S,  Dist.  Ga.; 

Speer,  J.,  66,  161. 
Lynch,  In  re  (1889),  W.  Dist.  Mo.; 

Crittenden,  R.,  65. 

M. 

MaUno,  In  re  (1902),  E.  Dist.  N.  Y.J 

Adams,  J.,  158. 
Marsh,   In  re    (1902),   Dist.   Conn.; 

Piatt,  J.,  208. 
Marx  et  al.,  In  re  (1900),  Dist.  Ky.J 

Evans,  J.,  73,  102. 
Mallner,  In  re  (1902),  Sup.  Ct.  N.  Y.; 

Patterson,  J.,  111. 


XXVIU 


TABLE  OF  CASES  DIGESTED. 


The  numbers  refer  to  the  pages. 


Macon  Sash,  &c.,  Co.,  In  re  (1901), 

S.  Dist.  Ga.,  Spear,  J.,  1,  17,  23, 

130. 
Manning,  In  re  (1902),  E.  Dist.  Pa., 

McPherson,  J.,  66,  269. 
Martin  v.  Bigelow  (1901),  Sup.  Ct. 

N.  Y.,  Scott,  J.,  7,  201. 
Margden  v.  Sugden  (1902),  Sup.Ct. 

N.  H.,Renwick,J.,199. 
Mackey,  In  re  (1901),  C.  C.  A.,  2d 

Cir.,  249. 
Magid-Hope  Silk  Mfg.   Co.,  In  re 

(1901),  Dist.  Mass.,  Lowell,  J., 

14,  115. 
Maisner  v.  Maisner  (1901),  Sup.  Ct. 

N.  Y.,  Patterson,  J.,  99,  105. 
Mammoth  Pine  Lumber  Co.,  In  re 

(1901),  W.  Dist.  Ark.,  Rogers, 

J,  192. 
Marks  &  Garson,  In  re  (1901)  ,W.Dist. 

N.  Y.,  Van  Vooris,  R.,  206. 
Marsh,     In    re     (1901),    Dist.    Vt., 

Wheeler,  J.,  96. 
Marvin  v.  Anderson  (1901),  Sup.  Ct. 

Wis.,  Marshall,  J.,  7. 
Matthews,   In  re   (1901),   W.    Dist. 

Ark.,  Rogers,  J.,  236. 
Mauran  v.  Crown  Carpet  Lining  Co. 

(1901),  Sup.  Ct.  R.  I.,  Rogers, 

J.,  2-235. 
Mayer,  In  re  (1901),  C.  C.  A.,  7th 

Cir.,  Woods,  J.,  25,  66. 
Mackeller,  In  re  (1902),  Middle  Dist. 

Pa.,  Archibald.  J.,  173. 
Mauran  v.  Crown  Carpet  Lining  Co. 

(1901),  Sup.  Ct.  R.  I.,  Rogers, 

J.,  2-235. 
MaCauley,  In  re  (1900),  E.  Dist.  N. 

Y.,  Thomas.  J.,  105. 
Mahler,  In  re  (1900),  E.  Dist.  Mich., 

Swan,  J.,  206. 
Maples,  In  re  (1901),  Dist.  Mont., 

Knowles,  J.,  91.  118. 
Marcus,  In  re   (1900),   Dist.   Mass., 

Lowell,  J.,  207. 
Marcus,  In  re  (1901),  C.  C.  A.,  1st 

Cir.,  Putnam,  J.,  207. 
Marten,  In  re  (1901),  W,  Dist.  N.  Y., 

Hazel,  J.,  80. 
May,  In  re  (1900),  Dist.  Minn.,  Mer- 

riman,  R..  242. 
Mason,  In  re  (1900),  W.  Dist.  N.  C, 

Ewart,  J.,  14,  117. 
Matthews,  In  re  (1899),  S.  Dist.  la., 

Shiras,J.,167. 
Mayer.  In  re  (1900),  E.   Dist.  Wis., 

Seaman,J..26.  27,  212,  213. 
Mayer,  In  re  (1899),  E.  Dist.  Wis., 

Seaman,  J.,  123. 


Mayer,  In  re  (1900),  E.  Dist.  Wis.; 

Seaman,  J.,  215. 
Mackel  v.  Rochester  (1900),  C.  C.  A., 

9th  Cir.,  Morrow,  J.,  74. 
Marden   v.    Phillips    (1900),    Dist. 

Mass.,  Brown,  J.,  178. 
Marquette,  In  re  (1900),  Dist.  Vt., 

Wheeler,  J.,  66. 
Marshall  Paper  Co.,  In  re  (1900),  C. 

C.  A.,  1st  Cir.,  Colt,  J.,  91,  94. 
Mackey  &  Co.,  In  re  (1898),  N.  Dist. 

N.  Y.,  Collier.  R.,  150. 
Marine  Machine  &  Conveyor  Co.,  In 

re  (1899),  S.  Dist.  N.  Y.,  Brown 

J.,  13,  15,  42. 
Mather  v.Coe.&c.Co.  (1899),  N. Dist. 

O.,  Ricks,  J.,  34,  36,  38, 116,  261, 

302. 
Marshall  Paper  Co.,  In  re   (1899), 

Dist.  Mass.,  Lowell,  J.,  93,  104. 
Mason  &  Son,  In  re  (1899) ,  Dist.  R.  L 

Littlefield,  R.,  51. 
Mahoney  et  al.  v.  Ward  (1900),  E. 

Dist.  N.  C,  Pumell,  J.,  24,  52,  71 

115,  302. 
McCormick  v.  Page  (1901),  Ct.  App. 

111.,  Dibbell,  J.,  199. 
McCuUough    &    Linn    v.    Goodheart 

(1899),    Cumberland   Co.    Com. 

Pleas  Ct.,  Biddle,  J.,  254. 
McCall  V.   Hening   (1902),  Sup.   Ct. 

Ga.,  Little,  J.,  111. 
McArvdy  v.  Tantz   (1902),   Cir.  Ct. 

Pa.,  Weard.  J.,  2. 
Mclntyre  v.  Malone  et  al.  (1902) ,  Sup. 

Ct.  Neb.,81. 
McCallum    In   re    (1902),    E.    Dist. 

Pa.,  McPherson.  J.,  19. 
McCarty,  In  re  (1901),  N.  Dist  111., 

Humphrey,  J.,  95. 
McGahan  v.  Anderson  (1902),  C.  C. 

A.,   4th  Cir.,   Jackson,   J.,   25, 

161,  64. 
McHarry  (1901),  C.  C.  A.,  7th  Cir., 

Grosscup,  J.,  248. 
McLean  v.   Mayo    (1901),    E.    Dist. 

N.  C,  Pumell.  J.,  80. 
McNair  v.   Mclntyre   (1902),   C.   C. 

A.,  4th  Cir.,  Simonton,  J.,  53, 

58,  182. 
McBachran,  In  re  (1902),  E.  Dist. 

Wis.,  Seaman,  J.,  101. 
McCartney,  In  re   (1901),   E.   Dist. 

Wis.,  Seaman,  J.,  21. 
McFarland    Carriage    Co.    et    al.    v. 

Salanas  et  al.  (1901).  C.  C.  A., 

5th  Cir.,  21. 
McFarland  Carriage  Co.  v.  Salanas 

(1901),  E.  Dist.  La.,  Boarman, 

J..  247. 


TABLE  OF  CASES  DIGESTED. 


XXIX 


The  numbers  refers  to  the  pages. 


McGee,  In  re  (1901),  N.  Dist.  N.  Y., 

Coxe,  J.,  34,  35,  36. 
McGill.  In  r-  (1901),  C.  C.  A.,  6th 

Cir.,  Day,  J.,  171,  173. 
McKey  v.  Lee  (1901),  C.  C.  A.,  7th 

Cir.,  Grosscup,  J.,  181,  201. 
McNamara  et  al.  v.  Helena  Coal  Co. 

(1900),    N.    Dist.   Ala.,    Bruce, 

J.,  49. 
McCutchen,  In  re  (1900),  E.   Dist. 

S.  C,  Brawley,  J.,  64. 
McDonnell,   In  re   (1900),   N.   Dist. 

la.,  Shiras,  J.,  242. 
McDuff,  In  re  (1900),  C.  C.  A.,  6th 

Cir.,  Pardee,  J.,  148,266. 
McGum,  In  re  (1900),   Dist.   Nev., 

Hawley,  J.,  279. 
McDanielw.  Strand   (1901),   CCA 

4th  Cir.,  Simonton,  J.,  134. 
McAdam,  In  re  (1899),  S.  Dist.N. 

Y.,  Brown,  J.,  140. 
McBride,  In  re  (1899),  E.  Dist.  N. 

C,  Pumell,  J.  209. 
McCullogh    &    Linn    v.    Goodhard 

(1899),   Cir.   Ct.   Pa.,   Cumber- 
land Co.,  Pa.,  Biddle,  J.,  2. 
McCormick,  In  re   (1899),   S.   Dist. 

N.  Y.,  Brown,  J.,  25,  27. 
McFaun,  In  re  (1899),  N.  Dist.  la., 

Shiras,  J. ,56,  72,  93,  108. 
McLam,    In   re    (1899).    Dist.    Vt., 

Wheeler,  J.,  139,  223. 
McKay,  In  re  (1899),  N.  Dist.  O., 

Wheeler,  R.,  245. 
McKee,  In  re  (1899),  Jefferson  Co. 

Ct.,  Ky.,  Gregory,  J.,  252,  254. 
McNamara,   In  re   (1899),   S.   Dist. 

N.  Y.,  Wise,  R.,  98. 
Mencke  v.   Rosenberg   (1902),  Sup. 

Ct.  Pa.,  Mestrezot,  J.,  231. 
Mercur,  In  re  (1902),  E.  Dist.  Pa., 

Archbald,  J.,  53,58,  187. 
Metzger  Toy  &  Novelty  Co.,  In  re 

(1902),  W.  Dist.  Ark.,  Rogers, 

J.,  197. 
Metcalf  Bros.  v.  Barker  (1902) ,  Sup. 

Ct.    U.   S.,   Fuller,   C   J.,   257. 
Metcalf  V.  Barker  (1902),  Sup.  Ct. 

U.  S.,  Fuller  J.,  222,  231,  237, 

251. 
Meggett,  In  re  (1900),  Sup.  Ct.  Wis.. 

Dodge,  J.,  112. 
Mersman,  In  re  (1901).  W.  Dist.  N. 

Y..  Hotchkiss,  R.,  131,  196. 
Messengill,   In  re    (1902),    E.    Dist. 

N.  C,  Pumell,  T-,  86,  88. 
Meriwether,  In  re  (1901),  W.  Dist. 

Ark.,  Trieber,  J.,  59. 
Mellen,  In  re  (1899) ,  S.  Dist.  N.  Y., 

Brown,  J,  73,  124. 


Meyer,  In  re  (1902),  N.  Dist,  Tex.7 

Meek,  J.,  179. 
Meyer,  In  re  (1899),  C  C.  A.,  2nd 

Cir,  Wallace,  J.,  40,  52,  53. 
Meyers,  In  re  (1899),  S.  Dist.  N.  Y., 

Brown,  J.,  91,  263. 
Meyers,   In  re    (1900),   S.    Dist.    N. 

Y.,  Brown,  J.,  95,  103,  104,  134. 
Meyers  &  Chami,  In  re  (1900),  Dist. 

Ind.,  Baker,  J.,  175. 
Meyer  &  Dickinson,  In  re  (1901),  E. 

Dist.  N.  Y.,  Thomas,  J.,  180. 

238 
Meyers,  In  re  (1899),  N.  Dist.  N.  Y., 

Hotchkiss,  R.,  36. 
Meyers  &  Co.,  In  re  (1899),  N.  Dist. 

N.  Y.,  Hotchkiss,  R.,  246,  254. 
Mercur,  In  re  "E.  Dist.  Pa.,  McPher- 

son,  J.,  191. 
Miller   v.    Shiver    (1900),    Sup.    Ct. 

Pa.,  Fell,  J.,  230. 
Michie,   In  re   (1902),   Dist.   Mass., 

Lowell,  J.,  21,  131. 
Mitchell,   In  re   (1902),   Dist.   Del., 

Bradford,  J.,  6,  207. 
Miner,    In    re    (1902),    Dist.    Ore., 

Bellinger,  J.,  92,  176. 
MiUer   v.    Black    (1901),    Dist.    Ct. 

Pa.,  69. 
Miller    Electric     Maintenance    Co., 

In    re    (1901),    W.    Dist.    Pa., 

Buffington,  J.,  19,28. 
Miller,  In  re  (1900),  W.  Dist.  N.  Y., 

Hazel,  J.,  8,  36,  39. 
Miller,  In  re   (1900),   N.   Dist.   la., 

Shiras,  J.,  27,  154. 
Miller,   In  re    (1900),   Dist.    Mass., 

Lowell,  J.,  251. 
Miller,  In  re  (1899),  W.  Dist.  Mo., 

Crittendon,  R.,  64. 
Mills  V.   Kieman    (1900),   Sup.   Ct. 

N.  Y.,  Birchoff,  J.,  127. 
Mingo   Valley   Creamery  Assn.,    In 

re  (1900),  E.  Dist.  Pa.,  McPher- 

son,  J.,  34. 
Mitchell  V.   McClure,  In  re  (1900). 

U.  S.  Sup.  Ct..  128. 
Minn.  &c..  Construction  Co.,  In  re 

(1900),Sup.  Ct.  Ariz.,51. 
Michel.  In  re  (1899),  E.  Dist.  Wis.; 

Jones,  R.,  212. 
Mitchell  V.   McClure,  In  re   (1899), 

W.  Dist.  Pa.,  Buffington.  J.,  127. 
Mitchell,    In    re    (1899),    W.    Dist. 

Pa.,  Van  Werner,  R.,  163. 
Monroe,  In  re  (1902),  Dist.  Wash.,' 

Handford,  J.,  72,  91. 
Moore,   In  re   (1901),   Middle  Dist. 

Ala.,  Jones,  J.,  62. 


XXX 


TABLE  OF  CASES  DIGESTED. 


The  numbers  refers  to  the  pages: 


Moran  v.  King  (1901),  C.  C.  A.,  4th 

Cir.,  Boyd,  J.,  60,  72. 
Morton,  In  re   (1902),   Dist.   Mass., 

Lowell,  J.,  179. 
Morey  Mer.  Co.  v.  Schiflfer  (1902),  C. 

C.    A.,    8th   Cir.,    Sanborn,    J., 

182   202 
Morris,  'in  re  (1902),  E.  Dist.  Pa., 

McPherson,  J.,  45. 
Morse  &  Rogers  v.  Kaufman  (1902) , 

Sup.    Ct.    App.,    Va.,    Whittle, 

J.,  109,  110. 
Mosier,    In    re    (1901),    Dist.    Vt., 

Wheeler,  J.,  56. 
Morgan    v.    Wordell     (1901),    Sup. 

Ct.  Mass.,  Holmes,  J.,  239. 
Morrison,    In    re    (1901),    E.    Dist. 

Ark.,  Trieber,  J.,  67. 
Moore,    In    re    (1901),    Dist.    Vt., 

Wheeler,  J.,  159. 
Moore,  In  re  (1900),  Dist.  W.  Va., 

Jackson,  J.,  240. 
Morales,  In  re  (1901),  S.  Dist.  Fla., 

Locke,  J.,  44. 
Moran,  In  re  (1900),  W.  Dist.  Pa., 

Paul,  J.,  63,  72. 
Morris  V.  Dodd,  In  re  (1900),  Sup. 

Ct.  Ga.,  Fish,  J.,  243. 
Morgan,    In    re    (1900),    W.    Dist. 

Ark.,  Rogers,  J.,  102. 
Morrow,  In  re  (1899),  N.  Dist.  Cal., 

DeHaven,  J.,96. 
Moyer,  In  re  (1899),  E.  Dist.  Pa., 

McPherson,  J.,   38,   188. 
Muhlhausen   Co.,   In  re   (1902),   N. 

Dist.   O.,   Remington,   R.,   163. 
Murray    v.    Beal    (1901),    Sup.    Ct. 

Utah,  44. 
Mueller  v.   Bruss   (1901),   Sup.   Ct. 

Wis.,  Bamum,  J.,  253. 
Mueller  v.  Nugent  (1902),  Sup.  Ct. 

U.   S.,   Fuller,  J.,  26,  27,   128, 

148,  240. 
Mutual    Mercantile   Agency,   In   re 

(1901),  S.  Dist.  N.  Y.,  Adams, 

J.,  42,  50. 
Mullen,  In  re   (1900),   Dist.   Mass., 

Lowell,  J.,  229. 
Munroe  v.  Dewey,  In  re  (1900),  Sup. 

Ct.  Mass.,  Holmes,  J.,  244. 
Murray,  In  re  (1899),  S.  Dist.  la., 

Shiras,  J.,  54,  118,  263. 
Murray  v.  Beale  (1899),  Dist.  Utah, 

Marshall,  J.,  19,  128,  129,  232. 
Murray  et  al..  In  re  (1899),  N.  Dist. 

la.,  Shiras,  J.,  263. 
Mussey,  In  re  (1900),  Dist.  Mass., 

Lowell,  J.,  109. 


Mutual,  &c.,  Assn.  v.  Beatty  (1899), 

C.  C.  A..  9th  Cir.,  Morrow,  J., 

108. 
Myers,  In  re  (1900),  E.  Dist.  Pa.," 

Mason,  R.,  65. 
Myers,  In  re  (1900),  E.  Dist.  Pa., 

McPherson,  J.,  242. 
Myers  v.  Hart   (1901),  C.  C.  Ohio, 

Cook  J.,  131. 

N. 

Nachman,  In  re  (1902),  Dist.  S.  C, 

Brawley,  J.,  74,  123. 
Natl.  Bank  of  the  Republic  v.  Hobbs 

(1901),   Cir.    Ct.    S.    Dist.    Ga., 

Speer,  J.,  262. 
Natl.   Bank  v.   Moyss   (1902),   Sup. 

Ct.  U.  S.,  Fuller,  C.  J.,  148. 
Nathan,  In  re   (1899),   Dist.   Nev., 

Hawley,  J.,  81. 
Natl.  Distilling  Co.  v.  Seidel  (1899), 

Sup.    Ct.    Wis.,    Marshall,    J., 

84. 
Natl.  Bank  &  Loan  Co.  v.  Spencer 

(1900),  Sup.  Ct.  N.  Y.,  Spring, 

J.,  232. 
Neeley,  In  re  (1902),  C.  C.  A.,  2nd 

Cir.,  Lacombe,  J.,  84. 
New    Lamp,    &c.,    Co.    v.    Ansonia 

Brass.    &c.,    Co.    (1876),    Sup. 

Ct.  U.  S.,  1. 
New  Orleans  Acid  &  Fertilizer  Co 

V.  Grisson  &  Suggs  (1901),  Sup. 

Ct.  Miss.,  Calhoun,  J.,  228. 
Nelson,  In  re  (1899),  W.  Dist.  Wis., 

Bunn,  J.,  36,  39,  43,  59,  117. 
Neustadter  v.   Chicago   Dry   Goods 

Co.    (1899),   Dist.   Washington, 

Handford,  J.,  119,  186,  236. 
Newberry,   In  re   (1899),   W.    Dist. 

Mich.,  Sevems,  J.,  138. 
New    York    &    Westchester    Water 

Co.,  In  re  (1900),  S.   Dist.   N. 

Y.,  Brown,  J.,  49. 
New    York    Economical    Ptg.    Co., 

In  re  (1901),  C.  C.  A.,  2nd  Cir., 

Putnam,  J.,  134,  221,  251. 
Neiman,  In  re  (1901),  E.  Dist.  Wis., 

Seaman,  J.,  210. 
Newton,  In  re  (1901),  C.  C.  A.,  8th 

Cir.,  Adams,  J.,  23,  24. 
Nixon,   In  re   (1901),   Dist.    Mont., 

Knowles,  J.,  46. 
North   V.    Taylor    (1901),    Sup.    Ct. 

N.  Y.,  Parker,  J.,  243. 
Norcross,  In  re  (1899),  W.  Dist.  Mo., 

Hall,  R.,  49. 
Northrup,    In   re    (1899),    N.    Dist. 

N.  Y.,  Hotchkiss,  R.,  148. 


TABLE  OF  CASKS  DIGESTED. 


XXXI 


The  niimbers  refers  to  the  pages. 


Norcross  v.  Nathan  (1900),  N.  Dist. 

Cal..  Hawley,  J.,  4. 
Norcross    v.    Nathan    (1900),    Dist. 

Nev.,  Hawley,  J.,  128. 
Nowell,   In  re   (1900),   Dist.   Mass., 

Lowell,  J., 
Norcross  v.   Nave  &   McCord  Mer- 
cantile  Co.    (1900),    C.    C.    A., 

8th  Cir.,  136. 
Novak,  In  re  (1900),  N.  Dist.  la., 

Shiras,  J.,  43,  246,  247. 
Nunn,   In  re   (1899),   S.    Dist.    Ga., 

Proudfoot,  R.,  60. 
Nugent,  In  re  (1900),  C.  C.  A.,  6th 

Cir.,  Severens,  J.,  83. 
Nye  V.  Hart  (1901),  132. 

O. 

O'Connell,    In   re    (1899).    S.    Dist. 

N.  Y.,  Brown,  J.,  211. 
O'Gara,    In   re    (1899),    Dist.    Ore., 

Bellinger,  J.,  97. 
Oconee  Milling  Co.,  In  re  (1901),  C. 

C.  A.,  5th  Cir.,  225. 
Oderkirk,   In   re    (1900),    Dist.    Vt., 

Wheeler,  J.,  64. 
Ogden  V.  Saunders  (1827),  Sup.  Ct. 

U.  S.,  1. 
Ogles,  In  re  (1899),  W.  Dist.  Tenn., 

Hammond,    J.,    80,    116,    261, 

302. 
Ogles,  In  re  (1899),  W.  Dist.  Tenn., 

Walker,  R..  214,  239. 
Ogilvie,  In  re  (1901),  S.  Dist.  Ga., 

MacDonell,  R.,  67. 
Ohio    Co-operative    Shear    Co.,    In 

re  (1899),  N.  Dist.  O.,  Fay,  R., 

245. 
Old     Town     Bank     v.     McCormick 

(1903),   Sup.   Ct.   Md.,   Fowler, 

J..  2. 
Oliver,  In  re  (1899),  N.  Dist.  Cal., 

DeHaven,J.,28,  148. 
Oliver  V.    Hilgers    (1902),   Sup.    Ct. 

Minn.,  Lewis,  J.,  199. 
Oliver.  In  re  (1901),  W.  Dist.  Mo., 

Philips,  J.,  201. 
Oleson,  In  re  (19011,  N.  Dist.  la., 

Shiras,  J. ,65,  lOT. 
Oriental   Society,   In   re    (1900),    E. 

Dist.    Pa.,    McPherson,    J.,    49. 
Orman.  In  re  (1901),  C.  C.  A.,  5th 

Cir.,  134. 
Osbom,  In  re   (1900),  W.   Dist.   N. 

Y.,  Hazel,  J.,  62. 
Osbom  V.  Perkins  (1901),  C.  C.    A., 

1st  Cir.,  Aldrich,J.,94. 
Osbom,  In  re  (1902),  C.  C.  A.,  1st 

Cir.,  Putnam,  J.,  93. 


Otto,  In  re  (1902),  Dist.  N.  J.,  Kirk- 
patrick,  J..  98,  101. 

Otto,  In  re  (1902),  Dist.  N.  J., 
Lewis,  R.,  94. 

Ott,  In  re  (1899),  S.  Dist.  la.,  Wool- 
son,  J.,  211. 

Overstreet,  In  re  (1899),  E.  Dist. 
Ark.,  Dooley,  R.,  59. 

Owens  V.  Bmce  (1901),  C.  C.  A.; 
4th  Cir.,  Waddill,  J.,  163. 

P. 

Patten  v.   Corley   (1902),   Sup.  Ct. 

N.  Y.,  Bartlett,  J.,  221. 
Paxton   V.    Scott    (1902),    Sup.    Ct. 

Neb.,  111. 
Page,   In  re   (1900),   E.   Dist.   Pa., 

McPherson,  J.,  242. 
Park.  In  re  (1900),  W.  Dist.  Ark.; 

Rogers,  J.,  60. 
Patty -Joiner  Co.  v.  Cummins  (1900), 

Sup.    Ct.    Texas,    Gaines,  J., 

2,  41. 
Page,  In  re  (1901),  C.  C.  A.,  3rd  Cir.," 

Bradford,  J.,  242. 
Page  V.  Edmunds  (1902),  U.  S.  Sup. 

Ct.,  McKenna,  J.,  242. 
Packer  v.  Whittier  (1899),  C.  C.  A.,' 

1st  Cir.,  Webb.  J.,  180. 
Parker,  In  re   (1899),   Dist.  Kans.," 

White,  R.,  63,  75,  92. 
Parmenter    Mfg.    Co.    v.    Hamilton 

(1898),  Sup.  Ct.  Mass.,  Knowl- 

ton,  J.,  2,  38,  37. 
Parmenter    Mfg.    Co.    v.    Hamilton 

(1899),  Sup.  Ct.  Mass.,  Know- 
ton,  J.,  252. 
Pauley,  In  re  (1899),  N.  Dist.  N.  Y.; 

Hotchkiss,  R.,  254. 
Page.    In   re    (1900),    N.    Dist.    O.; 

Ricks,  J.,  115,  133. 
Reiser,  In  re  (1902),  E.  Dist.  Pa., 

McPherson,  J.,  13,  29. 
Peoples  Bank  of  Buffalo  v.  Brown 

(1902),  C.  C.  A.,  3rd  Cir.,  Dal- 
las, J.,  122,  123, 
Peterson  v.  Nash  Bros.  (1901),  C.  C. 

A.,  8th  Cir.,  Adams,  J.,  200.  201. 
Pennewell,  In  re  (1902),  C.  C.  A., 

6th  Cir.,  Severens,  J.,  208. 
Peck   V.    Connell    (1902),    Sup.    Ct. 

Pa..  Porter.  J.,  194. 
Penzansky.  In  re  (1902),  Dist.  Mass., 

Farmer.  R.,  47. 
People  V.    Schwartz    &     Greenberg 

(1902).  Criminal  Ct.  Cook  Co., 

111.,  Kavanagh,  J.,  74. 
Pearsall  v.  Nasau  Natl.  Bank  (1902), 

Sup.  Ct.  N.  Y.,  Jenks,  J.,  201, 

232. 


xxxu 


TABLE  OF  CASES  DIGESTED. 


The  numbers  refers  to  the  pages. 


Peacock,  In  re  (1900),  E.  Dist.  N.  C, 

Pumell,  J.,  92,  279. 
Pease,  In  re  (1900),  N.  Dist.  N.  Y., 

Hotchkiss,  R.,230. 
Peter  Paul  Book  Co.,  In  re  (1900), 

W.   Dist.   N.   Y.,  Hazel,  J.,  42, 

202,  213. 
Pearsall     v.     Nashua     Natl.     Bank 

(1902),  Sup.  Ct.  N.  Y.,  Jenks, 

J.,  232. 
Peck  Lumber  Mfg.   Co.  v.  Mitchell 

(1899),     Lackawanna    Co.     Ct. 

Pa.,  Com.   Pleas,  Edwards,  J., 

4,  256. 
Peters,   In  re    (1899),    Dist.    Mass., 

Olmstead,  R.,  73. 
Peterson,    In    re    (1899),    E.    Dist, 

Wis.,  Jones,  R.,  161. 
Pearson,  In  re  (1899),  S.  Dist.  N.  Y., 

Brown,  J.,  235. 
Pearson,  In  re  (1899),  E.  Dist.  Pa., 

Coffin,  R.,  240. 
Peterson,  In  re  (1899),  N.  Dist.  Cal., 

DeHaven,  J.,  60. 
Pepperdine  v.  Natl.  Exchange  Bank 

(1900),    Ct.  App.  Mo.,  Bland,  J., 

194. 
Perkins  v.  McCauley  (1899),  S.  Dist. 

Cal..  Wellborn,  J.,  129. 
Phillips  V.  Dreher  Shoe  Co.  (1902) , 

Middle     Dist.     Pa.,     Archbald, 

J.,  44. 
Phillips  V.  Turner  (1902),  C.  C.  A., 

5th  Cir.,  131. 
Philadelphia   &   Lewes   Transporta- 
tion Co.,  In  re  (1902),  E.  Dist. 

Pa.,  McPherson,  J.,  50. 
Phelps,  In  re  (1899),  N.  Dist.  N.  Y., 

Hotchkiss,  R..  200. 
Phillips,  In  re  (1900),  S.  Dist.  N.  Y., 

Brown,  J.,  101. 
Phihmon  v.   Marshall    (1902),   Sup. 

Ct.  Ga.,  Cobb,  J.,  111. 
Pinkhard  v.  Willis  &  Bros.   (1900), 

Sup.   Ct.   Texas,   Gill,  J.,   232. 
Picken   v.    Dent    (1901),   C.    C.   A., 

4th  Cir.,  Goff,  J.,  83. 
Pickens  v.  Dent  (1902),  Sup.  Ct.  U. 

S.,  Fuller,  J.,  81,  83. 
Pirie  V.  Chicago  Title  &  Trust  Co. 

(1901),  Sup.  Ct.  U.  S.,  McKen- 

na,  J.,  10,  178.  179. 
Pierce,  In  re  (1900),  N.  Dist.  N.  Y., 

Coxe,  J.,  95,  350. 
Pierce   &   Son,   In  re   (1900).   Dist. 

Washington.  Handford,  J.',  52' 
Pierce,     In    re    (1901),    Dist.    Col., 

Hallett,  J.,  153. 
Pinkell,  In  re  (1899),  N.  Dist.  N.  Y., 

Hotchkiss,  R.,  209. 


Pittelkow,   In   re    (1889),    E.    Dist. 

Wis.,  Seaman,  J..  82,  225. 
Planing  Mill  Co.,  In  re   (1901),  W. 

Dist.  N.  Y.,  Hotchkiss,  R.,  44. 
Plummer,  In  re  (1899),  N.  Dist.  N. 

Y.,  Hotchkiss,  R.,  163. 
Plimpton,   In  re   (1900),   Dist.   Vt., 

Wheeler,  J.,  168. 
Plotke,  In  re  (1900),  C.  C.  A.,  7th 

Cir.,  Seaman,  J.,  13,  15. 
Platts,    In   re    (1901),    Dist.    S.    D., 

Carland,  J.,229. 
Porter    Bros.,    In   re    (1901),    Dist. 

Ky.,  Evans,  J.,  80. 
Powers    Dry   Goods   Co.   v.    Nelson 

(1901),  Sup.  Ct.  N.  D.,  Young, 

J.,  66,  237. 
Pope,    In   re    (1900),    S.    Dist.    la., 

Shiras,  J.,65. 
Polakoff,  In  re  (1899),  N.  Dist.  N. 

Y.,  Hotchkiss,  R.,  140. 
Powers,    In    re    (1899),    Dist.    Vt., 

Mott,  R.,  236. 
Porter   v.    Cummings    (1900),    Sup. 

Ct.  Ga.,  Fish,  J.,  83. 
Post,    In   re    (1899),    N.    Dist.    O., 

Fisher,  R.,  71. 
Prentis  v.  BLichardson's  Estate  (1898) 

Sup.  Ct.  Mich.,  Moore,  J.,  232. 
Prager,    In    re    (1902),    Dist.    Col., 

Harrison,  R.,  68. 
Pridmore    v.    Torrey     (1902),    Sup. 

Ct.  N.  Y.,  Gildersleeve,  J.,  110. 
Price  &  Co.,  In  re  (1899),  S.  Dist. 

N.  Y.,  Brown,  J.,  23,  85,  131. 
Price,  In  re  (1899),  S.  Dist.  N.  Y., 

Brown,  J.,  73,  186. 
Purvine,  In  re  (1899),  C.  C.  A.,  5th 

Cir.,  Newman,  J.,  27,  134,  155. 
Pursell,   In  re   (1902),   Dist.   Conn., 

Piatt,  J.,  122. 
Purcell,  In  re   (1902),   Dist.  Conn., 

Townsend,  J.,  28. 

Q. 

Quackenbush,  In  re  (1900),  N.  Dist. 
N.  Y.,  Coxe,  J.,  97. 

R. 

Ratliff,  In  re  (1901),  E.  Dist.  N.  C," 

Pumell,  J.,  10,  195. 
Ray,  In  re  (1899),  Dist.  Washington, 

Worden,  R.,  15. 
Read  &  Knight,  In  re  (1901),  S.  Dist. 

N.  Y.,  Dexter,  R.,  181,  182. 
Real  Estate  Trust  Co.  v.  Thompson 

(1902),  E.  Dist.  Pa.,  McPherson, 

J.,  131. 


TABLE  OF  CASES  DIGESTED. 


XXXUl 


,The  numbers  refers  to  the  pages. 


Reed  v.  Eqmtable  Trust  Co.  (1902), 

Sup.  Ct.  Ga.,  Lumpkin,  J.,  226. 
Rees  V.   Boggs   (1902),  C.  Ct.   Pa., 

Bell,  J.,  2. 
Reed  v.  Cross  (1899),  Stiperior  Ct. 

Cook  Co.,  111.,  Ball,  ].,  79. 
Reliance  Co.,  In  re  (1900),  E.  Dist. 

Pa.,  McPherson,  J.,  273. 
Reichman,  In  re  (1899),  E.  Dist.  Mo., 

Adams,  J.,  36,  38. 
Rennie,   In   re   (1899),   Dist.    I.    T., 

Robinett,  R.,  168. 
Resler,   In  re    (1899),   Dist.    Minn., 

Merriman,  R.,  71. 
Resler,   In  re   (1899),   Dist.   Minn., 

Lochren,  J.,  71. 
Rhodes,  In  re  (1901),  N.  Dist.  Ohio, 

Wing,  J.,  63. 
Rhodes,  In  re  (1900),  W.  Dist.  Pa., 

Buffington,  J.,  175,  234. 
Rhutasell,     (1899)     N.     Dist.     la., 

Shiras,  J.,  94,  107. 
Richard,  In  re  (1899),  E.  Dist.  N.  C, 

Pumell,  J.,  2,  224. 
Riker,  In  re  (1901),  C.  C.  A.,  2nd 

Cir.,  128. 
Richter  v.  Nimmo  (1901),  Sup.  Ct. 

N.  Y.,  Jenks,  J.,  198. 
Richards,  In  re  (1900),  N.  Dist.  N. 

Y.,  Coxe.  J.,  157. 
Ripon  Knitting  Works  v.  Schreiber 

(1900),  Dist.  Wash.,  Handford, 

J.,  26. 
Richardson    v.    Woodward    (1900), 

C.  C.  A.,  4th  Cir.,  Pumell,  J., 

64,  67. 
Richards,    In   re    (1899),    W.    Dist. 

Wis.,  Bunn,  J.,  228,  236. 
Richman  &  Levy,  In  re  (1899),  N. 

Dis.  N.  Y.,  Morse,  R. 
Richards,   In  re   (1899),   C.   C.   A., 

7th  Cir.,  Jenkins,  J.,  134,  138, 

222   223. 
Rider,  In  re  (1899),  N.  Dist.  N.  Y., 

Coxe,  J. ,85,  86,  273. 
Rosenberg,  In  re  (1902),  E.  Dist.  Pa., 

McPherson,  J.,  184. 
Rosenthal  v.  Nave  et  al.  (1900),  Sup. 

Ct.  Mass.,  Barker,  T-.81. 
Robinson,    In   re    (1902),    W.    Dist. 

Mo.,  Philips,  J.,  221. 
Rose  V.  Vinton  (1900).  Pa.  Ct.  Com. 

Pleas,  Wallace,  J.,  244. 
Rosenthal,  In  re  (1901),  S.  Dist.  N. 

Y.,  Brown,  J.,  84. 
Ross  V.  Saunders  (1901),  C.  C.  A., 

4th  Cir.,  Putnam,  J.,  137. 
Roalswick,  In  re  (1901),  Dist.  Mont. 

Knowles,  J.,  226, 


Rothschild,  In  re   (1901),   S.   Dist. 

Ga.,Cravatt,  R.,  61,240. 
Ronk,    In    re    (1901),    Dist.    Ind.^ 

Baker,  J.,  229. 
Rosenfeld   v.    Siegfried    (1901),   Ct. 

App.   Mo.,   Bland,  J.,   112. 
Rosenberg,    In   re    (1901),    S.    Dist. 

N.  Y.,  Pendelton,  R.,  201. 
Royal,  In  re  (1901),  E.  Dist.  N.  C, 

Pumell,  J.,  72,  95. 
Royal,  In  re  (1902),  E.  Dist.  N.  C; 

Pumell,  J.,   90,   93. 
Royston  v.  Weis   (1902),  C.  C.  A., 

5th  Cir.,  53. 
Rogers,  In  re  (1902),  S.  Dist.  Ga.; 

Speer,  J.,  1,  21. 
Roche,  In  re  (1900),  C.  C.  A.,  5th 

Cir.,  137,  213. 
Rogers   Milling   Co.,    In  re    (1900), 

W.  Dist.  Ark.,  Rogers,  J.,  181. 
Rollins  Gold,  &c.,  Co.,  In  re  (1900), 

S.  Dist.  N.  Y.,  Brown,  J.,  42. 
Rosser,  In  re  (1900),  C.  C.  A.,  8th 

Cir.,  Sanborn,  J.,  134. 
Rockwood,  In  re  (1899),  N.  Dist.  la.,' 

Shiras,  J.,  240. 
Rogers,    In   re    (1899),    Dist.    Ky.; 

Howard,  R.,  79,  108. 
Romanow,  In  re  (1899),  Dist.  Mass., 

Lowell,  J.,  49,  188,  189. 
Rose,    In   re    (1899),    N.    Dist.    O.,' 

Hunter,  R.,  214. 
Rouse,   In  re   (1898),    N.    Dist.    O., 

Remington,  R.,  207. 
Rouse,  Hazard  &  Co.,  In  re  (1899), 

C.  C.  A.,  7th  Cir.,  133,  134,  135, 

213. 
Rosser,  In  re  (1899),  E.  Dist.  Mo.; 

Rogers,  J.,  74,  75,  154,  155. 
Rosser,  In  re  (1900),  E.  Dist.  Mo., 

Rogers,  J.,  26. 
Robinson  !>.  White  (1899),  Dist.  Ind., 

Baker,  J. ,85,  132. 
Rome  Planing  Mills  (1899),  N.  Dist. 

N.  Y.,  Coxe,  J.,  34,  35,  39. 
Rome  Planing  Mills,  In  re  (1900),  N' 

Dist,  N.  Y.,Coxe,J.,8,  43. 
Roy,  In  re  (1900),  Dist.  Vt.,  Wheeler, 

J.,  96. 
Rusch,  In  re  (1900),  E.  Dist.  Wis., 

Seaman,  J.,  159. 
Russell,  In  re  (1900),  N.  Dist.  Cal., 

DeHaven,  J.,  24,  82,  275. 
Russell  &  Birkett,  In  re  (1901),  N. 

Dist.  N.  Y.,  Hawley,  R.,  106. 
Ruse,  In  re   (1902),   N.   Dist.  Ala., 

Jones,  J.,  67. 
Rumsey,   &c.,  Co.  v.   Novelty  Mfg. 

Co.  (1899),  E.  Dist.  Mo.,  Adams, 

J.,  28,  32,  34,  41. 


XXXIV 


TABLE  OF  CASES  DIGESTED. 


The  numbers  refers  to  the  pages. 


Ruppel,  In  re  (1899),  W.  Dist.  Pa., 

Buffington,  J.,  225. 
Russell  &  Birkett,  In  re  (1900),  C. 

C.  A.,  2nd  Cir.,  Wallace,  J.,  21. 
Russia,    In   re    (1899),    Dist.    Ore., 

Bellinger,  J.,  244. 
Rude,    In    re    (1900),    Dist.    Ky., 

Evans,  J.,  120, 171, 
Rudnick,  In  re  (1900),  Dist.  Wash- 
ington, Handford,  J.,  59,  196. 
Rudnick,  In  re  (1899),  Dist.    Mass. 

Lowell,  J.,  89. 
RufE  V.  Milner  (1901),  Ct.  App.  of 

Mo.,  Bland,  J.,  110. 
Ryan,  In  re   (1901),   N.  Dist.   111., 

Kohlsaat,  J.,  201. 

S. 

Bargeiit  v.  Sargent  (1901),  Ohio  Cir. 

Ct.,  Phillips,  J.,  111. 
Ban  Gabriel  San.  Co.,  In  re  (1900), 

S.  Dist.  Cal.,  Wellborn,  J.,  49. 
San  Gabriel  San.  Co.,  In  re  (1900), 

C.  C.  A.,  9th  Cir.,  83. 
Ban  Gabriel  San.  Co.,  In  re  (1901), 

C.  C.  A.,  9th  Cir.,  130. 
Banderlin,    In   re    (1901),    E.    Dist. 

N.  C,  Pumell,  J.,  52,  53,  236. 
Sabin  v.  Camp    (1900),   Dist.   Ore., 

Bellinger,  J.,  34,   198. 
Sanborn,    In  re    (1899),    Dist.    Vt., 

Wheeler,  J.,  148. 
St.  Albans  Fdry.  Co.,  In  re  (1900), 

Dist.  Vt.,  Mott,  R.,  83. 
St.  John,  In  re  (1901),  N.  Dist.  N. 

Y.,  Coxe,  J.,  247. 
Sabine,  In  re  (1899),  N.  Dist.  N.  Y., 

Hotchkiss,   R.,   149,   153,   218, 

240. 
Sapiro,  In  re  (1899),  E.  Dist.  Wis., 

Seaman,  J.,  28,  73,  241. 
Scott  V.  Devlin  (1898),  S.  Dist.  N. 

Y.,  Brown,  J.,  254. 
Scruby  v.  Norman  (1901),  Ct.  App. 

Mo.,  Smith,  J.,  249. 
Schmitt,   In  re,   Dist.   O.,   Wayne, 

J.,  224. 
Scheivley,    In   re    (1902),    Cir.    Ct. 

Pa.   2. 
Schreck't;.  Hanlon  (1902),  Sup.  Ct. 

Neb.,  Duffie,  J.,  131. 
Schryerv.  Citizens  Natl.  Bank  (1902) 

Sup.  Ct.  N.  Y.,  Lawlin,  J.,  195. 
Schenck,  In  re  (1902),  Dist.  Wash- 
ington, Handford,  J.,  92,  94. 
Schenkein  &  Coney,  In  re  (1902),  W. 

Dist.     N.    Y.,    Hotchkiss,     R., 

38,  53,  78. 
Schenkin,  In  re  (1902) ,  45. 


Scheuer  v.  Smith  &  Co.  (1901),  C. 

C.  A.,  5th  Cir.,  Pardee,  J.,  39, 

76. 
Scott,    In   re    (1902),    Dist.    Mass., 

Olmstead,  R.,  30,  149. 
Schultz,  In  re  (1901),  S.  Dist.  N.  Y., 

Brown,  J.,  101. 
Schafer,  In  re   (1900),  N.   Dist.   N. 

Y.,  180. 
Schaeffer,  In  re  (1900),  E.  Dist.  Pa., 

McPherson,  J.,  206,  250. 
Scheld,  In  re  (1900),  C.  C.  A.,  9th 

Cir.,  Ross,  J.,  69,  249. 
Schmilovitz    v.     Bernstein     (1901), 

Sup.  Ct.  R.  I.,  Douglas,  J.,  247. 
Scanlon  &  Co.,  In  re  (1899),  Dist. 

Ky.,  Evans,  J.,  214. 
Schlesinger,  In  re  (1900),  C.  C.  A., 

8th  Cir.,  Shipman,  J.,  26. 
Schlesinger,   In  re   (1899),   S.   Dist. 

N.  Y.,  Brown,  J.,  26,  28. 
Schloerb,  In  re  (1899),  E.  Dist.  Wis., 

Seaman,  J.,  16. 
Schrom,  In  re  (1899),  N.  Dist.  la., 

Shiras,  J.,  16. 
Scott,  In  re  (1900),  E.  Dist.  N.  C, 

Pumell,  J.,  16,  142,  276. 
Schertzer,  In  re  (1900),  E.  Dist.  Pa., 

McPherson,  J.,  102. 
Schreck,  In   re  (1899),  N.  Dist.  N. 

Y.,  Hotchkiss,  R.,  90. 
Scott,  In  re   (1899),  W.   Dist.   Pa., 

Buffington,  J.,  73. 
Scott,  In  re  (1899),  N.  Dist.  Tex.,' 

Meek,  J. ,174,  218,  273. 
Schiller,  In  re  (1899),  W.  Dist.  Va., 

Paul,  J.,  72,  276. 
Severin  v.  Robinson  (1901),  Appel- 
late Ct.  Ind.,  Wiley,  J.,  233. 
Seebold,  In  re  (1901),  C.  C.  A.,  5th 

Cir.,    McCormick,    J.,    5,    237. 
Seebold,  In  re  (1902),  C.  C.  A.,  5th 

Cir.,  McCormick,  J.,  2. 
Seabolt,  In  re  (1902),  W.  Dist.  N. 

C,  Boyd,  J.,  59,  76. 
Seymour   v.    Richardson,    &c.,    Co. 

(1902),  Ct.  App.  111.,  Freeman, 

J.,  111. 

Seabrig  v.  Wellington  (1901),  N.  Y., 

Sup.  Ct.,  App.  Div,,  Adams,  J., 

199. 
Sears,  In  re  (1902),  C.  C.  A.,  2nd 

Cir     187    189 
Sears,  in  re  (1901),  W.  Dist.  N.  Y., 

Hazel,  J.,  143. 
Seay,   In  re    (1902),   N.    Dist.    Ga., 

Newman,  J.,  180. 
Sewell,  In  re  (1902),  E.  Dist.  Ky., 

Cochran,  J.,  229. 


TABLE  OF  CASES  DIGESTED. 


XXXV 


The  numbers  refers  to  the  pages. 


Seydfel,  In  re  (1902),  N.  Dist.  la., 

Shiras,  J.,  68. 
Seivers,  In  re  (1899),  E.  Dist.  Mo., 

Adams,  J.,  2,  17,  127,  256. 
Sellers  v.  Bell  (1899),  C.  C.  A.,  5th 

Cir.,    McCormick,    J.,    60,    98, 

100,  167,  168. 
Shirely,  In  re  (1901),  C.  C.  A..  6th 

Cir.,  Day,  J.,  225. 
Shilliday,  In  re  (1899),  W.  Dist.  Pa., 

Blair,  R.,  206. 
Sherman  v.  Luckhardt  (1902),  Sup. 

Ct.  Kans.,  Doster,  J.,  193. 
Sherman  v.   Luckhard    (1902),   Mo. 

Ct.  App.,  Smith,  J.,  195. 
Shenkin  &  Coney,  In  re  (1902),  W. 

Dist.  N.  Y.,  Hotchkiss,  R.,  53. 
Shaw,  In  re   (1901),   E.   Dist.   Pa., 

McPherson,  J.,  175,  215. 
Shera,  In  re  (1902),  S.  Dist.  N.  Y., 

Adams,   J.,   28. 
Shirley,  In  re  (1901),  C.  C.  A.,  6th 

Cir.,  Day,  J., 
Shepard,  In  re  (1900),  S.  Dist.  N.  Y., 

Brown,  J.,  84. 
Shepherd,    In   re    (1900),    N.    Dist. 

111.,  Eastman,  R.,  226. 
Shattuck  &  Bugh,  In  re  (1901),  W. 

Dist.  N.  Y.,  McMaster,  R.,  57. 
Shuller,  In  re  (1901),  E.  Dist.  Wis., 

Seaman,  J.,  66. 
Sheldon  v.  Parker  (1902),  Sup.  Ct. 

Neb.,Duffie,  J.,  131. 
Shaeflfer,  In  re  (1900),  E.  Dist.  Pa., 

McPherson,  J.,  250. 
Shapiro,  In  re  (1901),  S.  Dist.  N.  Y., 

Brown,  J.,  33,  57. 
Sheinbaum,   In  re   (1901),  S.   Dist. 

N.  Y.,  Brown,  J.,  129. 
Sheridan,  In  re  (1899),  E.  Dist.  Pa., 

McPherson,  J.,  228. 
Shorer,  In  re   (1899),   Dist.   Conn., 

Townsend,  J.,  100. 
Silverman  Bros.,  In  re  (1899),  W. 

Dist.  Mo.,  Crittenden,  R.,  209, 

215. 
Simpson  v.  Van  Etten,  C.  C.  E.,  Dist. 

Pa.,  Dallas,  J.,  236. 
Sims,  In  re   (1902),   W.   Dist.   Ga., 

Speer,  J.,  207. 
Sirrine  v.  Stoner  Marshall  Co.  (1902), 

Sup.  Ct.  S.  C,  193. 
Silverhom,  In  re  (1900).  N.Dist.IU., 

Kohlsaat,  J.,  21. 
Silberstein  v.  Stahl  et  aL  (1900),  N. 

Y.   Sup.   Ct.,    Russell,  J.,    128. 
Silverman  v.  Schoor  (1899).  S.  Dist. 

N.  Y.,  Brown,  J.,  212. 
Simonson  v.  Sinscheiner   (1901),  C. 

C.  A.,  6th  Cir.,  Taft,  J.,  116,  206. 


Sinscheiner  v.  Simonson   (1900),  C. 

C.  A.,  6th  Cir.,  Taft,  J.,  116,  206. 
Sievers,  In  re  (1899),  E.  Dist.  Mo., 

Adams,  J.,  2,  17,  127,  256. 
Simonson,  In  re  (1899),  Dist.  Ky., 

Evans,  J.,  115,  116,  187. 
Skillin    V.    Maibrunn    (1902),    Sup. 

Ct.  N.  Y.,  O'Brien,  J.,  131. 
Skinner,  In  re  (1899),  N.  Dist.  la., 

Shiras,  J.,  96. 
Skillun    V.    Edelman    (1902),    Sup. 

Ct.  N.  Y.,  Gildersleeve,  J.,  253. 
Slomka,  In  re  (1902),  S.  Dist.  N.  Y., 

Adams,  J.,  208. 
Slack,     In    re     (1901),     Dist.     Vt., 

Wheeler,  J.,  76. 
Slingluflf,   In  re   (1900),   Dist.   Md., 

Morris,  J.,  72,  249. 
Smalley  v.  Langenower  (1902),  Sup. 

Ct.   Washington,   FuUerton,  J., 

161. 
Small  V.   Mueller   (1901),   Sup.   Ct. 

N.  Y.,  Bartlett,  J.,  253. 
Sloane,   In  re    (1900),   S.   Dist.  la.; 

Shiras,  J.,  196. 
Smith  &  Dodson,  In  re  (1899),  Dist. 

Ind.,  Baker,  J.,  256. 
Smith,   In  re   (1902),    Dist.   Conn., 

Piatt,  J.,  44. 
Smith,    In    re    (1899),    Dist.    Ind., 

Baker,  J.,  2,  40. 
Smith,  In  re  (1902),  N.  Dist.  Ga., 

Newman,  J.,  28,  84. 
Smith  V.   Zachry    (1902),   Sup.   Ct. 

Ga.,  Little,  J.,  106,  226. 
Smith  V.  Keegan  (1901),  C.  C.  A,: 

1st  Cir.,  Putnam,  J.,  93. 
Smith  V.  Meisenheimer  (1898),  Sup 

Ct.  Ky.,  Lewis,  J.,  81. 
Smith,  In  re  (1902),  S.  Dist.  N.  Y., 

Adams,  J.,  75,  140. 
Smith    V.    Stansfield    (1901),    Sup. 

Ct.  Minn.,  Lewis^.,  108. 
Smith,  In  re  (1901),  W.  Dist.  N.  C, 

Pumell,J.,213. 
Smith  V.  Bellford  (1901),  C.  C.  A., 

6th  Cir.,  Severens,  J.,  22. 
Smith,  In  re  (1901),  W.  Dist.  N.  C, 

Pumell,  J.,  213. 
Smith  V.  Wheeler  (1900),  N.  Y.  Sup. 

Ct.,  Mervin,  J.,  104. 
Smith,  In  re   (1899),   S.   Dist.   Ga., 

Speer,  J.,  240. 
Smith,  In  re  (1899),  N.  Dist.  N.  Y., 

Hotchkiss,   R.,    157,    172,   205, 

210. 
Smith,  In  re  (1899),  W.  Dist.  Tex., 

Maxey,  J.,  24,  25,  63,  64,  267, 

269,  276. 


XXXVl 


TABLE  OF  CASES  DIGESTED. 


The  numbers  refers  to  the  pages. 


Smoke,  In  re  (1900),  S.  Dist.  N.  Y., 

Brown,  J.,  181. 
Soper  &  Slade,  In  re  (1899),  N.  Dist. 

N.  Y.,  Hotchkiss,  R.,  258,  267. 
Soldosky,  In  re  (1901),  Dist,  Mont., 

Lochren,  J.,  200. 
South    End    Improvement    Co.     v. 

Hardin  (1902),  Sup.  Ct.  N.  J., 

Reed,  J.,  222. 
Soudans  Mfg.  Co.,  In  re  (1902),  C. 

C.    A.,    7th    Cir.,    Seaman,    J., 

226. 
Southern  Loan  &  Trust  Co.  v.  Ben- 
bow    (1899),    W.    Dist.    N.    C, 

Ewart,  J.,  4, 19,  23,  80,  229. 
Sprawlin  v.  Colson  Bros.  (1902),  Sup. 

Ct.  Miss.,  Tennel,  J.,  125. 
Spear  et  al..  In  re  (1901),  Dist.Vt., 

Wheeler  J.,  100. 
Spencer  v.  Duplan  Silk  Co.   (1902), 

E.  Dist.  Pa.,  McPherson,  J.,  189. 
Stickney    &    Babcock    Coal    Co.    v. 

Goodwin  (1901),  Sup.  Ct.  Me., 

Wiswell,  J.,  233. 
State  ex  rel  Crane  et  al.  v.  Chamber 

of    Commerce    of    Minneapolis, 

(1899.)    Sup.   Ct.Minn.,   Canty, 

J.,  243. 
State  V.  Superior  Ct.  King  Co.  (1899) , 

Sup.    Ct.    Washington,    Bevis, 

J.,  253. 
Staunton,  In  re  (1902),  E.  Dist.  Pa., 

McPherson,  J.,  68. 
Sturges  V.  Crowinshield  (1819),  Sup, 

Ct.  U.  S.,  1. 
Standard  Latmdry  Co.,  In  re  (1901), 

N.    Dist.    Cal.,    DeHaven,    J., 

246. 
Standard  Laundry  Co.,  In  re  (1902), 

C.  C.  A.,  9th  Cir.,  Hawley,  J., 

221 
Stark,  In  re  (1899),  S.  Dist.  N.  Y., 

Holt,  R.,  100. 
Stark,  In  re  (1899),  S,  Dist.  N.  Y., 

Brown,  J.,  101, 
Steele  &  Co.,  /«r^    (1899),   S.   Dist. 

la.,  Shiras,  J.,  63,  248,  250. 
Stevenson  &  King,  In  re  (1899),  E. 

Dist.  N.  C,  Pumell,  J.,  59. 
Stevenson,  In  re  (1899),  Dist.  Del., 

Bradford,    J.,    6,    43,    44,    143, 

190,  302. 
Stevens,    In   re    (1901),    Dist.    Vt., 

Wheeler,  J.,  55. 
Stem,  In  re  (1899),  Dist.  Ind.,  Bak- 
er, J.,  24,  185,  219. 
Steger,  In  re  (1902),  N.  Dist.  Ala., 

Jones,  J..  50,  119. 


Stem  V.  Louisville  Trust  Co.  (1901), 

C,    C.    A..    6th   Cir.,    Severens, 

J.,  34,  197. 
Stege,  In  re  (1902),  C,  C,  A.,  2nd 

Cir.,  10. 
Stem,  In  re  (1902),  C.  C.  A.,  2nd 

Cir.,   Townsend,   J.,    190,    208. 
Stevens  v.  Meyers   (1902),  Sup.  Ct. 

N.  Y.,  Ingraham,  J.,  107. 
Stone,  In  re  (1902),  E.  Dist.  Ark., 

Treiber,  J.,  67,  68. 
Storck    Lumber   Co.,    In   re  (1902), 

Dist.  Md.,  Morris,  J.,  1,  255. 
Stedman  v.  Bank  of  Monroe  (1902), 

C.  C.  A.,  8th  Cir.,  Lochren,  J., 

231. 
Stratton    v.    Lawson    (1902),    Sup. 

Ct.  Wash.,  Mount,  J.,  195. 
Steed  &  Ctirtis    (1901),  E.  Dist.    N. 

C,  Pumell,  J. ,92. 
Steininger  Merc.  Co.    (1901),   C.  C. 

A.,    5th   Cir.,    Pardee,   J.,    220. 
Stokes,  In  re  (1901),  E.  Dist.  Pa., 

McPherson,  J.,  56,  243. 
Stokes,  In  re  (1900),  S.  Dist.  N.  Y., 

Wise,  R.,  65. 
Stokes,  In  re  (1899),  Dist.  Wash., 

Munter,  R.,  14. 
Stotts,   In  re   (1899),   S.   Dist.   la., 

Woolson,  J.,  212. 
Stone  V.  Jenkins    (1900),   Sup.   Ct. 

Mass.,  Morton,  J.,  88. 
Storm,  In  re  (1900),  E.  Dist.  N.  Y., 

Thomas,  J.,  36,  39. 
Stout,  In  re  (1900),  W.  Dist.  Mo., 

Philips,  J.,  67,  150. 
Strobel   v.    Knost    (1900),    S.    Dist. 

Ohio,  Thompson,  J.,  181. 
Stumpf,  In  re  (1900),  Sup.  Ct.  Okla., 

Burwell,  J.,  136. 
Styer,   In  re   (1899),   E.   Dist.   Pa., 

McPherson,  J.,  148.  234. 
Sugenheimer,  In  re  (1899),  S.  Dist. 

N.  Y.,  Brown,  J.,  121,  271. 
Sullivan,  In  re  (1899),  N.  Dist.  N. 

Y.,  Hotchkiss,  R.,  209. 
Steele  v.  Buel  (1900),  C.  C.  A.,  8th 

Cir.,  Caldwell,  J.,  66,  69. 
Stein,  In  re  (1901),  C.   C.  A.,  2nd 

Cir.,  115. 
Steindler  &  Hahn,  In  re  (1900),  S. 

Dist.  N.  Y.,  Pendleton,  R.,  95. 
Steuer,   In  re   (1900),   Dist.    Mass., 

Lowell,  J.,  115. 
Stevens,    In   re    (1900),    Dist.    Vt., 

Wheeler,  J.,  56,  178. 
Stoever.  In  re  (1900),  E.  Dist.  Pa., 

McPherson,  J..  273. 
Stoner,  In  re  (1901),  E.  Dist.  Pa., 

McPherson,  J.,  250. 


TABLE  OF  CASES  DIGESTED. 


XXXVll 


The  numbers  refers  to  the  pages. 


Strause  v.  Hooper  (1901),  E.  Dist. 

N.  C.  Pumell,  J..  57,  93. 
Stroud  V.  McDaniel,  In  re  (1901),  C. 

C.  A.,  4th  Cir.,  Pumell,  J.,  226. 
Stendts,  In  re  (1899),  N.  Dist.  N.  Y. 

Hotchkiss,    R.,    196,    206,  209, 

215. 
Swift,    In   re    (1900),    Dist.    Mass., 

Lowell,  J.,  175,  226. 
Swift,    In   re    (1901),    Dist.    Mass., 

Olmstead,  R.,  216. 
Swords,  In  re  (1901),  N.  Dist.  Ga., 

Newman,  J.,  69. 
Swartz   V.    St.    Louis   Fourth   Natl. 

Bank  (1902),  C.  C.  A.,  8th  Cir., 

Sanborn,  J.,   34,   35,   180,   194. 
Swartz    V.    Siegel    (1902),    E.    Dist. 

Mo.,  Adams,  J.,  199. 
Swartz  V.   Siegel    (1902),   C.    C.   A. 

8th  Cir.,  Sanborn,  J.,  4,  5. 
Sykes,  In  re  (1901),  W.  Dist.  Tenn., 

Hammond,  J.,  94.  119. 

T. 

Talbot,  In  re   (1901),  Dist.  Mass., 

Lowell,  J.,  175. 
Talbot,  In  re  (1902),  W.  Dist.  Ga., 

Speer,J.,68. 
Taylor,    In    re    (1901),    Dist.    Col., 

Hallett,  J.,  26. 
Taylor,  In  re  (1901),  N.  Dist.  Cal. 

Holland,  R.,  254. 
Taylor    v.    Taylor    (1900),    N.    J., 

Chancery,  Reed,  J.,  222. 
Taylor,  In  re  (1899),  N.  Dist.  N.  Y. 

King,  R.,  187,  196. 
Taylor,  In  re  (1900),  C.  C.  A.,  7th 

Cir.,    Bunn,   J.,    49,    116,    117, 

302. 
Taft  V.  Fourth  Natl.    Bank    (1900) 

C.  C.  Ohio,  195. 
Tanner,  In  re  (1901),  W.  Dist.  N.  Y., 

McMaster,  R.,  200. 
Tatem,  Mann  &  Co.,  In  re  E.  Dist. 

N.  C,  Pumell,  J.,  220,  255. 
Tenney,  In  re,  S.  Dist.  N.  Y.,  Brown, 

J.,  223. 
Teague,    In   re    (1899),    Dist.    Ind., 

Baker,  J.,  233. 
Tebo,   In  re   (1900),   Dist.   W.   Va., 

Jackson,   J.,   9,   213,   215,   226, 

275. 
Terrill,    In    re    (1900),    Dist.    Vt. 

Wheeler,  J.,  200,  211. 
Tecopa  Mining  &  Smelting  Co.,  In 

re   (1901),   S.   Dist.  Cal.,  Well- 
bom,  J.,  50. 
Thompson   Sons,   In  re   (1901),   E. 

Dist.  Pa.,  Hvmter,  R.,  200. 


Thompson,  Sons,  In  re  (1902),  E. 

Dist.  Pa.,  McPherson,  J.,  201. 
Thompson,  In  re  (1902),  S.  Dist.  Ga., 

Speer,  J.,  61. 
Thomas,  In  re  (1899),  S.  Dist.  la., 

Woolson,  J.,  91,  107. 
Thomas,  In  re  (1899),  Dist.  Wash- 
ington, Hanford,  J.,  63. 
Thomas,  In  re  (1900),  W.  Dist.  Pa., 

Biiffington,  J.,  36,  38. 
Tilden,  In  re   (1899),   S.   Dist.   la., 

Woolson,  J.,  63,  67,  210. 
Tirre,  In  re  (1899),  S.  Dist.  N.  Y., 

Brown,  J. ,49, 188. 
Tinker,  In  re  (1900),  S.  Dist.  N.  Y., 

Brown,  J.,  91,  108. 
Todd,  In  re  (1901),  S.  Dist.  N.  Y., 

Brown,  J.,  20,  71,  149,  153. 
Tonawanda  St.  Planing  Mill  Co.,  In 

re    (1901),     W.    Dist.    N.    Y. 

Hotchkiss,  R.,   142. 
Tontine  Surety  Co.  of  N.  J.,  In  re 

(1902),  Dist.  N.  T.,  Kirkpatrick, 

J.,  50. 
TopUflE,   In  re   (1902),   Dist.   Mass., 

Lowell,  J.,  197,  202. 
Torrence   v.    Winifred    Natl.    Bank 

(1903),  Sup.  Ct.  Kans.,  Green, 

t.  233. 
Tobias,  In  re  (1900),  W.  Dist.  Va., 

Paul,  J.,  65. 
Tollett,  In  re  (1900),  C.  C.  A.,  6th 

Cir.,  Lurton,  J.,  61. 
Tollett,  In  re  (1900),  E.  Dist.  Tenn. 

Grayson,  R.,  61. 
Tompkins  v.   Hazen   (1900),   N.  J. 

Ct.  App.,  Bartlett,  J.,  109. 
Turner  v.  Turner  (1901),  Dist.  Ind., 

Baker,  J.,  80,  105. 
Tune,  In  re  (1902),   N.   Dist.  Ala., 

Jones,  J.,  19,  66,  149,  235. 
Tudor,    In    re    (1899),    Dist.    Col., 

Hallett,  J.,  18,  27,  28,  249. 
Turrentine  v.  Blackwood,  1900,  Sup. 

Ct.  Ala.,  Harralson,  J.,  129. 
Tumbull,  In  re  (1901),  Dist.  Mass., 

Olmsted,  R.,  64. 
Tumbull,  In  re  (1901),  Dist.  Mass., 

Lowell,  J.,  63. 
Twaddell,  In  re  (1901),  Dist.  Del., 

Bradford,  J.,  247. 
Tyrrell  v.  Hammerstein  (1900),  Sup. 

Ct.    N.    Y.,   McAdams,   J.,    61, 

108. 

u. 

U.  S.  V.  McAleese  (1899),  C.  C.  A., 
3rd  Cir.,  McPherson,  J.,  18. 


xxxvm 


TABLE  OF  CASES  DIGESTED. 


The  numbers  refers  to  the  pages. 


United  States  v.   Union   Surety  & 

Guaranty  Co.    (1902),   S.   Dist. 

N.  Y.,  Adams,  J.,  166. 
Ulf elder  Clothing  Co.,  In  re  (1899), 

N.    Dist.   Cal.,   De   Haven,   J., 

188 
Union,  &c.,  Mfg.  Co.,  In  re  (1902), 

C.  C.  A.,  7th  Cir.,    Jenkins,  J., 

34,  197. 
Utt,  In  re  (1901),  C.  C.  A.,  7th  Cir., 

Woods,  J.,  116,  163,  245. 

V. 

Valentine  Co.,  In  re  (1899),  N.  Dist. 

Cal.,  DeHaven,  J.,  235. 
Valentine  &  Co.,  In  re  (1899),  C.  C. 

A.,  9th  Cir.,  Gilbert,  J.,  240. 
Van  Orden,  In  re  (1899),  Dist.  N.  J., 

Kirkpatrick,  J.,  206. 
Vaughan,  Inre  (1899),  S.  Dist.  N.  Y. 

Brown,  J.,  222. 
Vaccaro  v.  Security  Bank  (1900),  C. 

C.  A.,  6th  Cir.,  Lurton,  J.,  32, 

35    42    54. 
Van  Alstyiie,  In  re  (1900),  N  Dist. 

N.  Y.,  Coxe,  J.,  85. 
Veitch,  In  re   (1900),   Dist.   Conn., 

Townsend,  J.,  210. 
Vietor  v.  Lewis,  In  re  (1899),  Smp. 

Ct.N.Y.,  O'Brien,  J.,  83. 

W. 

Wakeman  v.  Throckmorton  (1902), 

Sup.  Ct.  Conn.,  Baldwin,  J.,  232. 
Wallal  V.  Camp  (1901),  Sup.  Ct.  Pa., 

Beaver,  J.,  232. 
Watertown    Carriage    Co.    v.    Hall 

(1901),  Sup.  Ct.  N.  Y.,  Smith, 

J.,  106. 
Watertown    Carriage    Co.    v.    Hall 

(1902),  Sup.  Ct.  N.  Y.,  Smith, 

J.,  208. 
Watschke  v.  Thompson  (1901),  Sup. 

Ct.  Minn.,  Lewis,  J.,  237. 
Waterbury    Furniture    Co.,    In    re 

(1902),  Dist.  Conn.,  Townsend, 

J.,  180,  195. 
Waukesha  Water  Co.,  In  re  (1902), 

E.  Dist.  Wis.,  Seaman,  J.,  13,  20. 
Wagner  v.  U.  S.   (1900),  C.  C.  A., 

6th  Cir.,  Day,  J.,  82. 
Walsh,   In  re   (1900),   S.    Dist.    O., 

Thompson,  J.,  75. 
Waxelbaum,  In  re  (1900),  N.  Dist. 

Ga.,  Newman,   J.,  61,  266. 
Wall  V.  Cox  (1901),  Sup.  Ct.  U.  S., 

Gray,  J.,  127. 


Ward,   In   re    (1900),    Dist.    Mass., 

Lowell,  J.,  15. 
Walther,  Inre  (1899),  E.  Dist.  N.  Y., 

Thomas,  j.,  107. 
Walker,  In  re  (1899),  Dist.  N.  Dak., 

Amidon,  J.,  5,  73,  75. 
Washburn  Bros.,  In  re  (1900),  Dist. 

Conn.,  Townsend,  J.,  6. 
Waxelbaum,  In  re  (1899),  S.  Dist. 

N.  Y.,Brown,  J.,  14,266. 
Weeks  v.   Fowler   (1902),   Sup.   Ct. 

N.  H.,  Case,  J.,  249. 
West  Co.  V.  Bevory  et  al.  (1898) ,  Sup. 

Ct.  N.  H.,  Young,  J.,2. 
Wetmore  v.  Wetmore   (1899),  Sup. 

Ct.  N.  Y.,  O'Brien,  J.,  48,  111. 
Wenham  v.  Martin  (1902),  Ct.  App. 

111.,  Waterman,  J.,  110. 
Welty  V.  Welty  (1900),  Ct.  App.  111., 

1st  Dist.,  Windes,  J.,  111. 
Wetmore,  In  re  (1901),  W.  Dist.  N. 

Y.,  Knight,  R.,  141. 
Weil,  In  re  (1901),  S.  Dist.  N.  Y., 

Adams,  J.,  130. 
West    Norfolk   Lumber   Co.,    In   re 

(1902),  E.  Dist.  Va.,  Waddill, 

J.,  217. 
Weissner,  In  re  (1902),  E.  Dist.  N. 

Y.,  Thomas,  J.,  159,  182. 
Wells,  In  re  (1902),  W.  Dist.  Mo., 

McPherson,  J.,  241. 
West,   In  re    (1902),   N.   Dist.  Ga., 

Newman,  J.,  68. 
Western  Cold  Storage  Co.  v.  Hurd 

(1902),  W.   Dist.   Mo.,  PhiHps, 

J.,  107. 
Westphall  Bros.  &  Co.,  In  re  (1902), 

W.  Dist.  Cal.,  Wise,  R.,  74. 
Westcott  Co.  V.  Berry  et  al.  (1899), 

Sup.  Ct.  N.  H.,  Young,  J.,  254. 
Wetmore,  In  re  (1900),  E.  Dist.  Pa., 

McPherson,  J.,  96,  244,  247. 
Wetmore,  In  re  (1900),  S.  Dist.  Pa., 

McPherson,  J.,  247. 
West.  In  re  (1901).  C.  C.  A.,  2nd 

Cir.,  Shipman,  J.,  32,  33. 
Wertheimer,  In  re  (1900),  S    Dist. 

N.  Y.,Adams,J.,91,176. 
Wells,  In  re  (1900),  W.  Dist.  Ark., 

Rogers,  J.,  67,  245. 
Wetmore,  In  re  (1901),  C.  C.  A.,  4th 

Cir.,  Bradford,  J.,  247. 
West  Bros.  v.  Lea  &  Co.  (1899),  Sup. 

Ct.  U.  S.,  White,  J.,  40. 
Webb,  In  re  (1900),  N.  Dist.  N.  Y., 

Coxe,  J.,  95,  97. 
Welch,  In  re   (1901),   S.   Dist.     O., 

Thompson,  J.,  96,  98. 


TABLE  OF  CASES  DIGESTED. 


XXXIX 


The  numbers  refers  to  the  pages. 


Westlund,  In  re  (1899),  Dist.  Minn., 

Lochren,  J.,  215, 
White  V.   Thompson  et  al.    (1903), 

C.  C.  A.,  5th  Cir.,  231. 
White,  In  re  (1900),  W.  Dist.  Mo., 

Philips,  J.,  61. 
White  V.  Bradley  Lumber  Co.  (1902), 

S.  Dist.  Ala.,  Toulmin,  J.,  190. 
White  V.  Schloerb  (1900),  Sup.  Ct. 

U.  S.,  Gray,  J.,  23. 
Whitely  Grocery  Co.  v.  Roach  (1902), 

Sup.  Ct.  Ga.,  Fish,  J.,  199. 
Whitener,  In  re   (1900),   C.   C.   A., 

5th  Cir.,  Pardee,  J.,  20,  133,  247. 
White,    In    re    (1900),    Dist.    Vt., 

Wheeler,  J.,  25,  269. 
Wilson  V.  City  Bank  (1873).  Sup.  Ct. 

U.  S.,  1. 
Wilcox,  In  re  (1901),  C.  C.  A.,  2nd 

Cir.,  Shipman,  J.,  93. 
Wilson,  In  re  (1901),  W.  Dist.  Va., 

Paul,  J.,  67. 
Wittenberg,  &c.,  Co.,  In  re  (1901), 

E.  Dist.  Wis.,  Seaman,  J.,  197. 
Wilbur  V.  Watson  (1901),  Dist.  R. 

I.,  Brown,  J.,  255. 
Wilkes,  In  re  (1902),  E.  Dist.  Ark., 

Treiber,  T-.  220. 
Wilson  Bros.  v.  Nelson  (1901),  Sup. 

Ct.  U.  S.,  Gray,  J.,  38,  39. 
Wiessner,  In  re  (1902),  E.  Dist.  N. 

Y.,  Thomas,  J.,  159,  182. 
Williamson,  In  re  (1901),  N.   Dist. 

Ga.,  Newman,  J.,  60. 
Wilson,  In  re  (1902),  W.  Dist.  Ark., 

Rogers,  J.,  26,  27. 
Wilson  V.  Parr  (1902),  Sup.  Ct.  Ga., 

Little.  J.,  23. 
Wilson  V.  Pa.  Trust  Co.  (1902),  C.  C. 

A.,  3rd  Cir.,  Achison,  J.,   176. 
Wilson,  In  re  (1900),  E.  Dist.  N.  C, 

Pumell,  J.,  64. 
Wilcox  &  Wright,  In  re  (1899),  Dist. 

Tenn.,  Grayson,  R.,  175. 
Wilcox,  In  re   (1899),   Dist.   Mass., 

Lowell,  J.,  55,  56. 
Williams,  In  re  (1900),  Dist.  Wash- 
ington, Hanford,  J.,  14. 
Wolfstein,  In  re  (1899) ,  N.  Dist.  N. 

Y.,  Brown,  J.,  279. 
Wood  V.  Vandewer  (1900),  Sup.  Ct. 

N.  Y.,  Rumsey,  J.,  87. 
Worden   v.   Columbus   Electric   Co. 

(1899),    Dist.    Ind.,    Baker,   J., 

10,  179,  236. 
Wolff,  In  re  (1900),  N.  Dist.   Cal., 

DeHaven,  J.,  90,  92. 
Worcester  Co.,  In  re  (1900),  C.  C. 

A.,   1st  Cir.,   Putnam,  J.,   134, 

216. 


Wolfensohn,  In  re  (1900),  S.  Dist. 

N.  Y.,  Dexter,  R.,  93. 
Woodruff  V.   Chesere   (1901),  C.  C. 

A.,    5th    Cir.,    McCormick,    J., 

67. 
Woodside  Coal  Co.,  7n  re  (1900),  E. 

Dist.  Pa.,  McPherson,  J.,  49. 
Woodruff   et   al..    In   re    (1899),    S. 

Dist.  Ga.,  Speer,  J.,  62. 
Wolpert,  In  re  (1899),  N.  Dist.  N. 

Y.,  Hotchkiss,  R.,  92,  279. 
Worland,  In  re  (1899),  N.  Dist.  la., 

Shiras,  J.,  225. 
Wolf,    In   re    (1899),    Dist.    N.    J., 

Kirkpatrick,  J.,  259. 
Wood,  In  re  (1899),  E.  Dist.  N.  C, 

Pumell,  J.,  185,  210,  224. 
Woodward,  In  re  (1899),  E.  Dist.  N. 

C,  Pumell,  J.,  59,  60. 
Woodward,  In  re   (1899),   E.   Dist. 

Tex.,  DiUard,  R.,  43. 
Wolf,   In  re    (1899),    N.    Dist.    la., 

Shiras.  J.,  224,  228. 
Wood,  In  re  (1900),  S.  Dist.  N.  Y., 

Brown,  J.,  99. 
Woodbury,  In  re  (1900),  Dist.  N.  D., 

Amidon,  J.,  20. 
Wright  Lumber  Co.,  In  re  (1902), 

W.  Dist.  Ark.,  Rogers,  J.,  11, 

34. 
Wright,   In  re   (1899),  Dist.    Mass., 

Lowell,  J.,  135,  216. 
Wright,  In  re  (1899),  N.  Dist.  Ga., 

Newman,  J.,  220. 
Wyly,  In  re    (1902),  N.  Dist.  Tex., 

Meek,  J.,  179. 

Y. 

Yates,  In  re  (1902),  N.  Dist.  Cal., 

DeHaven,  J.,  6,  47,  209. 
Yost,  In  re  (1902),  Middle  Dist.  Pa., 

Archbald,  J.,  68. 
Yotmg,  In  re  (1899),  E.  Dist.  N.  Y., 

Thomas,  J.,  223. 
Young,  In  re  (1901),  C.  C.  A.,  8th 

Cir.,  Thayer,  J.,  38. 
Young  V.  Young  (1901),  N.  Y.  Sup. 

Ct.,  Gildersleeve,  J.,  105. 
Young  V.  Upson  (1902),  S.  Dist.  N. 

Y.,  Hazel,  J.,  194. 
Yukon   Woolen   Co.    (1899),   Dist. 

Conn.,  Townsend,  J.,  245. 

z. 

Zartman  v.  Hines,  In  re  (1901),  W. 

Dist.  N.  Y.,  Hawley,  R.,  176. 
Zeitner  Brewing  Co.,  In  re  (1902), 

S.  Dist.  N.  Y.,  Adams,  J.,  45. 
Zimmerman  v.  Ketcham  (1903) ,  Sup. 

Ct.  Kans.,  Pollock  J..  111. 


FEDERAL  CONSTITUTION, 

ARTICLE  1,  SECTION  8. 

"The  congress  shall  have  power  *  *  to  establish 
*  *  uniform  laws  on  the  subject  of  bankruptcies  through- 
out the  United  States,  *  *  and  to  make  all  laws  which 
shall  be  necessary  and  proper  for  carrying  such  power  into 
execution." 

Under  this  power  bankruptcy  laws  have  been  enacted  by  Congress 
as  follows:  Apr.  4th,  1800,  amended  Apr.  29th,  1802,  repealed  Dec. 
19th,  1803;  August  19th,  1841,  repealed  March  3rd,  1843;  March  2nd, 
1867,  amended  July  27th,  1868,  Jtme  14th,  1870,  June  30th,  1870,  June 
8th,  1872,  Feb.  13th.  1873,  March  3rd,  1873,  June  22nd,  1874,  April 
14th,  1876,  July  26th,  1876,  repealed  in  entirety  June  7th,  1878;  July 
1st,  1898,  amended  Feb.  5th,  1903.     See  post  former  Bankruptcy  Acts. 

Purpose  of  Bankruptcy  Laws. 

Jurisdiction  of  National  Law  exclusive.  New  Lamp,  etc.,  Co.  v.  An- 
sonia  Brass,  etc.,  Co.  (1876),  91  U.  S.  656. 

Primary  object  of  bankruptcy  act  is  to  secure  a  just  disposition  of 
property  among  creditors ;  secondary  object  is  release  of  bankrupt  from 
his  debts.     Wilson  v.  City  Bank  (1873),  17  Wall.   (U.  S.),  473. 

Speedy  distribution  of  assets  of  bankrupt  is  purpose  of  bankruptcy 
act,  second  in  importance  only  to  equality  of  distribution.  Bailey  v. 
Ghver  (1874),  21  Wall.  (U.  S.),  342. 

Bankruptcy  Act  of  1898,  Constitutional. 

The  act  discussed  and  its  constitutionality  upheld.  Hanover  Nat. 
Bank  V.  Moyses  (1902),  186  U.  S.,  181;  8  A.  B.,  R.  1. 

State  Insolvency  Lav/s.     Suspended  by  National  Bankruptcy  Act. 

Former  Statutes  Construed.  Sturges  v.  Crowninshield  (1819), 
4Wheaton  (U.  S.),  122;  Ogden  v.  Saunders  (1827),  12  Wheaton  (U.  S.), 
213. 

Act  of  1898.  General  State  Law  suspended  or  superseded.  In  re 
Macon  Sash,  etc.,  Co.,  S.  Dist.  Ga.,  Speer,  J.  (1901),  112  Fed.,  323; 
7  A.  B.  R.,  66;  In  re  Storch  Lumber  Co.  (1902),  Dist.  Md.,  Morris,  ].  114 
Fed.,  360;  8  A.  B.  R.  86;  In  re  Rogers  (1902),  S.  Dist.  Ga.,  Speer,  J., 
116  Fed.,  435;  8  A.  B.  R.  723;  Carling  v.  Seymour  Lumber  Co.  (1902), 
C.  C.  A.,  5th  Cir.,  Shelby,  J.,  113  Fed.,  483;  8.  A.  B.  R.  29. 


2  FEDERAL    CONSTITUTION.  [ART.  1,   §  8. 

California  law  held  still  in  force  as  to  persons  not  coming  under  the 
Act.  Herron  Co.  v.  Superior  Court  (1902),  Sup.  Court  Cal.,  Harrison, 
J.,   68  Pac,  814. 

Illinois  Act  construed.  In  re  Curtis  (1899),  S.  Dist.  111.;  Allen,  J.,  91 
Fed.,  137;  affirmed  (C.  C.  A.,  7th  Cir.),  Jenkins,  J.,  94  Fed.,  312;  2  A. 
B.  R.  226. 

Illinois  Act  held  suspended  and  County  Court  deprived  of  jurisdic- 
tion. Horbaughv.  Costello  (1900),  Sup.  Court,  111.,  Magruder,  J.,  184 
111.   110;  affirming  Costello  v.  Harbaugh  (1898)   83  111.,  App.  29. 

Indiana  Act  construed.  In  re  Smith  (1899),  Dist.  Ind.,  Baker,  J., 
92  Fed.,   135;  2  A.   B.   R.  9. 

Kentucky  Act  construed.  In  re  John  A.  Etheridge  Fiimiture  Co. 
(1899),  Dist.  Ky.,  Barr,  J.,  92  Fed.,  329;  1  A.  B.  R.  112. 

Missottri  Act  construed.  In  re  Seivers  (1899),  E.  Dist.  Mo.,  Adams, 
J.,  91  Fed.,  366;  1  A.  B.  R.  117;  affirmed  sub  nom.  Davis  v.  Bohle 
(1899)  (C.  C.  A.),  8th  Cir.,  Thayer,  J.,  92  Fed.,  325;  1  A.  B.  R.  412. 

Massachusetts  Act  construed.  Parmenter  Mfg.  Co.  v.  Hamilton  et 
al.  (1898),  Sup.  Court  Mass.,  Knowlton,  J.,  172  Mass.,  178;  1  A.  B.  R.  39., 

Maryland  law  held  not  suspended.  Old  Town  Bank  v.  McCortnick 
(1903),   Sup.  Court  Md.,  Fowler,  J.,  53  Atl.  934. 

Minnesota  Act  construed.  Armour  Packing  Co.  v.  Brown  (1899),  Sup. 
Court  Minn.  76  Minn.,  465.  Foley  Bean  Lumber  Co.  w.  Sawyer  (1899), 
Sup.  Court  Minn.,  Mitchell,  J.,  76.  Minn.,  118. 

New  Hampshire  Act  suspended.  Wescott  Co.  v.  Berry  ct  al.  (1898) 
Sup.  Court,  N.  H.,  Young,  J.,  69  N.  H,  505. 

North  Carolina  Act  construed.  In  re  Richard  (1899),  E.  Dist.  N.  C„ 
Pumell,  J.,  94  Fed.,  633;  2  A.  B.  R.  506. 

Peimsylvania  Act  of  1901  construed  and  held  suspended.  Rees  v. 
Boggs  (1902),  C.  Court  Pa.,  Bell,  J.,  26  Pa.,  C.  C,  284.  In  re  Scheivley 
(1902),  26  Pa.  C  C,  34;  also  McArvdy  v.  Tantz  (1902),  Weard. 
J.,  26  Pa.  C.  C,  417;  McMullen's  Petition  (1902),  26  Pa.  C.   C,  157, 

Bankruptcy  law  does  not  conflict  with  Pennsylvania  law  relating  to 
attachments.  McCullough  v.  Linn  &  Goodhard  (1899),  Circuit  Court 
Pa.,  Biddle,  J.,  22  Pa.  C.  C,  369. 

Rhode  Island  Act  construed.  Matnan  v.  Crown  Carpet  Lining  Co. 
(1901),  Sup.  Court  R.  I.,  50  Atl.,  381. 

Texas  Act  construed.  Patty-Joiner  Co.  v.  Cummins  (1900),  Texas 
Sup.  Court,  Gaines,  J.,  93  Texas,  598;  4  A.  B.  R.  269;  57  S.  W.,  566. 

Wisconsin  Act  construed.  Binder  v.  McDonald  (1900),  106  Wis., 
332;  In  re  Bruss-Ritter  Co.  (1898),  E.  Dist.  Wis.,  Seaman,  J.,  90  Fed., 
651;  1  A.  B.  R.,  58. 


ANNOTATED  BANKRUPTCY  STATUTE. 


CHAPTER  1. 


DEFINITIONS. 


Section.  1     Meaning  of  Words  and  Phrases. 


(1)  A   person"^  against    whom    a 
petition  has  been  filed. 

(2)  adjudication. 

(3)  appellate  courts. 

(4)  bankrupt. 

(5)  clerk. 

(6)  corporations. 

(7)  court. 

(8)  courts  of  bankruptcy. 

(9)  creditors. 

(10)  date  of  bankruptcy. 

(11)  debt. 

(12)  discharge. 

(13)  document. 

(14)  holiday. 

(15)  when  deemed  insolvent. 


(16)  Judge. 

(17)  oath. 

(18)  officer. 

(19)  persons. 

(20)  petition. 

(21)  referee. 

(22)  conceal. 

(23)  secured  creditor. 

(24)  States. 

(25)  transfer. 

(26)  trustee. 

(27)  wage  earner.. 

(28)  Words   in  Masculine    gender. 

(29)  Words   importing   the  plural 
number. 


(30)   Words 
ntxmber. 


importing     singular 


An  Act  To  establish  a  uniform  system  of  bankruptcy  throughout  the 

United  States. 

Approved  July  1st,  1898.  Chapter  541,  Acts  of  Fifty-fifth  Congress. 
30 Statutes  at  L.,  544.  2  Sup.  R.,  S.  U.  S.  843.  Amended  February 
5th,  1903.  As  to  time  when  Act  goes  into  effect,  see  Sec.  71,  post. 
As  to  time  amendment  goes  into  effect  see  amendment  of  Feb.  5,  1903, 
post. 

Section  1.     Meaning  of  Words  and  Phrases. 

Be  it  enacted  by  the  Senate  and  House  of  Representatives 
of  the    United  States  of  America   in   Congress  assembled. 

a    The  words  and  phrases  used    in  this  Act  and  in  pro- 
3 


4  MEANING  OF  WORDS  AND  PHRASES.  [§  1. 

ceedings  pursuant  hereto  shall,  trnless  the  same    be  incon- 
sistent with  the  context,  be  construed  as  follows : 

The  Act  is  remedial  and  should  have  reasonable  construction  accord- 
ing to  the  fair  import  of  its  terms  with  view  to  effect  its  objects.  Blake  v. 
Francis  Valantine  Co.  (1898),  N.  Dist.  Cal.,  Hawley,  J.,  89  Fed.,  691; 
Norcrossv.  Nathan  (1900)  ,N.Dist.oiCal.,Uawley,  J., 99  Fed.,  414;  3  A.B. 
R.,  613;  Soutftern  Loan  &  Trust  Co.  v.  Benbow  (1899),  W.  Dist.  N.  C 
Ewart,  J.,  96  Fed.,  514.  3  A.  B.  R.  9. 

Where  the  language  is  clear  and  unambiguous  it  must  be  held  to 
mean  what  it  plainly  expresses,  and  no  room  is  left  for  construction. 
Swarts  V.  Siegel  et  al.  (1902),  C.  C.  A.,  8th  Cir.,  Sanborn,  J.,  117  Fed.,  13; 
8  A.  B.  R.,  689. 

(1)  <« A  person  against  whom  a  petition  has  been  filed" 

shall  include  a  person  who  has  filed  a  voluntary  petition ; 

Applies  to  voluntary  and  involtmtary  cases.  Peck  Lumber  Mfg.  Co. 
v.  Mitchell  (1899),  Lackawanna  County  Court  (Perm.)  Common  Pleas, 
Edwards,  J.,  1  A.  B.  R.,  701;  1  N.  B.  N.,  262. 

(2)  "Adjudication"  shall  mean  the  date  of  the  entry  of 
a  decree  that  the  defendant,  in  a  bankruptcy  proceeding,  is 
a  bankrupt,  or  if  such  decree  is  appealed  from,  then  the  date 
when  such  decree  is  finally  confirmed ; 

As  to  adjudications,  see  Sec.  18.  post. 

(3)  "Appellate  Courts"  shall  include  the  circuit  courts  of 

appeals  of  the  United  States,  the  supreme  courts  of  the 

Territories,  and  the  Supreme  Court  of  the  United  States ; 

As  to  manner  of  taking  appeals  see  Sec.  25  post.;  also,  Gen.  Ord. 
XXXVI. 

(4)  "Bankrupt"  shall  include  a  person  against  whom  an 
involtmtary  petition  or  an  application  to  set  a  composition 
aside  or  to  revoke  a  discharge  has  been  filed,  or  who  has  filed 
a  voluntary  petition,  or  who   has    been   adjudged  a  bank 
rupt. 

As  to  application  of  definition,  see  Sec.  4b.     post. 

Person  against  whom  petition  has  been  filed  is  within  meaning  of 
word  as  used  in  the  act  prior  to  adjudication.  In  re  Hicks  (1901),  Dist. 
Vt.,  Wheeler,  J.,  107  Fed.,  910  6  A.  B.  R.,  182;  3  N.  B.  N..  959.. 


§  1.]  MEANING  OF  WORDS  AND  PHRASES.  6 

(5)  "Gerk"  shall  mean  the  clerk  of  a  court  of  bank- 
ruptcy ; 

See  as  to  what  are  courts  of  bankruptcy,  Sec.  1  (8) .     post. 

(6)  «* Corporations"  shall  mean  all  bodies  having  any 
of  the  powers  and  privileges  of  private  corporations  not 
possessed  by  individuals  or  partnerships,  and  shall  include 
limited  or  other  partnership  associations  organized  under 
laws  making  the  capital  subscribed  alone  responsible  for 
the  debts  of  the  association; 

For  discussion  of  meaning  of  this  section  see :  In  re  The  Empire  Metallic 
Bedstead  Co.  (1899),  N.  Dist.,  N.  Y.,  Hotchkiss  R.,  1  A.  B.  R.  136. 

(7)  "Court"  shall  mean  the  court  of  bankruptcy  in  which 
the  proceedings  are  pending,  and  may  include  the  referee ; 

(8)  "Courts  of  bankruptcy"  shall  include  the  district 
courts  of  the  United  States  and  of  the  Territories,  the  su- 
preme court  of  the  District  of  Colimibia,  and  the  United 
States  court  of  the  Indian  Territory,  and  of  Alaska ; 

See  as  to  Jurisdiction  and  specific   designation  of  courts.  Sec.  2,  post. 

Does  interest  of  District  Judge  give  ground  for  removal  of  cause  tmder 
Sec.  601,  Rev.  Stat.,  U.  S.  ?  In  re  Seebold  (1901),  C.  C.  A.,  5th  Cir.  Mc- 
Cormick,   J.,   105   Fed.,   910:  5  A.  B.  R.  358. 

(9)  "Creditor"  shall  include  anyone  who  owns  a  demand 

or  claim  provable  in  bankruptcy,  and  may  include  his  duly 

authorized  agent,  attorney,  or  proxy; 

An  accommodation  maker,  an  indorser  or  surety  on  the  obligations  of 
a  bankrupt  within  this  definition.  Swarts  v.  Siegel  (1962),  C.  C.  A. 
8th  Cir.     Sanborn,  J.,  117  Fed.  13;  8  A.  B.  R.  689. 

General  terms  of  definition  of  "creditor"  must  apply  in  absence  of  re- 
strictive language.  In  re  Walker  (1899),  Dist.  N.  Dakota;  Amidon,  J., 
96  Fed.,  550;     1  N.  B.  N.  510; 

"Attorney"  in  this  section  includes  attorney  at  law  though  he  has 
no  power  to  vote  except  on  additional  security.  In  re  Henschel  (1901), 
S.  Dist.,  N.  Y.  Brown,  J.,  109  Fed.,  861;  6  A.  B.  R.  305:  3  N.  B.  N. 
933. 


6  MEANING  OF  WORDS  AND  PHRASES.  [§  1 

(10)  "Date  of  bankruptcy,"  or  "time  of  bankruptcy," 
or  "commencement  of  proceedings,"  or  "bankruptcy,"  with 
reference  to  time,  shall  mean  the  date  when  the  petition  was 
filed; 

As  to  computation  of  time  see  Sec.  31  post. 

The  filing  of  the  petition  in  good  faith  gives  jurisdiction  to  the  court, 
and  the  moment  of  filing  is  the  precise  point  of  time  from  which  the  various 
limitations  in  the  Act  are  to  be  read.  In  re  Chas.  Lewis  &  Bro.  (1899), 
S.  Dist.,  N.  Y.,  Brown,  J.,  91  Fed.,  632;  1  A.  B.  R.  458;  1  N.  B.  N., 
556. 

Insufficient  petition  withdrawn  and  amended  -  date  of  filing  the  amend- 
ment is  the  date  when  proceedings  commenced.  In  re  Washburn  Bros. 
(1900),  Dist.  Conn.     Townsend  J.  99  Fed.,  84;  3  A.  B.  R.  585. 

In  the  computation  of  time,  exclude  the  day  the  act  of  bankruptcy 
was  committed  and  include  the  day  the  petition  was  filed,  In  re  Stevenson 
(1899),  Dist.  Del.,  Bradford  J.,  94  Fed.,  110;  2  A.  B.  R.  66;  1  N.  B.  N. 
313. 

(11)  "Debt"  shall  include  any  debt,  demand,  or  claim 
provable  in  bankruptcy ; 

"Debt."  in  bankruptcy  law  is  not  restricted  to  its  strict  legal  meaning 
"a  sum  due  by  certain  and  express  agreement."  In  re  Fife  (1901),  W. 
Dist.  Pa.,  Buffington,  J.,  109  Fed.,  880;  6  A.  B.  R.,  258;  3  N.  B.  N.,  835. 

This  Subdivision  is  limited  by  Sec.  60a.  In  re  Yates  (1902),  N. 
Dist.  Cal.,  De  Haven,  J.,  114  Fed.,  365;  8  A.  B.  R.,  69.  See  also  to  the 
same  effect:  In  re  Mitchell  (1902),  Dist.  Del.,  Bradford,  J.,  116  Fed.,  87; 
8  A.  B.  R.,  324. 

(12)  *'Dischai^e"  shall  mean  the  release  of  a  bankrupt 
from  all  of  his  debts  which  are  provable  in  bankruptcy,  ex- 
cept such  as  are  excepted  by  this  Act ; 

As  to  granting  of  discharges  see  Sec.  14  and  notes. 

As  to  debts  not  affected  by  discharge,  see  Sec.  17  and  notes.  For 
definition  of  debts  which  are  provable  in  bankruptcy,  see  Sec.  63  and  notes. 

(13)  "Document"  shall  include  any  book,  deed,  or  in- 
strument in  writing ; 

See  Sec.  70a  as  to  title  to  documents  relating  to  bankrupt's  property 
vesting  in  trustee. 


I  1.]  MEANING  OF  WORDS  AND  PHRASES.  7 

(14)  "Holiday"  shall  include  Christmas,  the  Fourth  of 
July,  the  Twenty-second  of  February,  and  any  day  appointed 
by  the  President  of  the  United  States  or  the  Congress  of 
the  United  States  as  a  holiday  or  as  a  day  of  public  fasting  or 
thanksgiving ; 

As  to  computation  of  time,  see  Sec.  31  and  notes. 

(15)  [When  person  insolvent.]  A  person  shall  be 
deemed  insolvent  within  the  provisions  of  this  Act  whenever 
the  aggregate  of  his  property,  exclusive  of  any  property 
which  he  may  have  conveyed,  transferred,  concealed,  or 
removed,  or  permitted  to  be  concealed  or  removed,  with 
intent  to  defraud,  hinder  or  delay  his  creditors,  shall  not 
at  a  fair  valuation,  be  sufficient  in  amount  to  pay  his  debts; 

Act  of  1867  made  person  insolvent  who  could  not  pay  his  debts  in 
ordinary  course  of  business.     Sec.  39,  Act  of  1867,  post. 

As  to  "conveyed,  transferred,  concealed  or  removed,  etc.,"  see  Sec. 
3a  (1),  and  notes.  As  to  debts  which  may  be  proved,  see  Sec.  63  and 
notes. 

Insolvency  in  administration  of  bankruptcy  and  insolvency  laws  is 
inability  to  pay  debts  as  they  mature  in  the  regular  covirse  of  business; 
non-payment  of  contracts  challenged  for  fraud  on  ground  of  insuffi- 
ciency of  assets  has  application  to  inability  to  pay.  Marvin  v.  Anderson 
(1901),  Sup.  Ct.  Wis.,  Marshall,  J.,  6  A.  B.  R.,  520;  87  N.  W.,  226. 

An  adjudication  on  an  involuntary  petition  raises  no  presumption 
of  insolvency  as  to  any  antecedent  date.  In  re  John  Chappell  (1901), 
E.  Dist.  of  Va.,  Waddell,  J.,  113  Fed.,  545;  7  A.  B.  R.,  608. 

Inability  to  pay  debts  in  full  as  they  mature  is  not  the  same  as  "prop- 
erty at  a  fair  valuation  not  sufficient  to  pay  debts."  Martin  v.  Bigelow 
(1901),  Sup.  Ct.  N.  Y.,  Sp.  Term.;  36  Misc.,  298. 

Adjudication  on  involuntary  petition  containing  allegation  of  act  of 
bankruptcy  involving  insolvency  on  previous  date  is  res  adjudicata  on 
all  creditors.  In  re  Am.  Brewing  Co.  (1902),  112  Fed.,  752;  8  A.  B.  R., 
463. 

Definition  in  this  section  must  be  strictly  adhered  to.  Duncan  v. 
Landis  (1901),  C.  C.  A.,  3rd  Cir.,  Gray,  J.,  106  Fed.,  839;  5  A.  B.  R.,  649; 
3  N.  B.  N.,  673. 

Confession  of  inability  to  pay  debts  prima  facie  evidence  of  insolvency. 


8  MEANING  OF  WORDS  AND  PHRASES.  [§  1. 

In  re  Lange  (1899),    N.    Dist.  Iowa,  Shiras,  J.,  97  Fed.,  197;  1  A.  B.  R., 
189;  1  N.  B.  N.,  60. 

Judgment  and  levy  not  proof  of  insolvency.  Levor  v.  Setter  (1901), 
N.  Y.  Sup.  Ct.,  Sp.  Term;  34  Misc.,  382. 

Debtor  presumed  to  know  his  insolvency.  In  re  Gilbert  (1902),  Dist. 
Ore.,  Bellinger,  J..  112  Fed.,  951;  8  A.  B.  R.,  101. 

Corporations  suspension  of  business  and  inability  to  pay  debts — 
presumption  of  insolvency.  In  re  Elmira  Steel  Co.  (1901),  N.  Dist.,  N. 
Y.,  Hazel,  J.,  109  Fed.,  456;  5  A.  B.  R.,  484. 

Dissolution  of  a  firm  and  inability  to  meet  debts  is  strongest  evidence 
of  insolvency.  In  re  Miller  (1900),  W.  Dist.  N.  Y.,  Hazel,  J.,  104  Fed., 
764;  5  A.  B.  R.,  140. 

Property  exempt  from  execution  included  on  trial  of  contested  petition. 
In  re  Bauman  (1899),  W.  Dist.  Tenn.,  Hammond,  J.,  96  Fed.,  946. 

Prospective  profits  on  goods  purchased  not  assets.  In  re  Bloch  (1901) , 
C.  C.  A.,  2nd  Cir.,  109  Fed.,  790;  6  A.  B.  R.,  300;  3  N.  B.  N.,  894. 

Evidence  improperly  rejected.  In  re  Bloch  (1901),  C.  C.  A.,  2nd  Cir., 
109  Fed.,  790;  6  A.  B.  R.,  300;  3  N.  B.  N.,  894. 

Insolvency  established.  In  re  Rome  Planing  Mill  Co.  (1900),  N. 
Dist.  N.  Y.,  Coxe,  J.,  99  Fed.,  937;  3  A.  B.  R.,  766. 

Insolvency  denied.  In  re  Gilbert  (1902),  Dist.  Ore.,  Bellinger,  J.,  112 
Fed..  951;  8  A.  B.  R.,  101. 

(16)  "Juifee"  shall  mean  a  judge  of  a  court  of  bank- 
ruptcy, not  including  the  referee ; 

As  to  What  are  Courts  of  Bankruptcy,  see  ante  Sec.  1  (8),  and  notes. 
As  to  when  powers  of  Judge  are  vested  in  referee,  see  Sec.  38a. 

(17)  "Oath"  shall  include  affirmation ; 

As  to  punishment  for  false  oath,  see  Sec.  29b  (2) ,  and  notes.  As  to 
who  may  administer  oaths,  see  Sec.  20a.  Refusal  to  take  oath,  con- 
tempt.    Sec.  41a  (4). 

(18)  "Officer"  shall  include   clerk,   marshal,    receiver, 

referee,  and  trustee,  and  the  imposing  of  a  duty  upon  or  the 

forbidding  of  an  act  by  any  officer  shall  include  his  successor 

and  any  person  authorized  by  law  to  perform  the  duties  of 

such  officer; 

As  to  officers,  their  duties  and  compensation,  see  Chapter  V.  post. 
"Person"  defined,  Sec.  1  (19)  post. 


§  1.]         MEANING  OF  WORDS  AND  PHRASES.  9 

(19)  "Persons"  shall  include  corporations,  except  where 
otherwise  specified,  and  officers,  partnerships,  and  women, 
and  when  used  with  reference  to  the  commission  of  acts 
which  are  herein  forbidden  shall  include  persons  who  are 
participants  in  the  forbidden  acts,  and  the  agents,  officers, 
and  members  of  the  board  of  directors  or  trustees,  or  other 
similar  controlling  bodies  of  corporations ; 

As  to  offenses  under  this  act  forbidden  see  Sec.  29a  post  and  notes. 
As  to  violations  of  the  Bankruptcy  law  and  punishment  therefor  see 
Sec.  2  (4)  and  notes, 

(20)  "Petition"  shall  mean  a  paper  filed  in  a  court  of 
bankruptcy  or  with  a  clerk  or  deputy  clerk  by  a  debtor 
praying  for  the  benefits  of  this  Act,  or  by  creditors  alleging 
the  commission  of  an  act  of  bankruptcy  by  a  debtor  therein 
named ; 

As  to  petitions  see  Sec.  59  and  notes.  As  to  acts  of  bankruptcy  by 
a  debtor,  see  Sec.  3  post  and  notes.  As  to  what  are  Courts  of  bank- 
ruptcy, see  Sec.  2  post.  For  definition  of  Clerk,  see  Sec.  1  (5)  ante.  As 
to  filing  of  papers  see  Gen.  Order  II  and  notes.  As  to  Creditors  filing 
involuntary  petitions,  see  Sec.  59b  and  notes. 

(21)  "Referee"  shall  mean  the  referee  who  has  juris- 
diction of  the  case  or  to  whom  the  case  has  been  referred,  or 
any  one  acting  in  his  stead ; 

As  to  duties,  powers,  qualifications  of  referee,  see  Chapter  V  post. 
Sec.  33  to  Sec.  34,  inclusive.  Courts  of  bankruptcy  determine  territorial 
Jurisdiction  of  referees,  Sec.  34a  (2).  As  to  Reference  of  cases,  see  Sec. 
22  (a). 

A  referee  is  in  fact  a  judge  of  the  Bankruptcy  Court.  In  re  Tebo  (1900) , 
Dist.  W.  Va.,  Jackson,  J.,  101  Fed.,  419;  4  A.  B.  R.,  235. 

(22)  "Conceal"  shall  include  secrete,  falsify,  and  mu- 
tilate ; 

This  clause  construed.  In  re  Bellah  (1902),  Dist.  Del.,  Bradford,  J., 
116  Fed.,  69;  8  A.  B.  R.,  310. 

(23)  "Secured   creditor"  shall  include  a  creditor  who 


10  MEANING  OP  WORDS  AND  PHRASES.         [§  1. 

has  security  for  his  debt  upon  the  property  of  the  bankrupt 
of  a  nature  to  be  assignable  under  this  Act,  or  who  owns 
such  a  debt  for  which  some  indorser,  surety,  or  other  persons 
secondarily  liable  for  the  bankrupt  has  such  security  upon 
the  bankrupt's  assets; 

As  to  how  value  of  securities  ascertained,  see  Sec.  57  and  notes. 

This  section  limits  the  meaning  of  "secured  creditor"  to  its  strict 
definition.  It  does  not  amplify  the  usual  meaning  of  the  term.  In 
re  Coe,  Powers  &  Co.  (1899),  N.  Dist.  Ohio,  Remington,  R.,  1  A.  B.  R. 
275;  1  N.  B.  N.,  294. 

(24)  '^States"  shall  include  the  Territories,  the  Indian 
Territory,  Alaska,  and  the  District  of  Columbia ; 

As  to  State  insolvency  laws,  see  Sec.  71  (a)  and  notes. 

(25)  **Transfer"  shall  include  the  sale  and  every  other 
and  different  mode  of  disposing  of  or  parting  with 
property,  or  the  possession  of  property,  absolutely  or  con- 
ditionally, as  a  payment,  pledge,  mortgage,  gift,  or  security; 

As  to  the  further  construction  and  application  of  "transfer,"  see  Sec. 
60c  and  notes.     When  transfer  is  act  of  bankruptcy,  Sec.  3a  (1)  and  notes. 

"Transfer"  is  used  in  its  most  comprehensive  sense  and  is  intended 
to  include  every  means  and  manner  by  which  property  can  pass  from  the 
ownership  and  possession  of  another.  Pirie  v.  Chicago  T.  &  Tr.  Co. 
(1901),  U.  S.  Sup.  Court,  McKenna,  J.,  182  U.  S.,  444;  5  A.  B.  R.,  814; 
3  N.  B.  N.,  566. 

Payment  of  money  on  account  is  a  transfer.  In  re  Fixen  (1900),  C. 
C.  A.,  9th  Cir.,  Morrow,  J.,  102  Fed.,  295;  4  A.  B.  R.,  10. 

Word  "property,"  as  here  used,  includes  money.  Boyd  v.  Lemon  Gale 
Co.  (1902),  C.  C,  A.,  5th  Cir.,  Pardee,  J.,  114  Fed.,  647;  8  A.  B.  R.,  81. 

Payment  of  money  in  due  course  of  business  a  "transfer."  Worden 
v.  Columbia  Electric  Co.  (1899),  Dist.  Ind.,  Baker,  J.,  96  Fed.,  803; 
contra  In  re  Rathff  (1901),  E.  Dist.  N.  C,  Pumell.  J.,  107  Fed.,  80;  5 
A.  B.  R.,  713. 

Receivership  is  not  a  transfer.  In  re  Baker- Ricketson  (1899),  Dist. 
Mass.,  Lowell.  J.,  97  Fed.,  489;  4  A.  B.  R.,  605;  2  N.  B.  N.,  133. 

Deposit  in  bank  is  a  "transfer."  In  re  Stege  (1902),  C.  C.  A.,  2nd 
Cir.,  116  Fed.,  342;  S  A.  B.  R.,  515. 


§  1.]        MEANING  OF  WORDS  AND  PHRASES.  11 

As  to  application  of  "transfer"  see:  In  re  Ed  W.  Wrigkt  Lumber 
Co.  (1902),  W.  Dist.  Ark.,  Rogers,  J.,  114  Fed.,  1,011;  8  A.  B.  R.,  345. 

(26)  "Trustee"  shall  include  all  of  the  trustees  of  an 
estate ; 

For  appointment,  duties,  qualifications  of  trustees,  see  Sec.  44  to  51, 
inclusive,  and  Gen.  Ord.,  XIII,  XIV,  XV  and  XVII.  As  to  when  more 
than  one  trustee  in  an  estate,  see  Sec.  47b  and  notes. 

(27)  "Wage  earner"  shall  mean  an  individual  who 
works  for  wages,  salary,  or  hire,  at  a  rate  of  compensation 
not  exceeding  one  thousand  five  himdred  dollars  per  year ; 

As  to  prior  claim  of  wage  earner  with  construction  of  term.  See  Sec. 
64  b  (4)  post  and  notes  thereunder.  Wage-earner  exempted  from  invol- 
tuitary  bankruptcy,  Sec.  4b  post  and  notes. 

(28)  [Words  importing  masculine  gender.]  Words  im- 
porting masculine  gender  may  be  applied  to  and  include  cor- 
porations, partnerships,  and  women ; 

See  definition  of  persons.  Sec.  1  (19)  ante  and  notes.  See  as  to  words 
imparting  singular  number.  Sec.  1  (29)  and  Sec.  1  (30)  post. 

(29)  [Words  importing  Plural  Number.]  Words  im- 
porting the  plural  number  may  be  applied  to  and  mean  only 
a  single  person  or  thing; 

For  definition  of  persons,  see  Sec.  1  (19)  ante  and  notes,  see  also  Sec. 
1  (28)  ante,  and  Sec.  1  (30)  post. 

(30)  [Words  importing  singular  number.]  Words  im- 
porting the  singular  niunber  may  be  applied  to  and  mean 
several  persons  or  things. 

See  Sec.  1  (29)  ante. 


CHAPTER  II. 


CREATION  OF  COURTS  OF  BANKRUPTCY  AND  THEIR 
JURISDICTION. 

Sec.  2.     Courts  op  Bankruptcy  named. — Jurisdiction. 


(1)  to  adjudge  persons  bankrupt. 

(2)  to  allow  and  disallow  claims. 

(3)  to  appoint  receivers. 

(4)  to  try  and  punish  bankrupts. 

(5)  to  permit  temporary  transac- 
tion of  business. 

(6)  to  substitute  persons  in  pro- 
ceedings. 

(7)  to   collect    and  distribute  as- 
sets. 

(8)  to  close  estates. 

(9)  to    confirm    and    reject  com. 
positions. 

(10)  to     modify,    etc.,      referee's 
findinsr. 


(11)  to  determine  exemptions. 

(12)  to  discharge  bankrupts,   etc. 

(13)  to  enforce  orders. 

(14)  to   extradite    bankrupts, 
to  make  all  necessary  orders 
for    enforcement    of    provis- 
ions of  act. 

to  punish  for  contempts  be- 
fore referees. 

(17)  to  appoint  trustees. 

to  tax  costs. 

transfer  cases  to  other  courts 

of  bankruptcy. 
(20)  specified  powers. 


(15) 


(16) 


(18) 
(19) 


Sec.  2.    Courts  of  Bankruptcy  named. —  Jurisdiction. 

[Jurisdiction  of  courts  of  banlcniptcy.]  That  the  courts 
of  bankruptcy  as  hereinbefore  defined,  viz.,  the  district 
courts  of  the  United  States  in  the  several  states,  the 
supreme  court  of  the  District  of  Columbia,  the  district 
courts  of  the  several  Territories,  and  the  United  States 
courts  in  the  Indian  Territory  and  the  District  of  Alaska, 
are  hereby  made  courts  of  bankruptcy,  and  are  hereby  in- 
vested within  their  respective  territorial  limits  as  now  es- 
tablished, or  as  they  may  be  hereafter  changed,  with  such 
jurisdiction  at  law  and  in  equity  as  will  enable  them  to 
exercise  original  jurisdiction  in  bankruptcy  proceedings,  in 

12 


§  2.  (1)]      COURTS  OF  BANKRUPTCY. — JURISDICTION.  13 

vacation  in  chambers  and  during  their    respective  terms, 
as  they  are  now  or  may  be  hereafter  held,  to 

Courts  of  bankruptcy  defined  Sec.  1  (8)  ante.  For  jurisdiction  of  U. 
S.  and  State  Courts,  see  Sec.  23  post,  and  notes  thereimder. 

Federal  court  sitting  as  court  of  bankruptcy  is  always  open  and  does 
not  lose  jurisdiction  to  alter  interlocutory  orders  by  termination  of 
term  at  which  they  were  entered.  In  re  Henschel  (1902),  S.  Dist.,  N. 
Y.,  Adams,  J.,  114  Fed.,  968;  8  A.  B.  R.,  201. 

(1)  [To  adjudicate  persons  bankrupt.]  Adjudge  persons 
bankrupt  who  have  had  their  principal  place  of  business, 
resided,  or  had  their  domicile  within  their  respective  terri- 
torial jurisdiction  for  the  preceding  six  months,  or  the 
greater  portion  thereof,  or  who  do  not  have  their  principal 
place  of  business,  reside,  or  have  their  domicile  within  the 
United  States,  but  have  property  within  their  jurisdictions, 
or  who  have  been  adjudged  bankrupts  by  courts  of  com- 
petent jurisdiction  without  the  United  States  and  have 
property  within  their  jurisdictions ; 

Compare  with  Sec.  1  of  Act  of  1867  post. 

See  Forms  1  and  3  for  allegations  of  residence  in  petitions,  also  Gen. 
Ord.  VI,  as  to  petitions  in  different  districts,  and  Gen.  Ord.  VII,  as  to 
priority  of  petitions  when  two  or  more  are  filed  against  a  common  debtor. 

Ancillary  jurisdiction  exercised  by  court  of  bankruptcy.  In  re  Peiser 
(1902),  E.  Dist.  Pa.,  McPherson,  J.,  115  Fed.,  199;  7  A.  B.  R.,  690. 

Business,  residence  and  domicile,  facts  on  which  court  must  base  its 
jurisdiction  to  adjudge  persons  bankrupt.  In  re  Marine  Machine  & 
Conveyor  Company  (1899),  S.  Dist.  N.  Y.,  Brown,  J.,  91  Fed.,  630; 
1  A.  B.  R.,  421;  1  N.  B.  N.,  135;  In  re  Brice  (1899),  Dist.  Iowa, 
Woolson,  J.,  93  Fed.,  942;  2  A.  B.  R.,  197;  1  N.  B.  N.,  310;  In  r^  Blair 
(19  00),  S.  Dist.  N.  Y.,  Brown,  J.,  99  Fed.,  76;  3  A.  B.  R.,  588;  2  N.  B. 
N.,  890;  In  re  Filer  (1900),  S.  Dist.  N.  Y.,  Brown,  J.,  108  Fed.,  209; 
5  A.  B.  R.,  332;  3  N.  B.  N.,  366;  In  re  Plotke  (1900),  C.  C.  A.,  7th  Cir., 
Seaman,  J.,  104  Fed.,  964;  5  A.  B.  R.,  171;  3  N.  B.  N.,  122;  In  re  Grimes 
(1899),  W.  Dist.  N.  C,  Ewart,  J.,  94  Fed.,  800;  2  A.  B.  R.,  160;  1  N.  B. 
N.,  339. 

Court  of  bankruptcy  no  power  to  enter  order  to  show  cause  to  be  served 
on  person  outside  the  District.  In  re  Waukesha  Water  Co.  (1902),  E. 
Dist.  Wis.,  Seaman,  J.,  116  Fed.,  1,009;  8  A.  B.  R.,  715. 


14  COURTS  OF  BANKRUPTCY. — JURISDICTION.      [§2.(1) 

Residence  must  have  commenced  at  least  six  months  prior.  In  re 
Stokes  (1899),  Dist.  Washington,  Munter,  R.;  1  A.  B.  R.,  35;  1  N.  B.  N., 
106;  (see  note  to  this  case,  1  A.  B.  R.,  37). 

Domicile  not  lost  by  temporary  absence  however  prolonged  where 
intention  to  return  remained.  In  re  Williams  (1900) ,  District  Washing- 
ton, Hanford,  J.,  99  Fed.,  544;  3  A.  B.  R.,  677;  2  N.  B.  N.,  206. 

"Domicile"  and  "Residence"  defined.  Three  months  of  either  inside 
the  six  months  period  essential  to  the  jurisdiction.  In  re  Berner  (1899) 
N.  Dist.  Ohio,  Remington,  R.,  3  A.  B.  R.,  325;  2  N.  B.  N.,  268,  330. 

Residence  of  bankrupt  is  jurisdictional  fact;  burden  on  bankrupt  to 
show  it.  7w  r^  Waxelbaum  (1899) ,  S.  Dist.  N.  Y.,  Brown,  J.,  97  Fed., 
562;  3  A.  B.  R.,  267;  2  N.  B.  N.,  103.  Same  on  rehearing.  7«  r^  Waxel- 
baum  (1899),  S.  Dist.  N.  Y.,  Brown,  J.,  98  Fed.,  589;  3  A.  B.  R.,  392; 
2  N.  B.  N.,  228. 

Objection  to  jurisdiction  of  court  of  bankruptcy  on  account  of  resi- 
dence must  be  promptly  raised,  otherwise  waived  by  creditors.  In  re 
Mason  (1900),  W.  Dist.  N.C.,  Ewart,J.  99  Fed.,  256;  3  A.  B.  R.,  599;  2 
N.  B.  N.,  425. 

Principal  place  of  doing  business  of  a  corporation  is  where  its  business 
is  in  fact  done,  not  where  it  merely  markets  its  products.  Full  discussion 
of  jurisdiction  of  court  on  "principal  place  of  business."  In  re  Elmira 
Steel   Company  (1901),  N.    Dist.  New  York,   Moss,  R.;  5  A.  B.  R.,  484. 

Residence  not  shown  by  the  mere  temporary  lodging  in  a  boarding 
house  in  the  State  although  intention  to  return  is  claimed.  In  re  Dingle- 
hoef  Brothers  (1901),  E.  Dist.  North  Carolina,  Purnell,  J.,  109  Fed.,  866; 
6  A.  B.  R.,  242;  3  N.  B.  N.,  946. 

A  corporation  created  by  law  of  one  State  may  be  adjudged  bankrupt, 
in  another.  In  re  Magid-Hope  Silk  Mfg.  Co.  (1901),  Dist.  Mass.,  Lowell, 
J.,  110  Fed.,  352;  6  A.  B.  R.,  610;  Dressel  v.  North  State  Lumber  Co.  (1901), 
E.  Dist.  N.  C,  Purnell,  J.,  107  Fed.,  255. 

Objection  to  jurisdiction  over  person  must  be  promptly  taken.  In  re 
Mason  (1900),  W.  Dist.  N.  C,  Ewart,  J.,  99  Fed.,  256;  3  A.  B.  R.,  599, 
2  N.  B.  N.,  425. 

As  between  two  United  States  District  Courts,  the  one  whose  aid  is  first 
invoked  is  entitled  to  charge  of  the  proceedings.  In  re  Elmira  Steel 
Company  (1901),  W.  Dist.  N.  Y.,  Hazel,  J.;  5  A.  B.  R.,  484. 

Want  of  jurisdiction  to  adjudicate  one  a  bankrupt  cannot  be  raised  by 
creditors  in  opposition  to  discharge.  Grounds  enumerated  in  the  statute 
only  can  be  raised.  In  re  Clisdell  (1900),  N.  Dist.  N.  Y.,  Coxe,  J.,  101 
Fed.,  246;  4  A.  B.  R.,  95;  2  N.  B.  N.,  638. 


§2.(2)]      COURTS  OF   BANKRUPTCY. — JURISDICTION.  15 

A  corporation  having  its  general  office  within  a  district  more  than  six 
months  prior  to  filing  of  petition  is  within  jurisdiction  of  the  court.  In 
re  Marine  Machine  &  Conveyor  Co.  (1899),  S.  Dist.  N.  Y.,  Brown,  J  , 
91  Fed.,  630;  1  A.  B.  R.,  421;  1  N.  B.  N.,  136, 

A  petition  stating  disjunctively  "that  the  petitioner  has  had  his  princi- 
pal place  of  business,  or  has  resided,  or  has  had  his  domicile  for  greater 
portion  of  six  months,  etc.,"  is  insufficient  on  its  face  to  confer  jvu4sdic- 
tion.  Inre  Laskaris  (1899),  N.  Dist.  N.  Y.,  Moss,  R.;  1  A.  B.  R.,  480; 
1  N.  B.  N.,  209. 

"Place  of  business,"  "residence"  and  "domicile"  compared  and  dis- 
cussed.    In  re  Cisdell    (1899),  N.  Dist.  N.  Y.,  Moss,  R.;   2  A.  B.  R.,  424. 

Words  "greater  portion"  are  synonymous  with  "longest  period"  in 
the  Act  of  1867.  The  petition  may  be  filed  in  the  District  in  which 
bankrupt  has  resided  for  the  longest  period  dtiring  the  preceding  six 
months.  In  re  Ray  et  al.  (1899),  Dist.  of  Washington,  Worden,  R.;  2 
A.  B.  R.,  158;  1  N.  B.  N.,  336. 

Jurisdiction  dependent  on  principal  place  of  business  must  show 
that  there  was  business  carried  on.  Making  an  assignment  void  by  law 
does  not  carry  on  the  business  by  virtue  thereof.  In  re  Plotke  (1900), 
C.  C.  A.,  7thCir.,  Seaman,  J.,  104  Fed.,  964;  5  A.  B.  R.,  171;3N.  B. 
N.,  122. 

Jtuisdiction  conferred  where  parties  proceed  to  hearing  on  petition 
before  referee  without  objecting  to  jtuisdiction.  In  re  Steuer  (1900), 
Dist.  Mass.,  Lowell,  J.,  104  Fed.,  976;  5  A.  B.  R.,  209;  3  N.  B.  N  ,   226. 

No  jurisdiction  by  svunmary  process  where  there  is  none  by  plenary 
suit.  In  re  Ward  (1900),  Dist.  Mass.,  Lowell,  J.,  104  Fed.,  985;  5  A.  B. 
R.,  215;  3  N.  B.  N.,  216. 

Jurisdiction  of  the  federal  courts  is  acqviired  the  moment  petition  is 
filed.  Carpenter  Bros.  v.  O'Connor  (1899),  Ohio  Cir.Ct.,  2nd  Cir.,  Wil- 
son, J.;  1  A.  B.  R.,381. 

(2)  [Allow  and  disallow  claims.]  Allow  claims,  dis- 
allow claims,  reconsider  allowed  or  disallowed  claims,  and 
allow  or  disallow  them  against  bankrupt  estates ; 

As  to  Creditors  and  Claims,  see  Sec.  55  to  60,  inclusive. 

As  to  time  of  hearing  claims,  see  Sec.  55b.  As  to  procedure.  Sees.  57, 
and  65.  As  to  Forms  for  proof  of  claim,  see  Forms  32,  and  33.  For 
Proof  of  Claims,  Gen.  Ord.  XXL 

As  to  Estates,  see  Sec.  70  and  notes. 


16  COURTS  OF  BANKRUPTCY. — JURISDICTION.       [§2.(3) 

For  proof  and  allowance  of  claims,  see  Sec.  57  and  notes  thereunder. 
What  are  provable  debts  see  Sec.  63  and  notes. 

Claim  of  creditor  filed  and  disallowed  is  res  adjiidicata  in  the  bank- 
ruptcy proceeding.  In  re  Heinsfurther  (1899),.  S.  Dist.  Iowa,  Woolson, 
J.,  97  Fed.,  198;  3  A.  B.  R.,  109;  1  N.  B.  N.,  504. 

Referee  no  jurisdiction  to  find  in  considering  claims  that  bankrupt 
was  gfuilty  of  fraud  in  contracting  the  debt.  In  re  Lazarovic  (1898),  Dist. 
Kan.,  Corey,  R.;  1  A.  B.  R.,  476. 

(3)  [Appoint  receivers.]  Appoint  receivers  or  the  mar- 
shals, upon  application  of  parties  in  interest,  in  case  the 
courts  shall  find  it  absolutely  necessary,  for  the  preservation 
of  estates,  to  take  charge  of  the  property  of  bankrupts  after 
the  filing  of  the  petition  and  imtil  it  is  dismissed  or  the 
trustee  is  qualified ; 

See  (5)  post  tmder  this  Section  and  notes.  Also  (7)  and  notes  and 
amendment  as  to  compensation.  As  to  possession  of  property  and 
proceedings  to  seize  the  same,  see  Sec.  69a  and  Sec.  3e. 

For  definition  of  trustee  see  Sec.  1  (26)  ante;  as  to  suits  by  trustees 
Sec.  236;  relative  to  appointment  of  trustees  Sec.  44  and  45  and  notes. 

Bankrupt  court  having  obtained  possession  will  not  suffer  State  officer 
to  interfere  therewith.  In  re  Schloerb  (1899),  E.  Dist.  Wis.,  Seaman, 
J.,  97  Fed.,  326;  3  A.  B.  R.,  224;  2  N.  B.  N.,  234. 

Receiver's  fee  must  be  fair  and  reasonable.  In  re  Scott  (1900),  E. 
Dist.  N.  C,  Pumell,  J.,  97  Fed.,  588;  3  A.  B.  R.,  625;  2  N.  B.  N.,  440. 

Fire  instirance  policy  held  to  belong  to  receiver  in  bankrucpty  who 
could  collect  the  premium,  and  not  to  a  bank  which  claimed  it  as  col- 
lateral, and  which  if  maintained  would  have  invalidated  the  policy.  In 
re  Hamilton  (1900),  ei  al,  W.  Dist.  Ark.,  Rogers,  J.,  4  A.  B.  R.,  543;  2  N.B. 
N..  957. 

Receiver  has  power  to  sell  liquor  license  as  an  asset  if  transferable 
under  law  of  State.  In  re  Becker  (1899),  E.  Dist.  Pa.,  McPherson,  J. 
98  Fed.,  407;  3  A.  B.  R.,  412;  2  N.  B.  N.,  225. 

Marshal  entitled  to  fees  same  as  receiver.  In  re  Adams  Sartorial  Co. 
(1900),  Dist.  Colo.,  HoUett,  J.,  101  Fed.,  215;  4  A.  B.  R.,  107;  2  N.  B.  N., 
635. 

Before  adjudication  receiver  no  extra  territorial  jurisdiction.  Inde- 
pendent procedure  necessary  to  take  possession  of  assets  in  foreign  state. 
In  re  Schrom  (1899),  N.  Dist.  of  Iowa,  Shiras,  J.,  97  Fed.,  760;  3  A.  B. 
R.,  352. 


§2.  (3)]      COURTS  OF   BANKRUPTCY. — JURISDICTION.  17 

Receiver  under  bankruptcy  law  derives  his  powers  from  that  statute 
alone  and  object  of  his  appointment  is  to  preserve  the  property  of  the 
bankrupt  so  as  to  prevent  its  destruction.  Is  not  a  common  law  receiver. 
Cannot  institute  suit  to  recover  property  etc.  Boonville  Nat.  Bank  v. 
Blakey  (1901),  C.  C.  A.,  7th  Cir.,  Jenkins,  'J.,  107  Fed.,  891;  6  A.  B.  R., 
13;  3  N.  B.  N.,  644. 

Summary  proceedings  by  landlord  to  remove  bankrupt  tenant  from 
premises  enjoined  at  suit  of  receiver,  hire  Kleinhans  (1902) ,  W.  Dist. 
N.  Y.,  Hazel,  J.,  113  Fed.,  107;  7  A.  B.  R.,  604. 

Bankruptcy  Court  will  take  jurisdiction  of  a  motion  to  appoint  a  re- 
ceiver even  when  proceedings  are  pending  in  State  Cotu-t.  In  re  Bruss- 
Ritter  Co.  (1898),  E.  Dist.  Wis.,  Seaman,  J.,  90  Fed.,  651;  1  A.  B.  R.,  58; 
1  N.  B.  N.,  39;  In  re  John  A.  Ethridge  Fumittu-e  Co.  (1899),  Dist.  Ky., 
Barr,  J.,  92  Fed.,  329;  1  A.  B.  R.,  112;  1  N.  B.  N.,  139. 

Bankruptcy  Cotirt  will  appoint  marshall  to  take  charge  of  bankrupt's 
property  even  if  proceedings  in  State  Court  pending.  Davis  v.  Bohle 
(1899),  C.  C.  A.,  8th  Cir.,  Thayer,  J.,  92  Fed.,  325;  1  A.  B.  R.,  412;  1  N. 

B.  N.,  216;  affirming  in  re  Sievers  (1899),  E.  Dist.  Mo.,  Adams,  J.,  91 
Fed.,  366;  1  A.  B.  R.,  117;  1  N.  B.  N.,  60. 

Bankruptcy  Court  will  not  appoint  receiver  of  property  claimed  ad- 
versly.  Carling  v.  Seymour  Lumber  Co.  (1902),  C.  C.  A.,  6th  Cir.,  113 
Fed.,  483;  8  A.  B.  R.,  29;  reversing  in  re  Macon  Sash,  etc.,  Co.  (1901), 
S.    Dist.    Ga. ,  Speer,  J . ,  1 12  Fed. ,  323 ;  Beach  v.  Macon  Grocery  Co.  (1902) ; 

C.  C.  A.  5th  Cir.,  116  Fed.,  143;  8  A.  B.  R.,  751. 

Assignee  under  general  assignment  appointed  receiver.  In  re  John 
A.  Etheridge  Furniture  Co.   (1899),  Dist.  Ky.,  Barr,  J.,  92  Fed.,  329; 

1  A.  B.  R.,  112;  1  N.  B.  N.,  139. 

Receiver  must  preserve  assets  intact.  He  is  only  a  custodian  and 
caretaker.  In  re  Kleinhans  (1902),  W.  Dist.  N.  Y.,  Hazel,  J.,  113  Fed., 
107;  7  A.  B.  R.,  604;  Boonville  Nat.  Bank  r.  Blakey  (1901);  C.  C.  A.,  7th 
Cir.,  Jenkins,  J.,  107  Fed.,  891;  6  A.  B.  R.,  13;  3  N.  B.  N.,  644. 

Covu-t  of  Bankruptcy  may,  under  its  general  equity  powers,  appoint 
receivers.     In  re  Fixen  (1899),  S.  Dist.  Cal.,  Wellborn,  J..   96  Fed.,  748; 

2  A.  B.  R.,  822. 

Receiver  not  to  exercise  general  powers  conferred  on  trustee.  In  re 
Kleinhans  (1902),  W.  Dist.  N.  Y.„  Hazel,  J.,  113  Fed.,  107;  7  A.  B.  R., 
604. 

Court  may  order  receiver  to  sell  property.     In  re  Becker  (1899),  E. 
Dist.  Pa.,  McPherson,  J.,  98  Fed.,  407;  2  N.  B.  N.,  245. 

Coxirt  may  issue  injunction  in  aid  of  receiver.  In  re  Kleinhans  (1902), 
W.  Dist.  N.  Y.,  Hazel,  J.,  113  Fed.,  107;  7  A.  B.  R.,  604. 


18  COURTS  OF   BANKRUPTCY. — JURISDICTION.      [§2.(5) 

Receiver  can  not  forcibly  seize  property  in  possession  of  an  adverse 
claimant.  Bardes  vs.  Hawarden  First  Nat.  Bank  (1900),  U.  S.  Sup.  Ct., 
Gray,  J. ,178  U.S.,  538;  4  A.  B.  R.,  163;  2  N.  B.  N.,  725;  in  re  Bender  (1901), 
W.  Dist.  Ark.,  Rogers,  J.,  106  Fed.,  873;  5  A.  B.  R.,  632. 

Receiver  in  bankruptcy  has  statutory  powers  only — has  not  the  power 
to  sue  exercised  by  trustee.  Boonville  Nat.  Bank  v.  Blakely  (1901),  C. 
C.  A.,  7th  Cir.,  Jenkins,  J.,  107  Fed.,  891;  6  A.  B   R.,  13. 

Marshal  having  seized  the  property  of  purchaser,  damages,  attorneys, 
fees  and  costs  were  allowed  purchaser  for  the  improper  seizure.  In 
re  Arbaham  (1899),  C.  C.  A.,  5th  Cir.,  McCormick,  J.,  93  Fed.,  767;  2  A. 

B.  R.,  266;  1  N.  B.  N..  281. 

(4)  [Try  and  punish  bankrapts.]  Arraign,  try,  and  pun- 
ish bankrupts,  officers,  and  other  persons,  and  the  agents, 
officers,  members  of  the  board  of  directors  or  trustees,  or 
other  similar  controlling  bodies  of  corporations  for  violations 
of  this  Act,  in  accordance  with  the  laws  of  procedure  of  the 
United  States  now  in  force,  or  such  as  may  be  hereafter 
enacted,  regulating  trials  for  the  alleged  violation  of  laws 
of  the  United  States ; 

"Bankrupf'defined  Sec.  1  (4)  and  notes.  "Officers"  defined  Sec.  1 
(18)  and  notes.  "Persons"  defined  Sec.  1  (19)  and  notes.  As  to  jury 
trials  see  Sec.  19  post  and  notes.  For  offenses  under  this  Act  see  Sec.  29 
post  and  notes. 

Arrest  by  bankrupt  tmder  State  process  for  fraudulent  insolvency 
will  not  be  challenged  by  bankruptcy  court.     U.  S.  v.  McAleese  (1899), 

C.  C.  A.,  3rd  Cir.,  McPherson,  J.,  93  Fed.,  656;  1  A.  B.  R.,  650;  1  N.  B. 
N.,  265. 

In  defense  to  a  proceeding  for  failure  to  account  for  assets,  confession 
of  squandering  the  same  not  sufficient.  In  re  Tudor  (1899),  Dist.  Colo., 
Hallett,  J.,  96  Fed..  942;  4  A.  B.  R.,  78;  2  N.  B.  N.,  168. 

(5)  [Authorize  temporary  transaction  ol  business.]  Au- 
thorize the  business  of  bankrupts  to  be  conducted  for 
limited  periods  by  receivers,  the  marshals,  or  trustees,  if 
necessary,  in  the  best  interests  of  the  estates,*  and  allow 
such  officers  additional  compensation  for  such  services,  but 
not  at  a  greater  rate  than  in  this  Act  allowed  trustees  for 
similar  services.* 

As  amended   by  law  of  1903,    Section   1  of  amendment,   page  —  post.     Amendment 
adds  matter  between  stars. 


§2.(7)]      COURTS   OF   BANKRUPTCY. — ^JURISDICTION.  19 

See  ante  (3)  and  notes.  As  to  compensation  of  trustees  see  post.  Sec. 
48  as  amended. 

(6)  [Bring  in  additional  parties.]  Bring  in  and  sub- 
stitute additional  persons  or  parties  in  proceedings  in  bank- 
ruptcy when  necessary  for  the  complete  determination  of  a 
matter  in  controversy. 

Trustee  may  be  ordered  by  the  court  to  enter  his  appearance  and 
defend  any  pending  suit,  Sec.  lib  post.  He  may  prosecute  suits  brought 
by  bankrupt,  Sec.  lie  post.  As  to  when  third  persons  other  than  the 
bankrupt,  trustee  and  creditors  may  be  brought  in,  see  Sec.  23  post  and 
notes. 

Bankruptcy  proceeding  is  in  rem,  and  all  those  interested  in  the  res 
are  regarded  as  parties  to  it.  Southern  Loan  &  Trust  Co.  v.  Benhow 
(1899),  W.  Dist.  N.  C,  Ewart,  J.,  96  Fed.,  514;  3  A.  B.  R.,  9;  1  N.  B. 
N.,  499. 

(7)  [Collect  and  distribute  assets.]  Cause  the  estates  of 
bankrupts  to  be  collected,  reduced  to  money  and  distributed, 
and  determine  controversies  in  relation  thereto,  except  as 
herein  otherwise  provided; 

For  administration  of  estates,  Chapter  VII  post.  As  to  suits  in  rela- 
tion to  bankrupt's  property,  see  Sec.  11  post,  and  notes.  See  ante  (3) 
and  (5)  and  notes.  Jurisdiction  of  courts  in  suits  by  trustee.  Sec.  23b 
post  and  notes.  As  to  possession  of  property,  see  Sec.  69  post  and  notes. 
Title  to  property,  Sec.  70  post. 

Bankruptcy  court  has  exclusive  jurisdiction  over  property  of  bank- 
rupt and  has  sufficient  equity  powers  to  have  all  claims  brought  in  and 
enforced  by  it.  Murray  v.  Beale  (1899),  Dist.  of  Utah,  Marshall,  J.,  97 
Fed.,  567;  3  A.  B.  R.,  284;  2  N.  B.  N.,  164. 

Claim  of  creditors  for  the  return  of  goods  is  cognizable  by  the  bank- 
ruptcy court.  In  re  McCallum  (1902),  E.  Dist.  Pa.,  McPherson,  J.,  113 
Fed.,  393;  7  A.  B.  R.,  596. 

Bankruptcy  court  has  inherent  power  to  punish  inter-meddlers  by 
summary  process.  7h  re  Tune  (1902),  N.  Dist.  Ala.,  Jones,  J.,  115  Fed., 
906;  8  A.  B.  R.,  285. 

Bankruptcy  court  may  assess  stockholders  of  bankrupt  corporation. 
In  re  Miller  Electric  Maintenance  Co,  (1901),  W.  Dist.  Pa.,  Buffington,  J., 
Ill  Fed.,  515;  6  A.  B.  R.,  701;  3  N.  B.  N.,  1,002;  In  re  Crystal  Spring 
Bottling  Co.  (1899),  Dist.  Vt.,  Wheeler,  J.,  96  Fed.,  945;  3  A.  B.  R.,  194; 
3  N.  B.  N.,  180. 


20  COURTS  OF  BANKRUPTCY. — JURISDICTION.      [§2.(7) 

The  jurisdiction  to  determine  controversies  under  this  sub-head 
depends,  (1)  whether  the  controversy  is  one  having  reference  to  prop- 
erty actually  in  the  possession  of  the  bankruptcy  court  or  belonging  to 
the  bankrupt's  estate;  or  (2)  whether  it  arises  in  the  bankruptcy  pro- 
ceeding; or  (3)  whether  from  nature  of  the  controversy  power  is  conferred 
on  the  court  to  determine  conflicting  liens  and  apportion  assets.  In  re 
Kellogg  (1902),  Vf.  Dist.  N.  Y.,  Hazel,  J.,  113  Fed.,  120;  7  A.  B.  R.,  623. 

The  words  "except  as  herein  otherwise  provided,"  refer  to  the  provis- 
ions of  Sec.  23a  and  b,  limiting  the  jurisdiction  of  bankruptcy  courts. 
Bryan  v.  Bernheimer  (1901),  U.  S.  Sup.  Court,  Gray,  J.,  181  U.  S.,  194; 
5  A.  B.  R.,  623;  3  N.  B.  N.,  482;  Bardes  v.  Hawarden  First  National  Bank 
(1900),  U.  S,  Sup.  Court,  Gray,  J.,  178  U.  S.,  535;  In  re  Kellogg  (1902), 
W.  Dist.  N.  Y.,  Hazel,  J.,  113  Fed.,  120;  7  A.  B.  R.,  623;  In  re  Woodbury 
(1900),  Dist.  N.  Da.,Amidon,  J.,  98  Fed.,  833;  3  A.  B.  R.,  457;  2jN.^B. 
N.,  284. 

This  clause  construed.     In  re  Baudouine    (1900),  C.  C.  A.,  2nd  Cir., 
Wallace,  J.,  lOlFed.,  574;  3  A.  B.  R.,  651;  1  N.  B.  N.,  506.    In  re  Browne 
(1900),  E.  Dist,  Pa.,  McPherson,  J.,  104  Fed.,  762;  5  A.  B.  R.,  220:  In  re 
Rosenberg  (1902),  E.  Dist.  Pa.,  McPherson,  J.,  116  Fed.,  402;  8  A.  B. 
R.,  624. 

Owner  of  property  may  interv'ene.  In  re  Whitener  (1900),  C.  C.  A., 
5th  Cir.,  Pardee,  J.,  105  Fed.,  180;  5  A.  B.  R.,  198;  3  N.  B.  N.,  316;  Fisher 
V.  Cushman  (1900),  C.  C.  A.,  1st  Cir.,  Putnam,  J.,  103  Fed.,  860;  4  A.  B. 
R.,  646;  In  re  Kindt  (1900),  S.  Dist.  la.,  Shiras,  J.,  101  Fed.,  107;  3 
A.  B.  R.,  546;  2  N.  B.  N.,  373;  see  likewise  In  re  Todd  (1901),  S.  Dist. 
N  Y.,  Brown,  J.,  109  Fed.,  265;  6  A.  B.  R.,  88;  3  N.  B,  N.,  833;  In  re 
Durham  (1900),  E.  Dist.  Ark.,  Trieber,  J.,  104  Fed.,  231;  4  A.  B.  R.,  760 
2  N.  B.  N.,  1,101. 

Property  secured  by  fraud  of  bankrupt  ordered  returned  to  owners. 
Bloomingdale  v.  Empire  Rubber  Mfg.  Co.  (1902),  E.  Dist.  N.  Y.,  Thomas, 
J.,  114  Fed.,  1,016;  8  A.  B.  R.,  74. 

District  court  shovdd  examine  ground  for  summary  application  for 
order  directing  surrender  of  property  and  if  there  appears  to  be  a  real  con- 
troversy, matter  must  be  referred  to  the  state  court.  In  re  Baird  (1902), 
E.  Dist.  Pa.,  McPherson,  J.,  115  Fed.,  1023;  8  A.  B.  R.,  649. 

District  Court  must  determine  whether  a  real  controversy  exists — 
cannot  act  in  personam  upon  adverse  claimants  who  reside  in  another 
district.  In  re  Waukesha  Water  Co.  (1912),  E.  Dist.  Wis.,  Seaman,  J., 
116  Fed.,  1009;  8  A.  B.  R.,  715. 

State  court  cannot  refuse  to  surrender  assets  until  its  officers  are  paid 


I  2.  (7)]      COURTS  OF   BANKRUPTCY. — JURISDICTION.  21 

fees.     In  re  Rogers  (1902),  S.  Dist.  Ga.,  Speer,  J.,  116  Fed.,  435;  8  A.  B. 
R.,  723. 

Bankruptcy  court  cannot  dispose  of  adverse  claim  to  property  of  bank- 
rupt in  possession  of  third  person  without  consent  of  the  parties.  In  re 
Michie  (1902),  Dist.  Mass.,  Lowell,  J.,  116  Fed.,  749;  8  A.  B.  R.,  734. 

Sale  of  property  in  hands  of  receiver  by  order  of  bankruptcy  court, 
though  creditors  had  been  on  same.  Beach  v.  Mason,  Grocery  Co.  (1902), 
C.  C.  A.,  5th  Cir.,  116  Fed.,  143;  8  A.  B.  R.,  751,  where  District  Court  has 
acquired  possession  of  property  it  has  power  to  adjudicate  liens  claimed 
thereon.  Chauncey  et  al.  v.  Dyke  Bros.  (1902),  C.  C.  A-,  8th  Cir.,  Thayer, 
J.,  119  Fed.,  1. 

Bankruptcy  cotirt  has  no  jurisdiction  over  funds  of  execution  sale, 
where  the  judgment  on  which  sale  was  based  was  obtained  more  than  four 
months  prior  to  filing  the  petition,  even  though  the  sale  was  within  the 
four  months  preceding.  In  re  Easley  (1899),  W  Dist.  Va.,  Paxil,  J.,  93 
Fed.,  419;  1  A.  B.  R.,  715;  1  N.  B.  230. 

Jurisdiction  of  property  in  possession  of  District  Court  is  not  to  be  in- 
terfered with  by  proceedings  in  state  courts  subsequently  brought.  In 
re  Russell  &  Birkett  (1900),  C.  C.  A.,  2nd  Cir.,  Wallace,  J.,  101  Fed.; 
248;  3  A.  B.  R.,  658. 

Mortgagees  obtaining  possession  of  property  prior  to  filing  of  petition, 
cannot  be  compelled  by  summary  process  to  deliver  same  to  the  trustee. 
In  re  Buntrock  Clothing  Co.  (1899),  N.  Dist.  la.,  Shiras,  J.,  92  Fed., 
886;  1  A.  B.  R.,  454;  1  N.  B.  N.,  291 

Bankruptcy  court  no  jurisdiction  over  fund,  title  to  which  has  been 
adjudicated  by  another  court  of  competent  jurisdict  ion  .  Quaere.  Has 
District  Covut  jurisdiction  of  suit  agaist  trustee  by  claim  of  property  held 
by  him.  J.  B.  McFarlane  Carriage  Co.  et  al.  v.  Salanas  et  al.  (1901), 
C.  C.  A.,  5th  Cir.,  106  Fed.,  145;  5  A.  B.  R.,  442. 

Jurisdiction  in  garnishment  proceedings  against  the  bankrupt  inheres 
in  District  Cotirt.  In  re  McCartney  (1901),  E.  Dist.  Wis.  Seaman,  J., 
109  Fed.,  621;  6  A.  B.  R.,  367. 

Jurisdiction  wanting  in  District  Court  to  compel  assignee  to  turn  over 
assets  on  stimmary  proceedings — no  contempt  where  party  ordered  to 
do  the  impossible  and  turn  over  money  squandered.  Sinsheiner  et  al. 
v.  Simonson  et  al.  (1901),  C.  C.  A.,  5th  Cir.,  Severens,  J.,  107  Fed.,  898; 
5  A.  B.  R.,  537. 

Jiirisdiction  wanting  in  District  Court  in  suit  by  trustee  to  compel 
third  party  to  bankruptcy  proceedings  to  sell  certificate  of  Board  of  Trade 
held  by  bankrupt  as  collateral.  In  re  Silberhom  (1900),  N.  Dist.  111., 
Kohlsaat,  J.,  105  Fed.,  899;  5  A.  B.  R.,  568. 


22  COURTS  OF  BANKRUPTCY, — JURISDICTION.      [§2.(7) 

Money  turned  over  by  bankrupt  to  wife  can  not  be  reached  by  sum- 
mary order.  /nr^Green  (1901),E.  Dist.  Pa.,  McPherson,  J.,  108  Fed.; 
616;  6  A.  B.  R.,  270. 

State  court  having  taken  possession  of  estate  by  receiver  more    than 

four  months  prior  to  bankruptcy,  will  not  be  divested  of  control.    Frazier 

V.  So.  Loan  &  Trust  Co.  (1900),  C.  C   A.,  4th  Cir.,Paul,  J.,  99  Fed.,  707, 

3  A.  B.  R.,  710. 

r 

Possession  of  assets  by  trustee  should  be  obtained  by  application  to 

State  Court,     In  re  Kersten  &  Kersten  (1901),  E.  Dist.  Wis.,  Seaman, 
J.,  110  Fed.,  929;  6  A,  B.   R.,  516. 

Where  proceedings  in  State  Court  are  in  nature  of  insolvency  proceed- 
ings state  administration  is  suspended  by  bankruptcy.  In  re  Kersten 
&  Kersten  (1901),  E.  Dist,  Wis.,  Seaman,  J.,  110  Fed.,  929;  6  A.  B.  R.,  516- 

Jurisdiction  of  bankruptcy  court  prevails  over  State  court  which  had 
appointed  a  receiver  on  grounds  of  insolvency.  Comity  requires  that 
bankruptcy  receiver  apply  for  an  order  for  possession.  In  re  Lengert 
Wagon  Co.  (1901).  S.  Dist.  N.Y.,  Adams,  J.,  110  Fed.,  927;  6  A.  B.  R.,  535. 

It  is  error  on  a  summary  petition  to  compel  an  assignee  of  bankrupt 
without  notice  to  turn  over  property  to  the  trustee.  Smith  v.Belford 
(1901),  C.  C.  A.  6th  Cir.,Sevems,  J.,  106  Fed.,  658;  5  A,  B.  R.,  291. 

Jurisdiction  in  district  Court  to  order  purchaser  of  assets  under  general, 
assignment  to  turn  over  property  of  estate  to  the  purchaser  in  bank- 
ruptcy proceedings.  Bryan  v.  Bernheimer  1901),  U.  S.  Supreme  Ct., 
Judge  Gray,  181  U.  S.,  181;  5  A.  B.  R.,  623. 

Jurisdiction  of  District  Court  to  take  possession  of  property  of  bank- 
rupt which  was  in  possession,  although  mortgagee  claims  title  and  pos- 
session. In  re  Bendeer  (1901),  W.  Dist.  Ark.,, Rogers,  J.,  106  Fed.,  873; 
5  A.  B.  R.,  632. 

Court  of  bankruptcy  has  no  power  by  summary  process  to  order 
sheriff  to  turn  over  to  trustee  money  obtained  from  sale  under  execution 
made  null  by  bankruptcy  adjudication.  In  re  Franks  (1899),  S.  Dist. 
Ala.,  Toulmin,  J.,  95  Fed.,  635;  2  A.  B.  R.,  634. 

The  jurisdiction  of  the  bankruptcy  court  over  exempt  property  is 
limited  to  setting  the  exempt  property  aside.  Disputes  concerning  title 
to  property  left  to  other  courts.  In  re  Hill,  N.  Dist.  Ga.,  Newman,  J., 
96  Fed.,  185;  2  A.  B.  R.,  798;  2  N.  B,  N,,  180. 

Bankruptcy  court  has  power  to  compel  purchasers  at  a  chattel  mort- 
gage sale  of  bankrupt's  goods,  after  adjudication  to  turn  property  pur- 
chased over  to  trustee.  In  re  Brooks  (1899),  Dist.  Vt.,  Wheeler,  J.; 
1  A.  B.  R.,  531;  1  N.  B.  N.,  240. 

A  stockholder  without   personal  interest  may  be  ordered  to  surrender 


§2.(8)]      COURTS  OF   BANKRUPTCY. — JURISDICTION.  23 

to  Marshal  and  held   for  contempt  if  he  refuses.     In  re  Macon  Lumber 
Co.  (1901),  S.  Dist.  Ga.,  112  Fed.,  323;  7  A.  B.  R.,  66. 

Goods  in  possession  of  bankrupt  at  time  of  adjudication  are  in  posses- 
sion of  the  bankrupt  court.  No  process  of  the  state  court  can  take  them 
out.  Summary  relief  proper.  White  &  Ors  v.  Schloerb  et  al.  (1900),  U. 
S.  Sup.  Ct.,  Gray,  J.,  178  U.  S.,  542;  4  A.  B.  R.,  178;  2  N.  B.  N.,  721. 

Jurisdiction  of  State  court  which  has  appointed  receiver  of  a  firm  is 
not  to  be  assailed  in  bankruptcy  court  in  subsequent  proceeding — no  order 
will  be  made  on  the  receiver  to  turn  over  the  assets.  Trustee  must  apply 
to  state  court  for  such  an  order.  In  re  Price  &  Co.  (1899),  So.  Dist.  N. 
Y.,  Brown,  J.,  92  Fed.,  987;  1  A.  B.  R.,  606;  1  N.  B.  N.,  240. 

Adjudication  in  bankruptcy  will  be  respected  by  state  court  and  funds 
in  receiver's  hands  be  ordered  turned  over  to  the  trustee.  State  court 
will  allow  for  costs  and  expenses  of  the  receivership.  Wilson  v.  Parr 
(1902),  Little,  J.,  Sup.  Ct.  Ga.,  8  A.  B.  R.,  230. 

Bankruptcy  Court  having  possession  of  property  of  bankrupt  will  not 
allow  a  subsequent  proceeding  in  State  Court  to  interfere  with  the  same. 
Keegan  v.  King  (1899),  Dist.  Ind.,  Baker,  J.,  96  Fed.,  758;  3  A.  B.  R.,  79. 

Property  being  administered  by  a  state  court  should  not  be  disturbed 
by  a  court  of  bankruptcy  unless  it  is  evident  that  an  injustice  will  be  done 
to  the  general  creditors  by  administration  in  the  State  Court.  Southern 
Loan  &  Trust  Co.  v.  Benbow  (1899),  W.  Dist.  N.  C,  Ewart,  J.,  96  Fed., 
514;  3  A.  B.  R.,  9;  1  N.  B.  N,,  499. 

Reopening  of  estate  should  be  based  on  proper  petition  setting  up  the 
facts.  In  re  Newton  (1901),  C.  C.  A.,  8th  Cir.,  Adams,  J.,  107  Fed.,  429; 
6  A.  B.  R.,  52. 

State  court  cannot  demand  as  a  condition  of  turning  over  property  in 
hands  of  receiver  that  costs  of  administration  be  first  paid.  Hanson  v. 
Stephens  (1902),  Sup.  Ct.  Ga.,  Little,  J.,  42  S.  E.,  1028. 

(8)  [Close  estates.]  Close  estates,  whenever  it  appears 
that  they  have  been  fully  administered,  by  approving  the 
final  accounts  and  discharging  the  trustees,  and  reopen  them 
whenever  it  appears  they  were  closed  before  being  fully  ad- 
ministered : 

Duty  of  trustee  to  close  estates  expeditiously.     Sec.  47a  (2). 
Trustee  to  file  final  account  fifteen  days  before  the  final  meeting  of 
creditors.     Sec.  47  post. 

Creditors  to  have  ten  days'  notice.     Sec.  58a  post. 


24  COURTS  OF  BANKRUPTCY. — JURISDICTION.    [§2.(11) 

As  to  death  or  removal  of  trustee,  Sec.  46.  See  generally  ante  (3)  (5) 
(7)  and  notes  thereto.     As  to  administration  of  estates,  see  Chapter  VII. 

Speedy  closing  of  estates  duty  of  courts  of  bankruptcy.  In  re  Stein 
(1899),  Dist.  Ind.,Baker,  J.,94Fed.,  124;1  A.  B.  R.,  662;  1  N.  B.  N.,  339. 

Court  reluctant  to  reopen  estate.  In  re  Newton  (1901),  C.  C.  A., 
8th  Cir.,  Adams,  J.,  107  Fed..  Rep.,  429;  6  A.  B.  R.,  52;  3  N.  B.  N.,  978; 
In  re  Shaffer  (1900),  E.  Dist.  N.  C,  Pumell,  J.,  104  Fed.,  982;  4  A.  B.  R. 
728;  3  N.  B.  N.,  54. 

(9)  [Confirm  or  reject  compositions.]  Confirm  or  reject 
compositions  between  debtors  and  their  creditors,  and  set 
aside  compositions  and  reinstate  the  cases; 

For  confirmation  or  rejection  of  compositions,  see  Sec.  12  and  Sec. 
13,  post.  Gen.  Ord.  XXXII.  For  effect  of  setting  aside  composition 
on  title  to  property,  see  Sec.  64  c  and  Sec.  70d,  post.  For  forms  for 
composition  see  Forms  60  and  61,  post. 

(10)  [Pass  on  referee's  findings.]  Consider  and  confirm 
modify  or  overrule,  or  return,  with  instructions  for  further 
proceedings,  records  and  findings  certified  to  them  by 
referees ; 

As  to  Practice  on  review  of  referee's  finding,  see  Gen.  Ord.  XXVII. 
As  to  findings  of  the  referee,  see  Sec.  38  and  39,  post,  and  notes. 

Ruling  of  referee  to  which  exception  is  desired  to  be  made  to  the' Judge 
shovdd  be  accompanied  by  an  order,  and  petition  for  review  should  be 
filed.  In  re  Smith  (1899),  W.  Dist.  Texas,  Maxey,  J.,  93  Fed.,  791;  2 
A.  B.  R.,  190;  1  N.  B.  N.,  532. 

Orders  and  decrees  may  be  made  and  corrected  at  any  time,  the  court 
being  always  open.  Mahoney  et  al.,  v.  Ward  (1900),  E.  Dist.  N.  C, 
Pumell,  J.,  100  Fed.,  278;  3  A.  B.  R.,  770;  2  N.  B.  N.,  538. 

Petition  for  review  essential  before  judge  will  review  referee's  order. 
In  re  Russell  (1900),  N.  Dist.  Cal.,  De  Haven,  J.,  105  Fed.,  501;  5  A.  B. 
R.,  566;  3  N.  B.  N.,  365.  In  re  Smith  (1899),  W.  Dist.  Texas,  Maxey, 
J.,  93  Fed.,  791;  2  A.  B.  R.,  190;  1  N.  B.  N.,  532. 

Petition  for  review  is  in  nature  of  assignment  of  errors  and  only  mat- 
ters included  therein  will  be  passed  on.  In  re  T.  L.  Kelley  Dry  Goods 
Co.  (1900),  E.  Dist.  Wis.,  Seaman,  J.,  102  Fed.,  747;  4  A.  B.  R.,  528. 

(11)  [Pass  on  claims  to  exemption.]  Determine  all 
claims  of  bankrupts  to  their  exemptions ; 


§2.(13)]    COURTS  OF  BANKRUPTCY. — ^JURISDICTION.  25 

As  to  exemptions  to  which  bankrupt  is  entitled,  see  Sec.  6  post  and 
notes,  also  Sec.  47  (11),  post,  annd  notes  as  to  duty  of  Trustee  in  regard 
to  exemptions.  Bankrupt  to  schedule  exemptions,  Sec.  7  (8)  post.  Form 
No.  1,  Sch.  B  (5). 

Court  will  not  review  a  finding  or  order  of  the  referee  that  property 
is  not  exempt,  unless  a  trustee  has  been  appointed  and  has  set  apart  the 
bankrupt's  exemption.     In  re  Smith  (1899),  West  Dist.  Texas,  Maxey," 
J.,  93  Fed.,  791;  2  A.  B.  R.,  190;  1  N.  B.  N.,  532. 

Bankruptcy  Court  exclusive  jvuisdiction  to  determine  right  to  ex- 
emptions as  between  bankrupt  and  trustee.  McGahan  v.  Anderson  (1902) , 
C.  C.  A.,  4th  Cir.,  Jackson,  J.,  113  Fed.,  115;  7  A.  B.R.,  641;  affirming  in 
re  Anderson  (1900),  Dist.  S-  C,  Brawley,  J.,  103  Fed.,  854;  4  A.  B.  R. 
640 

Petition  for  exemptions  reasonable  so  long  as  the  estate  remains  in 
such  a  condition  that  exemptions  can  be  allowed.  In  re  White  (1900), 
Dist.  Vt.,  Wheeler,  J.,  103  Fed.,  774;  4  A.  B.  R.,  613;  3  N.  B.  N.,  270. 

An  order  setting  apart  homestead  exemptions  may  be  vacated  during 
the  term  at  which  entered.  In  re  Mayer  (1901) ,  C.  C.  A.,  7th  Cir.,  Woods, 
J.,  108  Fed.,  599;  6  A.  B.  R.,  117;  3  N.  B.  N.,  592. 

(12)  [Discharge  bankrupts..]  Discharge  or  refuse  to  dis- 
charge bankrupts  and  set  aside  discharges  and  reinstate  the 
cases ; 

As  to  discharges,  see  Sections  14,  15  and  16,  post,  and  notes.  See  also 
Gen.  Order  XII,  XXXI  and  Forms  57,  58  and  59.  As  to  debts  not  affected 
by  discharge,  see  Sec.  17  post  and  notes. 

(13)  [Enforce  orders.]  Enforce  obedience  by  bank- 
rupts, officers,  and  other  persons  to  all  lawful  orders,  by  fine 
or  imprisonment  or  fine  and  imprisonment ; 

As  to  imprisonment  for  contempts  before  referees,  see  Sec.  41  post 
and  notes.  Officers  defined,  Sec.  1  (18)  and  notes.  Persons  defined. 
Sec.  1   (19)  and  notes. 

Bankrupt  committed  for  failure  to  pay  tnistee  fifteen  himdred  dollars 
which  the  court  found  he  had  concealed.  In  re  McCormick  (1899),  S. 
Dist.  N.  Y.,  Brown,  J.,  97  Fed.,  566;  3  A.  B.  R.,  340;  2  N.  B.  N.,  204. 

Before  commitment  for  contempt  for  disobedience  to  the  orders  of  the 
court  wilfvil  disobedience  should  be  proved  beyond  a  reasonable  doubt. 
In  re  McCormick  (1899),  S.  Dist.  N.  Y.,  Brown,  J.,  97  Fed.,  566;  3  A. 
B.  R.,  340;  2  N.  B.  N.,  204. 


26  COURTS  OF  BANKRUPTCY. — JURISDICTION.    [§2.  (13) 

In  proceedings  for  contempt  for  failure  to  pay  over  money  to  the  trus- 
tee there  should  be  an  order  to  show  cause  and  an  application  for  hearing. 
Bankrupt  may  be  attached  for  failure  to  obey  order  to  pay  over.  It 
must  appear  that  he  has  the  money  at  the  time  he  is  ordered  to  turn  it 
over.  In  re  Rosser  (1900).  C.  C.  A.,  8th  Cir.,  Sanborn,  J.,  101  Fed.,  562; 
4  A.  B.   R.,   153. 

Imprisonment  for  contempt  for  failure  to  turn  over  money  to  a  trust- 
ee approved  in  re  Schlesinger  (1900),  C.  C.  A.,  8th  Cir.,  Shipman,  J.,  102 
Fed.,  117;  4  A.    B.  R.,  361;  2  N.  B.  N.,  169. 

Ripon  KnittingWorks  v.Schreiber  (1900),  Dist.  of  Washington,  Hand- 
ford,  J.,  101  Fed.,  810;  4  A.  B.  R.,  299;  2  N  B.  N.,  545. 

No  absolute  order  committing  for  contempt  should  issue  before  the 
order  to  show  cause.  In  re  Rosser  (1900),  C.  C.  A.,  8th  Cir.,  Sandbom, 
J.,  101  Fed.,  562;  4  A.  B.  R.,  153. 

In  re  Schlesinger  (1899),  S.  Dist.  N.  Y.,  Bro\\'n,  J.,  97  Fed.,  930;  3  A. 
B.  R.,  342;  2  N.  B.  N.,  169. 

Contempt  proceedings  enforcible  against  bankrupt  for  failure  to  turn 
over  goods  found  to  be  under  his  control  by  the  referee.  Proof,  however, 
should  be  convincing  to  justify  the  summary  process.  In  re  Mayer  (1900) , 
E.  Dist.  Wis.,  Seaman,  J.,  97  Fed.,  328;  3  A.  B.  R.,  533;  2  N.  B.  N.,  257. 

Injunction — contempt  for  violating  where  only  verbal  notice  of  its 
issuance  is  given.  In  re  Krinsky  Bros.  (1902),  S.  Dist.  N.  Y.,  A  Jams, 
J.,  112  Fed.,  972;  7  A.  B.  R.,  535. 

Bankrupt  committed  to  jail  for  failure  to-  surrender  assets.  In  re 
Wilson  (1902),  W.  Dist.  Ark.,  Rogers,  J.,  116  Fed.,  419;  8  A.  B.  R.,  612. 

Bankrupt's  ability  to  perform  order  must  clearly  appear.  Boyd  v. 
GluckUch  (1902),  C.  C.  A.,  8th  Cir.,  116  Fed.,  131;  8  A.  B.  R.,  393. 

Power  of  committment  should  be  cautiously  exercised.  In  re  Gottardi 
et  al.  (1902),  S.  D.  Cal.,  Wellborn,  J.,  114  Fed.,  328. 

Referee  has  power  in  first  instance  to  make  summary  order  for  sur- 
render of  property — district  court  power  under  the  bankruptcy  act 
and  under  general  equity  powers  to  commit  the  guilty  party  to  jail. 
Mueller  v.  Nugent  (1902),  U.  S.  Sup.  Court,  Fuller,  J.,  184  U.  S.,  18; 
7  A.  B.  R.,  224 

Debtor  must  be  discharged  when  it  appears  that  he  cannot  siurender 
concealed  property.  In  re  Taylor  (1901),  Dist.  Colo.,  Hallett,  J.,  114 
Fed.,  607;  7  A.  B.  R.,  410. 

Assignee  of  bankrupt  fined  for  contempt.  In  re  Krinsky  (1902), 
S.  Dist.  N.  Y.,  112  Fed.,  972;  7  A.  B.  R.,  535. 


§2.(15)]   COURTS  OF  BANKRUPTCY.— JURISDICTION.  27 

(14)  [Extradite  bankrupts.]  Extradite  bankrupts  from 
their  respective  districts  to  other  districts; 

As  to  extradition  of  bankrupts,  see  Sec.  10  ante.  As  to  removal  of 
accused  from  one  district  to  another,  see  Sec.  1,014  R.  S.  U.  S. 

This  is  the  same  power  defined  more  specifically  in  Sec.  10.  In  re 
Ketchum  (1901),  C.  C.  A.,  6th  Cir.,  Clark,  J.,  5  A.  B.  R.,  532;  3  N.  B.  N., 
769. 

(15)  [Make  orders.]  Make  such  orders,  issue  such  pro- 
cess, and  enter  such  judgments  in  addition  to  those  specific- 
ally provided  for  as  may  be  necessary  for  the  enforcement 
of  the  provisions  of  this  Act ; 

For  rules,  forms  and  orders,  see  Sec.  30  and  notes. 

For  discussion  of  jurisdiction  see  Sec.  23  and  notes. 

As  to  enforcement  of  orders,  see  Sec.  2  (13)  and  notes  and  Sec.  41. 

As  to  jurisdiction  of  referees,  see  Sec.  38a  (4) . 

This  section  is  sufficient  to  authorize  holding  bankrupt  by  writ  of 
ne  exeat  where  section  9  (b)  is  insufficient.  In  re  Lipke  (1900) ,  S.  Dist. 
N.  Y.,  Brown,  J.,  98  Fed.,  970;  3  A.  B.  R.,  569;  2  N.  B.  N.,  347. 

A  court  of  bankruptcy  has  power  to  adjudicate  the  validity  of  a 
transfer  of  accounts  and  compel  the  surrender  by  the  fraudulent  assignee 
thereof.  In  re  Kerski  (1899),  E.  Dist.  Wis.,  Forward,  R.;  2  A.  B.  R., 
79;  1  N.  B.  N.,  328. 

Bankruptcy  Court  has  general  equity  powers  to  enforce  orders.  Muel- 
ler V.  Nugent  (1902),  U.  S.  Sup.  Court,  Fuller,  J.,  184  U.  S.,  18;  7  A.  B.  R., 
224.  In  re  Wilson  (1902),  W.  Dist.  Ark.,  Rogers,  J.,  116  Fed.,  419;  8 
A.  B.  R.,  612;  In  Gottardi  et  a/.  (1902),  S.  Dist.  Cal.,  Wellborn,  J., 
114  Fed.,  328;  In  re  Miller  (1900),  Nor.  Dist.  la.,  Shiras,  J.,  105  Fed.,  57; 
5  A.  B.  R.,  184;  3  N.  B.  N.,  329.  Fisher  v.  Cushman  (1900),  C.  C.  A.,  1st 
Cir.,  Putnam,  J.,  103  Fed.,  860;  4  A.  B.  R.,  646.  In  re  Diack  (1900), 
S.  Dist.  N.  Y.,  Brown,  J.,  100  Fed.,  770. 

Power  may  be  exercised  by  the  referee  in  the  first  instance  subject  to 
review  by  the  judge.  Mueller  v.  Nugent  (1902),  U.  S.  Sup.  Ct.,  Fuller, 
J.,  184  U.  S.  18;  7  A.  B.  R.,  224;  In  re  Miller  (1900),  N.  Dist.  la.,  Shiras, 
J.,  105  Fed.,  57;  5  A.  B.  R.,  184;  3  N.  B.  N.,  329.  In  re  Deuell  (1900),  W. 
Dist.  Mo.,  Philips,  J.,  100  Fed.,  633;  4  A.  B.  R.,  60.  In  re  Mayer  (1900), 
E.  Dist.  Wis.,  Seaman,  J.,  98  Fed.,  839;  3  A.  B.  R.,  533.  In  r^McCormick 
(1899),  S.  Dist.  N.  Y.,  Brown,  J.,  97  Fed.,  566.  In  re  Purvine  (1899), 
C.  C.  A.,  5th  Cir.,  Newman,  J.,  96  Fed.,  192;  1  N.  B.  N.,  326.  In  re  Tudor 
(1899),  Dist.  Colo.,  Hallett,  J.,  96  Fed.,  912;  1  N.  B.  N.,  476;  same  case 


28  COURTS  OF  BANKRUPTCY. — JURISDICTION.    [§2.  (15) 

(1900),  100  Fed.,  796;  2  A.  B.  R.,  808;  In  re  Oliver  (1899),  N.  Dist.Cal., 
De  Haven,  J.,  96  Fed.,  85;  2  A.  B.  R.,  783;  1  N.  B.  N.,  329.  In  re  Coffman 
(1899),  N.  Dist.  Tex.,  Meek,  J.,  93  Fed.,  422;  1  N.  B.  N.,  326.  In  re  Sapiro 
(1899),  E.  Dist.  Wis.,  Seaman,  J.,  92  Fed.,  340;  1  A.  B.  R.,  296;  1  N.  B. 
N.,  136. 

Filing  of  petition  is  in  effect  an  attachment  and  injunction.  In  re 
Krimsky  (1902),  S.  Dist.  N.  Y.,  Adams,  J.,  112  Fed.,  972;  7  A.  B.  R., 
535;  In  r^Amett  (1901),  W.  Dist  Tenn,  Hammond,  J.,  112  Fed.,  770;7 
A.  B.  R.,  522. 

'  Order  issued  before  trustee  appointed,  restraining  removal  of  fixtures 
from  bankrupts'  premises.  In  re  Smith  (1902),  Nor.  Dist.  Ga.,  Newman, 
J.,  113  Fed.,  993;  8  A.  B.  R.,  55. 

Bankruptcy  Court  may  enjoin  assignee  under  State  law  from  parting 
with  assigned  property.  Rumsey,  etc.,  v.  Novelty,  etc.,  Mfg.  Co.  (1899), 
E.  Dist.  Mo.,  Adams,  J.,  99  Fed.,  699;  3  A.  B.  R.,  704;  2  N.  B.  N.,  128; 
In  re  GutwiUig  (1899),  C.  C.  A.,  2nd  Cir.,  Wallace,  J.,  92  Fed.,  337;  1 
A.  B.  R.,  388;  1  N.  B.  N.,  554.  In  re  Lea  v.  George  M.  West  Co.  (1899), 
E.  Dist.  Va.,  Waddill,  J.,  91  Fed.,  237;  1  A.  B.  R.,  261;  1  N.  B.  N.,  79. 
Leidigh  Carriage  Co.  v.  Stengil  (1899),  C.  C.  A.,  6th  Cir.,  Taft,  J.,  95  Fed., 
637;  2  A.  B.  R.,  383;  1  N.  B.  N.,  296. 

Bankruptcy  Court  has  power  to  order  assessment  of  stockholders  for 
impaid  subscription  to  capital  stock.  In  re  Miller  Electric  Maintenance 
Co.  (1901),  W.  Dist.,  Pa.,  Buffington,        111  Fed.,  515;  6  A.  B.  R.,  701. 

Section  2a  gives  full  jurisdiction  for  examination,  even  though  District 
Court  under  Section  25e  might  not  entertain  the  suit.  In  re  Clifle  (1899) , 
E.  Dist.  Pa.,  McPherson,  J.,  97  Fed.,  540;  3  A.  B.  R.,  257;  1  N.  B.  N.,  509. 

Examination  may  be  had  of  a  trustee  under  state  court  proceedings 
appointed  more  than  four  months  prior  to  bankruptcy  touching  his 
doings.  In  re  Purcell  (1902),  Dist.  Conn.,  Townsend,  J.,  114  Fed.,  371; 
8  A.  B.  R.,  96. 

Bankrupt  ordered  to  pay  over  money  held  by  him  to  the  trustee.  In 
re  Schlesinger  (1899),  S.  Dist.  N.  Y.,  Brown,  J.,  97  Fed.,  930;  3  A.  B.  R., 
342;  2  N.  B.  N.,  169. 

Bankrupt  ordered  to  pay  over  money  in  his  possession  to  trustee — 
no  deductions  made  for  money  spent  in  a  debauch.  In  re  Tudor  (1899), 
Dist.  Colo.,  Hallett,  J.,  100  Fed.,  796;  2  A.  B.  R.,  808;  1  N.  B.  N.,  476. 
In  re  Henschel  (1901),  S.  Dist.  N.  Y.,  Wise,  R.;  7  A.  B.  R.,  207.  In 
re  Shera  (1902),  S.  Dist.  N.  Y.,  Adams,  J.,  114  Fed.,  207;  7  A.  B.  R 
552. 

Orders  may  be  vacated  at  any  time  without  regard  to  terms,  unless 
rights  have  vested  thereunder.  In  re  Ives  (1902),  C.C.  A.,  6th  Cir., 
Wanty,  J.,  113  Fed.,  911;  7  A.  B.  R.,  692. 


§2.(18)]    COURTS  OF   BANKRUPTCY. — JURISDICTION.  29 

Order  should  be  based  on  motion  or  petition  for  precise  purpose.  In 
re  Lemon,  ,  etc.,  Co.  (1901),  C.  C.  A.,  5th  Cir.,  Day,  J.,  112  Fed.,  296; 
7  A.  B.   R.,  291. 

Bankruptcy  Court  of  New  York  ordered  trust  company  of  Philadel- 
phia to  pay  money  held  for  the  bankrupt,  but  attached  by  a  creditor  to 
the  receiver  in  bankruptcy  and  fined  the  company  for  contempt  for  non- 
compliance. The  Pennsylvania  District  Coiu-t  entered  ancillary  order 
enforcing  the  payment.  In  re  Peiser  (1902),  E.  Dist.  Pa.,  McPherson, 
J.,  115  Fed.,  199;  7  A.  B.  R.,  690. 

(16)  [Punish  contempts  before  referees.]    Punish  persons 

for  contempts  committed  before  referees ; 

As  to  procedure  in  contempt  proceedings,  see  Sec.  41,  post,  and  notes. 
Bankrupt's  exemption  from  arrest  does  not  extend  to  arrest  for  contempt. 
Sec.  9a.  , 

(17)  [Appoint  and  remove  trustees.]  Pursuant  to  the 
recommendation  of  creditors,  or  when  they  neglect  to  rec- 
ommend the  appointment  of  trustees,  appoint  trustees,  and 
upon  complaints  of  creditors,  remove  trustees  for  cause  upon 
hearings  and  after  notices  to  them ; 

As  to  appointment  of  trustee,  see  Sec.  44,  post.  As  to  qualification 
and  duties  of  trustee,  see  Sec.  45  and  notes.  As  to  Removal  of  Trustee, 
see  Sec.  46.  Judge  must  approve  appointment  of  trustee  and  he  only 
can  remove.  Gen.  Order  XIII.  No  official  or  general  trustee  to  be 
appointed.  Gen.  Ord.  XIV.  As  to  when  coiirt  may  order  appointment 
of  trustee,  see  Gen.  Ord.  XV.  As  to  Notice  of  appointment,  see  Gen. 
Ord.  XVI.  Forms  No.  22-24,  notice  of  appointment.  Trustees  not 
appointed  in  certain  cases.  Gen.  Ord.  XV.  Order  that  no  trustee  be  ap- 
pointed. _  Form  No.   27. 

(18)  [Tax  costs.]  Tax  costs,  whenever  they  are  allowed 
by  law,  and  render  judgments  therefor  against  the  unsuc- 
cessful party,  or  the  successful  party  for  cause,  or  in  part 
against  each  of  the  parties,  and  against  estates,  in  pro- 
ceedings in  bankruptcy ;  and. 

As  to  costs  of  preserving' estate  and  administration,  see  Sec.  64b.  As 
to  costs  against  creditor  when  involuntary  petition  is  dismissed,  Sec.  3e. 
Attorney's  fee  taxable  as  part  of  costs  of  administration,  Sec.  64b  (3). 
Costs  may  be  proved  as  a  claim  against  estate.  Sec.  63a  (3).  As  to  cost, 
in  contested  cases,  see  Gen.  Order  XXXIV. 


30  COURTS  OF  BANKRUPTCY. — JURISDICTION.    [§  2.  (19) 

Referee's  jurisdiction  as  to,  taxation  of  costs  discussed  and  upheld 
In  re  Scott  (1902),  Dist.  Mass.,  Olmstead,  R.,  7  A.  B.  R.,  710. 

Costs  of  storing  personal  property  sustained  by  a  creditor  while  hold- 
ing the  property  subject  to  a  lien  which  is  dissolved  by  an  adjudication 
in  bankruptcy  not  taxable  against  the  estate,  but  provable  as  a  claim. 
In  re  Allen  (1899),  N.  Dist.  Cal.,  De  Haven,  J.,  96  Fed.,  512. 

When  intervening  creditor  unsuccessful  and  property  levied  on  is  sur- 
rendered and  sold  the  costs  of  caring  for  it  in  the  interim  will  not  be  taxed 
against  the  creditor,  though  all  the  witness  fees  may  be  so  taxed.  In  re 
Caroline  Cooperage  Co.  (1899),  E.  Dist.  N.  C,  Pumell,  J.,  96  Fed..  604; 
1  N.  B.  N.,  534. 

Reference  to  a  referee  on  questions  arising  from  opposition  to  dis- 
charge is  in  effect  to  a  special  master  and  costs  for  the  services  as  such 
may  be  taxed  in  favor  of  referee  as  special  master.  Fellows  v.  Freuden- 
thal  (1900) ;  C.  C.  A.,  7th  Cir.,  Seaman,  J.,  102  Fed.,  731;  4  A.  B.  R.,  490; 
3  N.  B.  N.,  97. 

(19)     [Transfer  cases.]    Transfer  cases  to  other  .courts 

of  bankruptcy. 

Judge  may  for  cause  at  any  time  transfer  cases  from  one  referee  to  an- 
other, Sec.  22  (b).  As  to  petitions  in  different  districts,  see  Gen.  Ord. 
VI.  Where  cases  transferred  compensation  of  referees  is  apportioned, 
Sec.  40b.  and  notes. 

[Unspecified  powers.]  Nothing  in  this  section  contained 
shall  be  construed  to  deprive  a  court  of  bankruptcy  of  any 
power  it  would  possess  were  certain  specific  powers  not 
herein  enumerated. 

See  ante  Sec.  2  (15). 

Bankruptcy  Court  may  order  reference  to  special  master  as  in  ordinary 
equity  practice.  Fellows  v.  Freudenihal  (1900) ,  C.  C.  A.,  7th  Cir.,  Seaman, 
J.,  102  Fed.,  731;  4  A.  B.  R.,  490;  3  N.  B.  N.,  97. 


CHAPTER  III. 


BANKRUPTS. 


Sec.  3.    Acts  op  bankruptcy. 
a. 

(1)  Conveyances  to  defraud. 

(2)  Preferences  through  transfers. 

(3)  Preferences  through  legal  pro- 
ceedings. 

(4)  Made  general  assignment. 

(5)  Admitted  inability  to  pay. 

b.  Petition  must  be  filed  within 
four  months. 

c.  Defense  of  solvency — burden 
of  proof. 

d.  Person    denying    insolvency. 

e.  Petitioner  to  give  bond.  Al- 
lowance of  costs  and  damages. 

Sec.  4.  Who  May  Become  Bank- 
rupts. 

a.  Voluntary  bankrupt. 

b.  Involtmtary  bankrupts. 
Sec.  5.     Partners. 

a.       Partnership  may  be  adjudged 

bankrupt. 
6.       Administration  of  partnership 

estate. 

c.  Jurisdiction  over  one  partner 
sufficient. 

d.  Trustee  keep  separate  accounts 
of  partnership  and  individual 
property 

€.       Apportionment  of  expenses. 

jF.  Payment  of  debts — disposi- 
tion of  surplus. 

g.  Partnership  claims  against  in- 
dividual estate. 

h.  Where  all  partners  are  not 
bankrupt. 

Sec.  6.  Exemptions  of  Bank- 
rupts. 

a.       Exemptions  allowed. 

Sec.    7.     Duties    of    Bankrupt. 

(1)  Attend  meetings  of  creditors. 

(2)  Comply  with  orders. 

(3)  Examine  proofs  of  claims. 

(4)  Execute  papers. 

(5)  Transfer  property  to  trustee. 

(6)  Give  trustee  information. 

(7)  Inform  trustee  of  false  claim. 

(8)  File  schedules. 

(9)  Attend  meetings  of  creditors 
and  submit  to  examination. 

Sec.   8.     Death  or   Insanity  of 

Bankrupt. 
a.       Proceedings  not  to  abate. 


31 


Sec.  9.     Protection  and  Deten- 
tion OF  Bankrupts. 
a.       Bankrupt  exempt  from  arrest. 

(1)  Not    exempt    for    con- 
tempt. 

(2)  Where  discharge  not  re- 

lease. 
c.        Detention    of    bankrupt    for 

examination. 
Sec.  10.     Extradition  of  Bank- 
rupts. 
Sec.   11.     Suits  by  and  against 
Bankrupts. 

a.  Stay  until  adjudication. 

b.  Appearance  of  trustee. 

c.  Trustee  may  prosecute. 

d.  Suits    against    estate    within 
two  years. 

Sec.    12.     Compositions   When 

Confirmed. 
a        When    composition  may    be 

offered. 
6.       Application  for  confirmation. 

c.  Date  for  hearing. 

d.  Conditions  of  confirmance. 

(1)  Best  interests    of  credi- 
tors. 

(2)  Bankrupt  entitled  to  dis- 
charge. 

(3)  Must   not   be   collusion. 

e.  Distribution  of  assets. 

Sec.  13.     Compositions  when  set 

ASIDE. 

a.       May  be  set  aside,''when. 
Sec.     14.     Discharges,     when 

GRANTED. 

a.       Application  for  discharge. 
6.        Hearing  of  application. 

(1)  Committing    an    offense 
bars  discharge. 

(2)  Destroying    books    bars 
discharge. 

c.        Confirmation   of  composition 

discharges  from  debts. 
Sec.  15.     Discharges,  when  Re- 
voked. 
Co-debtors   of   Bank- 
rupts. 
Debts  not  affected  by 
discharge. 
Taxes. 

Judgment  for  frauds,  etc. 
Claims  not  scheduled. 
Created  by  fraud. 


Sec.    16. 
Sec.  17. 


(1) 
(2) 
(3) 
(4) 


32  acts  of  bankruptcy.  [§  3  a 

Section  3.     Bankrupts. 

(3)  [Acts  of  bankruptcy.]  a  Acts  of  bankruptcy  by  a 
person  shall  consist  of  his  having 

As  to  acts  of  bankruptcy  under  Act  of  1867,  see  Sec.  39  of  that  act 
post,  Sec.  1  of  Act  of  1841,  post,  also  Sec.  1  of  Act  of  1800. 

Insolvency  is  not  a  feature  of  the  acts  of  bankruptcy.  In  re  West 
C.  C.  A.,  2nd  Cir.,  Shipman,  J.,  108  Fed.,  940;  5  A.  B.  R.,  734. 

(1)  [Conveyances  to  defraud.]  Conveyed,  transferred,  con- 
cealed, or  removed,  or  permitted  to  be  concealed  or  removed, 
any  part  of  his  property  with  intent  to  hinder,  delay,  or 
defraud  his  creditors,  or  any  of  them ;  or 

See  post  (2)  (3)  and  (4)  with  notes.  For  definition  of  "transierred" 
see  ante  Sec.  1  (25) ;  of  "concealed"  see  Sec.  1  (22)  ante. 

Flight  of  bankrupt  with  property  is  both  a  concealment  and  a  removal 
of  property  w^ith  intent  to  defraud  creditors  and  is  an  act  of  bankruptcy. 
In  re  Filer  (1900),  S  Dist.  N.  Y.,  Brown,  J.,  108  Fed.,  209;  5  A.  B. 
R.,  332. 

This  is  the  same  as  fraudulent  transfer  at  common  law.  Githens  v. 
Shiffler  (1902),  Middle  Dist.  Penn.,  Archbald,  J.,  112  Fed.,  505;  7  A.  B. 
R.,  453. 

Intention  to  prefer  not  same  as  intention  to  defraud.  Githens  v. 
Shiffler  (1902),  Middle   Dist.   Penn.,  Archbald,   J.,    112    Fed.,    505;  7A 

B.  R.,  453. 

Debtor  who  absconds  with  property  guilty  of  intent  to  defraud.  In 
re  Filer  (1900),  S       Dist.  N.Y  .,  108  Fed.,  209;  5  A.  B.  R.,  332. 

Voluntary  transfer  to  a  trustee  without  preference  an  act  of  bank- 
ruptcy vmder  this  clause.  Runisey,  etc.,  Co.  v.  Novelty  Mfg.  Co.  (1899), 
E.  Dist.  Mo.,  Adams,  J.,  99  Fed.,  699;  3  A.  B.  R.,  704. 

Failure  of  partner  to  oppose  application  for  receiver  does  not  render 
them  chargeable  tmder  this  section.     Vaccaro  v.  Security  Bank  (1900), 

C.  C.  A.,  6th  Cir.,  Lurton,  J.,  103  Fed.,  436;  4  A.  B.  R.,  474;  2  N.  B.  N. 
1,037. 

Consent  to  receivership  without  preference  is  an  act  of  bankruptcy. 
Davis  v.  Stevens  (1900),  Dist.  S.  Da.,  Garland,  J.,  104  Fed.,  235;  4  A.B 
R.,  763;  3  N.  B.  N.,  131. 

Allowing  receiver  to  be  appointed  in  State  court  not  act  of  bankruptcy. 
In  re  Baker- Ricketson  (1900),  Dist.  Mass.,  Lowell,  J.,  97  Fed.,  489;  4 
A.  B.  R.,  605;  2  N.  B.  N.,  133. 


§  3  a.  (2)]  ACTS  OF   BANKRUPTCY.  33 

Chattel  mortgage  more  than  a  year  old  does  not  bring  one  giving  it 
under  this  section.  Asbury  Park  Bldg.,  etc.,  v.  Shepherd  (1901),  Sup.  Ct. 
N.  J.,  50  Atl.,  65. 

Transfer  by  an  insane  person  not  an  act  of  bankruptcy.  In  re  Funk 
(1900),  N.  Dist.  Iowa,  Shiras,  J.,  101  Fed.,  244. 

Petitioning  creditors  need  not  prove  insolvency  under  this  clause. 
In  re  West  (1901),  C.  C.  A.,  2nd  Cir.,  Shipman,  J.,  108  Fed.,  940;  5  A. 

B.  R.,  734. 

Petition  need  not  allege  details  of  concealment.  In  re  Bellah,  Dist. 
Del.,  Bradford,  J.  (1902),  116  Fed.,  69;  8  A.  B.  R.,  310. 

Corporation  applying  for  receiver  more  than  four  months  before 
bankruptcy  not  under  this  clause.  In  re  Harper  &  Bro  (1900),  S  D. 
N.  Y.,  Brown,  J.,  100  Fed.,  266;  2  N.  B.  N.,  605. 

Withdrawal  of  money  by  partner  from  insolvent  firm  not  an  act  of 
bankruptcy.  In  re  Shapiro  (1901),  S.  Dist.  N.  Y.,  Brown,  J.,  106  Fed., 
495;  5  A.  B.  R.,  839. 

(2)  [Preference  by  transfer.]  Transferred,  while  insol- 
vent, any  portion  of  his  property  to  one  or  more  of  his  cred- 
itors with  intent  to  prefer  such  creditors  over  his  other 
creditors;  or 

Transfer  more  than  four  months  old  by  a  corporation  not  act  of  bank- 
ruptcy tmder  this  section.     Citizen's  Bank  v.  W .  C.  T>e  Pauw  Co.  (1901) 

C.  C.  A.,  7th  Cir.,  Grosscup,  J.,  105  Fed.,  926;  5  A.  B.  R.,  345. 

T\Tien  transfer  of  property  a  preference.  Sec.  60a  post.  Trustee  may 
recover  property  transferred  when  transfer  a  preference.  Sec.  60  d.  post. 
As  to  when  a  person  is  insolvent,  see  ante  Sec.  1,  sub.  (15),  and  notes. 
See  also  ani^  Sec.   1,  Sub.   (22). 

"Transfer"  defined.  Sec.  1  (25)  ante,  and  notes.  Trustee  takes  title  to 
property  transferred,  Sec.  70a  (5) . 

Transfer  by  insolvent  to  secure  a  creditor  either  directly  or  indirectly 
constitutes  an  act  of  bankruptcy.  Goldman,  Beckman  &  Co.  v.  Smith 
(1899) ,  Dist.  of  Ky.,  Barr,  J.,  93  Fed.,  182;  1  A.  B.  R.,  266;  1  N.  B.  N.,  160. 

Burden  of  proving  insolvency  not  on  the  creditors  under  this  section, 
but  btirden  on  bankrupt  to  prove  solvency.  In  re  West  (1901) ;  C.  C.  A., 
2nd  Cir.,  Shipman,  J.,  108  Fed.,  940;  5  A.  B.  R.,  734. 

Conveyance  of  personal  property  by  an  insolvent  to  a  creditor  to  pay 
a  debt  is  an  act  of  bankruptcy.  Johnson  v.  Wold  (1899),  C.  C.  A.,  5th 
Cir.,  Shelb/,  Judge,  93  Fed.,  640;  2  A.  B.  R.,  84;  1  N.  B.  N.,  325. 


34  ACTS  OF    BANKRUPTCY.  [§3a.  (2) 

The  insolvency  must  be  found  to  be  as  of  the  date  of  the  act  of  bank 
ruptcy.  In  re  Rome  Planing  Mill  (1899),  N.  Dist.  N.  Y.,  Coxe,  J„ 
96  Fed.,  812;  3  A.  B.  R.,  123;  2  N.  B.  N.,  531. 

Transfer  may  consist  of  sale  of  assets  and  payment  of  certain  creditors 
therewith.  Boyd  v.  Lemon  Gale  Co.  (1902),  C.  C.  A.,  5th  Cir.,  Pardee, 
J.,  114  Fed.,  647;  8  A.  B.  R.,  81. 

Transferring  property  to  a  creditor  on  which  the  creditor  pays  a  sum 
as  balance  in  favor  of  transferror,  is  a  fraudulent  preference  and  an  act 
of  bankruptcy.  Intent  to  make  a  preference  will  be  presumed.  John- 
son V.  Wold  (1899),  C.  C.  A.,  5th  Cir.,  Shelby ,J.,  93  Fed.,  640;  2  A.  B.  R., 
84;  1  N.  B.  N.,  325. 

Conveying  property  and  paying  off  part  of  the  creditors  comes  under 
this  clause.  In  re  Mingo  Valley  Creamery  Assn.  (1900),  E.  Dist.  Pa., 
McPherson,  J.,  100  Fed.,  282;  4  A.  B.  R.,  67;  2  N.  B.  N.,  679. 

A  person  is  insolvent  when  the  aggregate  of  his  property  exclusive 
of  that  conveyed  in  fraud  of  creditors,  is  insufficient  at  a  fair  valuation 
to  pay  his  debts.  In  re  Rome  Planing  Mill  Co.  (1899),  N.  Dist.  N.  Y., 
Coxe,  J.,  99  Fed.,  937;  3  A.  B.  R.,  123. 

Transfer  is  within  the  meaning  of  the  law  no  matter  how  devious  the 
transaction  if  creditor  acquires  from  the  debtor  what  ought  to  be  dis- 
tributed under  Bankruptcy  Act  among  all  the  creditors.  Stern  v.  Louis- 
ville Trust  Co.  (1901);  C.  C.  A.,  6th  Cir.,  Severens,  J.,  112  Fed.,  501;  7  A.  B. 
R.,  305.  In  re  McCee  (1901),  N.  Dist.  of  N.  Y.,  Coxe,  J.,  105  Fed., 
895;  5  A.  B.  R.,  262.  In  re  Lange  (1899),  N.  Dist.  of  la.,  Shiras,  J.,  97 
Fed.,  197;  1  A.  B.  R.,  189;  1  N.  B.  N.,  60.  Goldman,  Beckman  &  Co.  v 
Smith  (1899),  Dist.  of  Ky.,  Barr,  J.,  93  Fed.,  182;  1  A.  B.  R.,  266;  1  N.  B. 
N.,  160.  Mather  v.  Goe  (1899),  N.  Dist  Ohio,  Ricks,  J.,  92  Fed.,  333  1. 
A.  B.  R.,  504;  1  N.  B.  N.,  554.  Smarts  v.  St.  Louis  Fourth  National  Bank 
(1902);  C.  C.  A.,  8th  Cir.,  117  Fed.,  1;  8  A.  B.  R.,  673. 

Transfers  not  held  acts  of  bankruptcy.  Union  etc.  Mfg.  Co.  (1902). 
C.  C.  A.,  7th  Cir.,  Jenkins,  J.,  112  Fed.,  774;  7  A.  B.  R.,  472.  Rumsey  etc; 
Co.  v.  Novelty  etc.  Mfg.  Co.  (1899),  E.  Dist.  Mo.,  Adams,  J.,  99  Fed.,  699, 
3  A.  B.  R.,  704.  ' Sabin  v.  Camp  (1900),  Dist.  Ore.,  Billinger,  J.,  98  Fed., 
974;  3  A.  B.  R.,  578;  2  N.  B.  N.,  375.  In  re  Little  River  Lumber  Co.  (1899) 
W.  Dist.  Ark.,  Rogers,  J.,  92  Fed.,  585;  1  A.  B.  R.,  483;  1  N.  B.  N,  306. 

An  insolvent  giving  a  mortgage  to  secure  a  preexisting  indebtedness 
commits  act  of  bankruptcy.  In  re  Ed.  Wright  Lumber  Co.  (1902),  W. 
Dist.  Ark.,  Rogers,  J.,  114  Fed.,  1,011. 

Where  there  is  no  other  creditor  with  provable  claim  transfer  is  not 
an  act  of  bankntptcy.  Beers  v.  Hanlin  (1900),  Dist.  Ore.,  Bellinger,  J., 
99  Fed.  695;  3  A.  B.  R.,  745;  3  N.  B.  N.,  749. 


§3  a.  (2)]  ACTS  OF    BANKRUPTCY.  35 

Conveyance  to  father-in-law  held  a  transfer.  In  re  Grant  (1901) ,  S. 
Dist.  N.  Y.,  Brown,  J.,  106  Fed.,  496;  5  A.  B.  R.,  837. 

Transfer  of  partnership  property  not  act  of  bankruptcy  where  indi- 
vidual estate  stifficient  to  satisfy  debts.  Vaccaro  v.  Security  Bank  (1900) ; 
C.  C.  A.,  6th  Cir.,  Lurton.  J.,  103  Fed.,  436;  4  A.  B.  R.,  474;  2  N.  B.  N.. 
1,037. 

Petitioning  creditors  must  prove  insolvency,  transfer  and  intent.  In 
re  Rome  Planing  Mill  Co.  (1899),  N.  Dist.  N.  Y.,  Coxe,  J..  96  Fed.,  812; 
3  A.  B.  R.,  123;  2  N.  B.  N.,  531. 

Intent  to  prefer  must  appear.  In  re  Gilbert  (1902) ,  Dist.  Ore.,  Bellin- 
ger, J.,  112  Fed.,  951;  8  A.  B.  R.,  101. 

Test  of  preference  is  one  member  of  a  class  of  creditors  receiving  more 
than  another.  Swarts  v.  St.  Louis  Fourth  Nat.  Bank  (1902),  C.  C.  A.,  8th 
Cir.,  Sanborn,  J.,  117  Fed.,  1;  8  A.  B.  R.,  673. 

Transfer  of  large  part  of  property  conclusive  evidence  of  intent.  In  re 
McGee  (1901),  N.  Dist.  N.  Y.,  Coxe,  J.,  105  Fed.,  895;  3  N.  B.  N.,  224. 

Full  payment  by  insolvent  firm  to  several  creditors,  leaving  others 
tmpaid,  sufiicient  proof.  Boyd  v.  Lemon  etc.  Co.  (1902),  C.  C.  A.,  5th 
Cir.,  Pardee,  J.,  114  Fed.,  647;  8  A.  B.  R.,  81. 

Amount  of  transfer  affects  presimiption.  In  re  Gilbert  (1902),  Dist 
Ore.,  BeUinger,  J.,  112  Fed.,  951;  8  A.  B.  R.,  101. 

The  intent  is  entirely  that  of  the  debtor.  In  re  Rome  Planing  Mill 
Co.  (1899),  N.  Dist.  N.  Y.,  Coxe,  J.,  96  Fed.,  812;  3  A.  B.  R.,  123;  2  N. 

B.  N.,  531. 

Payment  by  an  insolvent  debtor  operating  as  a  preference  is  prima 
facie  evidence  that  a    preference  was   intended-     In  re  Bloch  (1901),  C. 

C.  A..  2nd  Cir.,    Shipman,  J.,  109  Fed.,  790;  6  A.  B.  R.,  300;  3  N.  B. 
N.,  894. 

Transfer  while  insolvent  presumes  preference.  In  re  Schmechel  Cloak 
etc.  Co.  (1900),  W.  Dist.  Mo.,  Philips,  J.,  104  Fed.,  64;  4  A.  B.  R.,  719; 
3  N.  B.  N.,  110.  yohnsonv.  Wald  (1899),  C.  C.  A.,  5th  Cir.,  93  Fed.,  640; 
2  A.  B.  R.,  84;  1  N.  B.  N.,  325. 

Debtor  is  presumed  to  know  his  financial  condition.  In  re  Gilbert; 
(1902),  Dist.  Ore.,  BeUinger,  J.,  112  Fed.,  951;  8  A.  B.  R.,  101. 

(3)  [Preference  through  legal  proceedings.]  Suffered  or 
permitted,  while  insolvent,  any  creditor  to  obtain  a  prefer- 
ence through  legal  proceedings,  and  not  having  at  least 
five  days  before  a  sale  or  final  disposition  of  any  property 


36  ACTS  OF  BANKRUPTCY.  [§3a.  (3) 

affected  by  such  preference  vacated  or  discharged  such 

preference ;  or 

As  to  meaning  of  "insolvent"  see  ante  Sec.  1,  Sub.  (15)  and  notes. 
Preference  defined  Sec.  60  post,  and  notes. 

Confession  of  judgment  on  note  made  prior  to  the  passage  of  the 
Bankruptcy  Act  not  an  act  of  bankruptcy.  In  re  Nelson  (1899),  W. 
Dist.  Wis.,  Bunn,  J.,  98  Fed.,  76;  1  A.  B.  R.,  63;  1  N.  B.  N.,  301. 

The  intent  of  the  bankrupt  is  not  an  element — fact  of  judgment  and 
execution  sufficient  to  warrant  proceedings.  In  re  Reichman  (1899), 
E.  Dist.  Mo.,  Adams,  J.,  91  Fed.,  624;  1  A.  B.  R.,  17;  1  N.  B.  N.,  556. 
In  re  Meyers  (1899),  N.  Dist.  N.  Y.,  Hotchkiss,  R.;  1  A.  B.  R.,  1;  1  N.  B. 
N.,  293. 

Partnership  commencing  proceedings  for  appointment  of  receiver  and 
distribution  of  assets  under  a  State  insolvency  law  guilty  of  an  act  of 
bankruptcy.  Mather  v.  Coe  (1899),  N.  Dist.  Ohio,  Ricks,  J.,  92  Fed., 
333;  1  A.  B.  R.,  504;  1  N.  B.  N.,  554. 

Failure  to  pay  matured  judgment'  notes,  on  which  jud£;ments  were 
taken  and  levy  made,  is  an  act  of  bankruptcy.  In  re  Thomas  (1900), 
W.  Dist.  Pa.,  Buflington,  J.,  103  Fed.,  272;  4  A.  B.  R.,  571;  2  N.  [B. 
N.,  1,021. 

A  corporation  suffering  execution  commits  an  act  of  bankruptcy  which 
cannot  be  avoided  by  taking  volvmtary  action  for  a  dissolution.  In  re 
Storm  (1900),  ,  E.  Dist.  N.  Y.,  Thomas,  J.,  103  Fed.,  618;  4  A.  B 

R.,  601. 

Assignment  of  part  of  claim  of  money  due  by  municipality  more  than 
fovu*  months  before  action  is  not  an  act  of  bankruptcy.  In  re  Hanna  & 
Kirk  (1901),  E.  Dist.  Pa.,  McPherson,  J.,  105  Fed.,  587;',5  A.  B.  R.,  127; 
3  N.  B.  N.,  237. 

A  payment  to  officer  by  execution  defendant  is  such  a  levy  as  con- 
stitutes an  act  of  bankruptcy.  In  re  Miller  (1900),  W.  Dist.  N.  Y.,  Hazel, 
J.,  105  Fed.,  57;  5  A.  B.  R.,  140. 

A  preferred  creditor  may  qualify  to  file  petition  by  surrendering  pref- 
erence. In  re  Miller  (1900),  W.  Dist.  N.  Y.,  Hazel,  J.,  105  Fed.,  57;  5 
A.  B.  R.,  140. 

A  transfer  with  a  preferential  intent  may  be  made  through  a  third 
person  and  still  be  an  act  of  bankruptcy.  In  re  McGee  (1901),  N.  Dist. 
N.  Y.,  Coxe,  J.,  105  Fed.,  895;  5  A.  B.  R.,  262;  3  N.  B.  N.,  224. 

Where  concealment  is  alleged  as  an  act  of  bankruptcy,  actual  conceal- 
ment must  be  shown,  not  merely  concealment  of  the  consideration. 
Citizens  Bank  v.  W.  C.  De  Paiiw  Co.  (1900),  C.  C.  A.,  7th  Cir.,  Grosscup. 
J.,  105  Fed.,  926;  5  A.  B.  R.,  345;  3  N.  B.  N.,  244. 


§3a.  (3)]  ACTS   OF  BANKRUPTCY.  37 

Insolvency  at  time  of  preferential  levy  must  be  shown  to  sustain  ac- 
tion to  recover  from  creditor-r-insolvency  after  the  levy  and  caused  by 
it  not  adequate.  Chicago  Title  &  Trust  Co.  v.  Roehlings  Sons  (1901), 
Cir.  Ct.  N.  Dist.  of  Illinois,  Kohlsaat,  J.,  107  Fed.,  71;  5  A.  B.  R.,  368; 
3  N.  B.  N.,  354. 

Act  of  bankruptcy  committed  by  suffering  a  judgment  and  garnish- 
ment thereon.  In  re  Harper  (1900),  N.  Dist.  111.,  Kohlsaat,  J.,  105  Fed., 
900;  5  A.  B.  R.,  567. 

Appearing  as  parties  to  a  suit  in  State  court  and  consenting  to  the  ap- 
pointment of  a  receiver,  which  proceeding  works  a  preference  is  an  act  of 
bankruptcy.  Such  proceedings  no  bar  to  proceedings  in  bankruptcy. 
In  re  Kersten  &  Kersten  (1901),  E.  Dist.  Wis.,  Seaman,  J.,  110  Fed.,  929; 
6A.B.  R.,  516;3N.  B.  N.,  913. 

Suffering  a  receiver  to  be  appointed  is  not  an  act  of  bankruptcy. 
In  re  Baker,  Ricketson  Co.  (1899),  Dist.  of  Mass.,  Lowell,  J.,  97  Fed. 
489;  4  A.  B.  R.,  605;  2  N.  B.  N.,  133. 

Voluntary  application  for  a  receiver  by  a  corporation  is  equivalent 
to  a  general  assignment  and  an  act  of  bankruptcy.  In  re  Empire,  etc., 
Co.  (1899),  N.  Dist.  N.  Y..  Hotchkiss,  R.,  98  Fed.,  981;  1  A.  B.  R.,  136; 
1  N.  B.  N.,  301. 

Preferences  obtained  by  application  for  receivership  by  members 
of  insolvent  firm  "suffered  or  permitted"  within  this  section.  In  re  Ker- 
sten (1901),  E.  Dist.  Wis.,  Seaman,  J.,  110  Fed.,  926;  6  A.  B.  R.,  516; 
3  N.  B.  N.,  913. 

The  voluntary  application  by  a  corporation  under  the  New  York  stat- 
ute for  a  receiver,  is  equivalent  to  making  a  general  assignment  (full  dis- 
cussion of  the  purposes  of  the  act) .  In  re  Empire  Metallic  Bedstead  Co. 
(1899),  No.  Dist.  N.  Y..,  Hotchkiss,  R.,  1  A.  B.  R.,  136;  1  N.  B.  N.,  13. 
(Reversed  see  post.) 

Stipulation  for  the  appointment  of  a  receiver  in  the  State  Court,  in  ad- 
verse proceedings,  followed  by  a  transfer  of  assets  is  not  act  of  bank- 
ruptcy if  in  fact  the  bankrupt  does  not  know  he  is  insolvent.  Expe- 
diency of  considering  a  transfer  of  a  small  part  of  the  estate  as  an  act 
of  bankruptcy  doubted.  In  re  Gilbert  (1901),  Dist.  Ore.,  Bellinger,  J., 
112  Fed.,  951;  8.  A.  B.  R.,  101. 

Act  of  bankruptcy  not  committed  by  voluntary  application  by  cor- 
poration for  receiver  in  state  court — this  is  not  equivalent  to  a  general 
assignment.  In  re  Empire  Met.  Bedstead  Co.  (1899),  C.  C.  A.,  2nd  Cir., 
Shipman,  J.,  98  Fed.,  981;  3  A.  B.  R.,  575;  2  N.  B.  N.,  304. 

Appointment  of  receiver  of  corporation  on  volvmtary  application  not 
an  act  of  bankruptcy.  In  re  Harper  &  Bros.  (1900),  S.  Dist.  N.  Y., 
Brown,  J.,  100  Fed.,  266;  3  A.  B.  R.,  804;  2  N.  B.  N.,  605. 


38  ACTS  OF    BANKRUPTCY.  [§3a.  (3) 

Stipulation  for  the  appointment  of  a  receiver  of  a  firm  not  an  act  of 
bankruptcy.  In  re  Gilbert  (1902),  Dist.  Ore.,  Bellinger,  J.,  112  Fed.. 
951;  8  A.  B.  R.,  101. 

The  petition  must  allege  that  preferential  payments  were  made  with 
intent  to  prefer.  In  re  Ewing  (1902),  C.  C.  A.,  2nd  Cir.,  115  Fed.,  707; 
8A.  B.  R.,269. 

This  section  does  not  apply  to  enforcing  a  lien  of  a  mortgage  given 
more  than  five  months  prior  to  the  filing  of  the  petition.  In  re  Chapman 
(1900),  N.  Dist.  Ga.,  Newman,  J.,  99  Fed.,  395;  3  A.  B.  R.,  607. 

Where  a  receiver  is  appointed  in  the  State  court  of  the  property  of  a 
copartnership,  and  the  operation  of  the  State  statute  is  to  give  preferences 
not  given  by  the  bankruptcy  act,  an  act  of  bankruptcy  has  been  com- 
mitted. Mather  v.  Coe,  Powers  &  Co.  (1899),  N.  Dist.  Ohio,  Ricks,  J. 
92  Fed.,  333;  1  A.  B.  R.,  504;  1  N.  B.  N.,  544. 

The  intent  of  the  bankrupt  is  involved.  Act  of  bankruptcy  complete 
if  proceedings  are  had,  or  a  preference  given  while  solvent,  but  insolvent 
when  the  judgment  is  secured.  In  re  Moyer,  E.  Dist.  Pa.,  McPherson, 
J.,  93  Fed.,  188;  1  A.  B.  R.,  577;  1  N.  B.  N.,  260. 

This  section  does  not  apply  to  such  levies  and  liens  as  have  accrued 
long  prior  to  the  passage  of  the  bankruptcy  act.  In  re  Ferguson  (1899), 
S.  Dist.  N.  Y.,  Brown,  J.,  95  Fed.,  429;  2  A.  B.  R.,  586. 

Time  of  act  of  bankruptcy  dates  from  five  days  anterior  to  date  of  sale 
of  property  on  execution  under  an  attachment  commenced  long  anterior 
to  four  months.  Parmenier  Mfg.  Go.  v.  Stoever  (1899),  C.  C.  A.,  1st  Cir., 
Putnam,  J.,  97  Fed.,  330;  3  A.  B.  R.,  220;  2  N.  B.  N.,  174. 

Proceedings  to  recover  property  seized  by  marshal  should  be  by  mo- 
tion or  by  plenary  suit  in  the  discretion  of  the  court.  In  re  Yoimg  (1901) , 
C.  C.  A.,  8th  Cir.,  Ill  Fed.,  158;  7  A.  B.  R.,  14. 

Intent  of  the  bankrupt  no  feature  of  the  act  of  bankruptcy.  The 
entry  of  judgment  by  confession  on  an  old  power  of  attorney  is  "suffering" 
and  "permitting"  within  the  meaning  of  the  act.  Wilson  Bros.  v.  Nelson 
(1901),  U.  S.  Sup.  Court,  Gray,  J.,  183  U.  S.,  191;  7  A.  B.  R.,  142. 

Burden  of  proof  of  solvency  is  on  the  .bankrupt  when  the  allegation 
shows  concealment  of  money  greater  than  the  indebtedness  of  the  bank- 
rupt. In  re  Schenkein  &  Coney  (1902),  W  Dist.  N.  Y.,  Hotchkiss, 
R.,7A.  B.  R.,  162. 

Actual  results  of  legal  proceedings  only  considered.  In  re  Fergeson 
(1899),  S.  Dist.  N.  Y.,  Brown,  J.,  95  Fed.,  429;  2  A.  B.  R.,  ,586.  In  re 
Moyer  (1899),  E.  Dist.  Pa.,  McPherson,  J.,  93  Fed.,  188;  1  A.  B.  R.,  577. 
In  re  Reichman  (1899),  E.  Dist.  Mo.,  Adams,  J.,  91  Fed..  624;  1  A.  B.  R., 
17;  1  N.  B  .N.,  556.     In  re  Chapman  (1900),  N.  Dist.  Ga.,  Newman,  J., 


§3  a.  (3)  ACTS  OF    BANKRUPTCY.  3d 

99  Fed.,  395;  2  A.  B.  R.,  607;  in  re  Baker-Ricketson  (1899),  Dist.  Mass., 
Lowell,  J.,  97  Fed.,  489;  2  N.  B.  N..  133;  in  re  Harper  (1900),  N.  Dist. 
111.,  Kohlsaat,  J.,  105  Fed.,  900;  5  A.  B.  R.,  567. 

"Legal  proceedings"  means  any  proceedings  in  a  cotirt  of  justice  by 
which  the  property  of  the  debtor  is  seized  and  diverted  from  his  general 
creditors.  In  re  Rome  Planing  Mill  (1899),  N.  Dist.  N.  Y.,  Coxe,  J., 
96  Fed.,  812;  3  A.  B.  R.,  123;  2  N.  B.  N.,  531. 

Corporation  held  to  have  committed  act  of  bankruptcy  within  this 
section.  Scheuer  v.  Smith,  etc.,  Co.  (1901),  C.  C.  A.,  5th  Cir.,  Pardee,  J., 
112  Fed.,  407;  7  A.  B.  R.,  384. 

Preferences  must  have  been  "suffered  or  permitted,"  failure  of  a  debtor 
to  vacate  a  preference  does  not  constitute  an  act  of  bankruptcy  imder 
this  section.  Dtmcan  v.  Landis  (1901),  C.  C.  A.,  3rd  Cir.,  Gray,  J.,  106 
Fed.,  839;  5  A.  B.  R.,  649;  3  N.  B.  N.,  673. 

Actual  levy  on  property  not  necessary.  In  re  Miller  (1900),  W. 
Dist.  N.  Y.,  Hazel,  J.,  104  Fed.,  764;  5  A.  B.  R.,  140. 

Failure  to  defend  actions  and  allowing  executions  is  an  act  of  bank- 
ruptcy.    In  re  CHffe  (1899),  E.  Dist.  Pa.,  McPherson,  J.,  94  Fed.,  354; 

2  A.  B.  R.,  317;  1  N.  B.  N.,  509. 

Creditor  need  not  wait  for  sale.  In  re  Rome  Planing  Mill  (1899) ,  N. 
Dist.  N.Y.,  Coxe,  J.,  96  Fed.,  812;  3  A.  B.R.,  123;  2  N.  B.  N.,  531.  In  re 
Elmira  Steel  Co.  (1901),  W.  Dist.  N.  Y,  Hazel,  J.,  109  Fed.,  456;  5  A. 
B.  R.,  484. 

Act  of  bankruptcy  in  not  vacating  execution  within  time,  Parmenter 
Mfg.  Co.  V.  Stoever  (1899),  C.  C.  A.,  1st  Cir.,  Putnam,  J.,  97  Fed.,  330; 

3  A.  B.  R.,  220;  2  N.  B.  N.,  174. 

Corporation  appljHng  for  dissolution  and  permitting  judgments  guilty 
of  act  of  bankruptcy.  In  re  Storm  (1900),  E.  Dist.  N.  Y.,  Thomas,  J., 
103  Fed.,  618;  4  A.  B.  R.,  601. 

Execution  and  levy  act  of  bankruptcy.  In  re  Thomas  (1900) ,  W.  Dist. 
Pa.,  Buffington,  J.,  103  Fed.,  272;  4  A.  B.  R.,  571;  2  N.  B.  N.,  1,021. 

Judgment  on  warrant  of  attorney  an  act  of  bankruptcy.  In  re  Nelson 
(1899),  W.  Dist.  Wis.,  Brown,  J.,  98  Fed.,  76;  1  A.  B.  R.,  63;  1  N.  B.  N., 
567. 

Judgment  on  irrevocable  power  of  attorney  several  years  old  unvacated 
an  act  of  bankruptcy.  Wilson  v.  Nelson  (1901),  U.  S.  Sup.  Ct.,  Gray, 
J.,  183  U.  S.,  191;  7  A.  B.  R.,  142. 

There  must  be  voluntary  acquiescence  on  the  part  of  the  debtor.  Dun- 
can v.  Landis  (1901),  C.  C.  A.,  3rd  Cir.,  Gray,  J.,  106  Fed.,  839;  5  A.  B.  R., 
649;  3  N.  B.  N.,  673. 


40  ACTS  OF   BANKRUPTCY.  [§3a.  (4) 

(4)  [General  Assignment.]  Made  a  general  assignment 
for  the  benefit  of  his  creditors,  *  or  being  insolvent 

applied  for  a  receiver  for  his  property  or  because  of  insolvency 
a  receiver  or  trustee  has  been  put  in  charge  of  his  property 
under  the  laws  of  a  State,  of  a  Temtor>%  or  of  the  United 
States* 

As  amended  by  act  of  1903,  Sec.  2  of  amendment,  see  pagre  —  post.  Amendment 
adds  matter  between  stars. 

General  assignment  is  an  act  of  bankruptcy  and  insolvency  of  the  bank- 
rupt not  a  feature  essential  to  the  adjudication  -  construction  of  the 
remaining  parts  of  Sec.  3  (b)  (c)  and  (d)  does  not  require  insolvency  to 
accompany  the  act  of  bankruptcy;  motive  of  assignment  not  to  be  consid- 
ered. West  Co.  V.  Lea  &  Co.  (1899),  U.  S.  Sup.  Ct.,  White,  J.,  174  U.  S., 
590.  2  A.  B.  R.,  463;1  N.  B.  N.,  409.  In  re  Meyer  (1899),  C.  C.  A.,  2nd 
Cir.,  Wallace,  J.,  98  Fed.,  976;  3  A.  B.  R.,  559.  Leidigh  Carriage  Co.  v. 
Stengel  (1899),  C.  C.  A.,  6th  Cir.,  Taft,  J.,  95  Fed.,  637;  2  A.  B.  R.,  383; 
1  N.  B.  N.,  296.  Davis  v.Bohle  (1899),  C.  C.  A.,  8th  Cir.,  92  Fed.,  325; 
1  A.  B.  R.,  412;  1  N.  B.  N.,  216.  In  re  Smith  (1899).  Dist.  Ind.,  Baker,  J., 
92  Fed.,  135;  2  A.  B.  R.,  9.  Clark  v.  American  Mfg.  Co.  (1900) ,  C.  C.  A.,  4th 
Cir.,  Waddell,  J  .,  101  Fed.,  962;  4  A.  B.  R.,  351.  Day  v.  Bick  etc.  Hardware 
Co.  (1902) ,  C.  C.  A.,  5th  Cir.,  114  Fed.,  834;  8  A.  B.  R.,  175;  Bryan  v.  Bern- 
heimer  (1901),  181  U.  S.,  188;  5  A.  B.  R.,  623;  3  N.  B.  N.,  482.  Green  River 
Deposit  Bank  v.  Craig  (1901),  W.  Dist.  Ky.,  '"  .ns,  J.,  110  Fed.,  137; 
6  A.  B.  R.,  381;  3  N.  B.  N.,  897. 

General  assignment  of  majority  of  directors  and  stockholders  of  cor- 
poration is  an  act  of  bankruptcy.  Question  of  fact  in  involuntary  bank- 
ruptcy referable  to  a  referee.  Clark  v.  Mfg.  &  Enameling  Co.  (1900); 
C.  C.  A.,  4th  Cir.,  Waddell,  J.,  101  Fed.,  962;  4  A.  B.  R.,  351. 

General  assignment  an  act  of  bankruptcy.  State  general  assignment 
law  not  void  but  voidable  by  the  act.  The  New  York  law  not  a  general 
insolvency  law  like  that  of  Mass.  A  general  assignment  an  act  of  bank- 
ruptcy as  a  fraud  under  the  bankruptcy  act.  The  assignee  is  an  accom- 
plice and  the  title  of  the  property  passes  to  the  trustee  on  his  appoint- 
ment. In  re  GutwiUig  (1898),  Brown,  J.,  S.  Dist.  N.  Y.,  90  Fed.,  475; 
1  A.  B.  R.,  78;  1  N.  B.  N.,  40. 

A  general  assignment  is  an  act  of  bankruptcy,  although  not  accom- 
panied by  insolvency.  Leidigh,  etc.,  Co.  v.  Stengel  (1899),  C.  C.  A.,  6th 
Cir.,  opinion  by  Taft,  J.,  95  Fed.,  637;  2  A.  B.  R.,  383;  1  N.  B.  N.,  387. 

Creditors  who  appear  in  general  assignment  proceedings  to  attack 
preferences  are  not  estopped  from  filing  petition  for  involuntary  bank- 
ruptcy.    Estoppel  must  be  based  on  some  acquiescence  and  approval. 


§3  a.  (5)]  ACTS   OF   BANKRUPTCY.  41 

Leidigh,  etc.,  Co.  v.  Stengel  (1899),  C.  C.  A.,  6th  Cir.,  Taft,   J.,  95  Fed., 
637;  2  A.  B.  R.,  383;  1  N.  B.  N.,  296. 

Assignment  vinder  State  law  held  not  an  act  of  bankruptcy.  See 
authorities  discussing  distinction  between  State  insolvency  laws  and 
statutes  permitting  general  assignments  collected  and  discussed.  Patty- 
Joiner  Co.  V.  Cummins  (1900),  Tex.  Sup.  Ct.,  Gaines,  J.,  4  A.  B.  R.,  269; 
57  S.  W.,  566. 

Executing  a  deed  of  trust,  which  in  general  effect  operates  as  a  general 
assignment,  is  an  act  of  bankruptcy.  Rumsey  Co.  v.  Novelty  Mfg  Co. 
(1899),  E.  Dist.  Mo.,  Adams,  J.,  99  Fed.,  699;  3  A.  B.  R.,  704;  2  N.  B. 
N.,  128. 

A  general  insolvency  law  is  suspended  by  the  bankruptcy  act  and 
proceedings  under  it  are  void,  not  merely  voidable.  Law  of  Illinois 
governing  insolvency  proceedings  held  to  be  a  general  insolvency  law. 
In  re  Curtis  (1899),  S.  Dist.  111.,  Allen,  J.,  91  Fed.,  737;  1  A.  B.  R.,  440; 
1  N.  B.  N.,  163. 

A  general  assignment  is  voidable,  not  void,  and  can  be  avoided  only 
by  a  subseqvient  adjudication  in  bankruptcy.  In  re  Romanow  (1899), 
Dist.  Mass.,  Lowell,  J.,  92  Fed.,  510;  1  A.  B.  R.,  461. 

Creditors  assenting  to  the  general  assignment  estopped  to  file  petition 
for  involuntary  bankruptcy,  based  on  such  assignment  as  an  act  of  bank- 
ruptcy. In  re  Romanow  (1899),  Dist.  Mass.,  Lowell,  J.,  92  Fed.,  510;  1 
A.  B.  R.,  461. 

Where  partnership  and  individual  members  make  an  assignment, 
act  of  bankruptcy  is  committed  by  all  of  them.  Green  River  Deposit 
Bank  V.  Craig  (1901),  W.  Dist.  of  Ky.,  Evans,  J.,  110  Fed.,  137;  6  A.  B. 
R.,  381;  3  N.  B.  N.,  897. 

Assignment  by  all  but  one  member  of  partnership  where  other  member 
assents,  act  of  bankruptcy.  In  re  Grant  (1901),  S.  Dist.  N.  Y.,  Brown, 
J.,  106  Fed.,  496;  5  A.  B.  R.,  837;  3  N.  B.  N.,  425. 

or  (5)  [Admitted  inability  to  pay.]  Admitted  in  writing 
his  inability  to  pay  his  debts  and  his  willingness  to  be  ad- 
judged a  bankrupt  on  that  ground. 

See  Sec.  4  post,  and  notes.    See  notes  to  (4)  ante. 

Sufficient  admission  of  insolvency  shown  by  letter  of  bankrupt  offer, 
ing  compromise  of  claims.  In  re  Lange  (1899),  S.  Dist.  N.  Y.,  Brown 
J.,  91  Fed.,  361;  3  A.  B.  R.,  231;  1  N.  B.  N.,  60. 

Consent  by  a  corporation  is  an  act  of  bankruptcy.  In  re  Kelly  Dry 
Goods  Co.  (1900),  E.  Dist.  Wis.,  Seaman,  J.,  102  Fed.,  747;  4  A.  B.  R., 


42  ACTS  OF    BANKRUPTCY.  t§^t>. 

628.     In  re  Columbia  Real  Estate  Co.   (1900),  Dist.  of  Ind.,  Baker  J., 
101  Fed.,  965;  4  A.  B.  R.,  411. 

A  corporation  whose  board  of  directors  adopts  a  resolution  authoriz- 
ing its  president  to  address  letters  to  its  creditors  admitting  its  inability  to 
pay  debts,  and  its  willingness  to  be  adjudged  a  bankrupt,  and  whose 
president  writes  letters  to  its  creditors  to  that  eflfect,  is  guilty  of  an  act  of 
bankruptcy.  In  re  Machine  &  Conveyor  Co.  (1899),  S.  Dist.  N.  Y., 
Brown,  J.,  91  Fed.,  630;  1  A.  B.  R.,  421;  1  N.  B.  N.,  135. 

Act  of  bankruptcy  not  shown  by  appointment  of  receiver  of  a  firm, 
although  with  the  firm's  consent — it  is  not  a  general  assignment — in- 
solvency not  shown  where  one  partner's  estate  sufficient  to  pay  firm 
debts — semhle  such  receivership  might  be  merged  in  bankruptcy  proceed- 
ings if  other  acts  of  bankruptcy  were  committed  by  the  insolvent.  Vac- 
caro  v.  Security  Bank  et  al.  (1900),  C.  C.  A.,  6th  Cir.,  103  Fed.,  436;  4  A. 
B.  R.,  474;  2  N.  B.  N.,  1,037. 

Admission  by  a  corporation  not  shown  by  a  resolution  authorizing  an 
officer  to  make  such  admission  when  the  officer  makes  it  in  writing  after 
the  petition  in  bankruptcy  has  been  filed.  In  re  Baker- Rickertson  Co. 
(1899),  Dist.  Mass.,  Lowell,  J.,  97  Fed.,  489;  4  A.  B.  R.,  605;  2  N.  B.  N., 
133. 

Query:  Can  a  wife  make  the  admission  ?  In  re  Peter  Paul  Book  Co. 
(1900),  W,    Dist.    N.   Y.,  Hazel,  J.,  104  Fed.,  786;  5  A.  B.  R.,  105. 

Consent  by  corporation  is  an  act  of  bankruptcy.  In  re  Kelly  Dry 
Gk)ods  Co.  (1900),  E.  Dist.  Wis.,  Seaman,  J  ,  102  Fed.,  747;  4  A.  B  R., 
528. 

Admission  by  one  partner  of  a  firm  of  insolvency  of  firm  is  an  act  of 
bankruptcy.  In  re  Kersten  &  Kersten  (1901),  E.  Dist.  Wis.,  110  Fed., 
929;  6  A.  B.  R.,  516;  3  N.  B.  N.,  913. 

Admission  signed  by  the  president  of  a  corporation  by  order  of  board 
of  directors,  an  act  of  bankruptcy.  In  re  Mutual  Mercantile  Agency 
(1901),  S.  Dist.    N.  Y.,  Adams,  J.,  Ill  Fed.,  152;  6  A.  B.  R.,  607 

Board  of  directors  of  a  corporation  may  make  the  admission.  In  re 
Rollins  Gold,  etc.,  Min.  Co.  (1900),  S.  Dist.  N.  Y.,  Brown,  J  ,  102  Fed. 
982;  4  A.  B.  R.,  327. 

The  consent  of  a  corporation  to  be  adjudged  bankrupt  valid.  In  re 
Columbia  Real  Estate  Co.  (1900),  Dist.  of  Ind.,  Baker,  J.,  101  Fed.,  965; 
4  A.  B.  R.,  411. 

h  [Petition  to  be  filed  within  four  montlis.]  A  petition 
may  be  filed  against  a  person  who  is  insolvent  and  who  has 
committed  an  act  of  bankruptcy  within  four  months  after 


§3b.]  ACTS  OF  BANKRUPTCY.  43 

the  commission  of  such  act.  Such  time  shall  not  expire 
until  four  months  after  (1)  the  date  of  the  recording  or 
registering  of  the  transfer  or  assignment  when  the  act  con- 
sists in  having  made  a  transfer  of  any  of  his  property  with 
intent  to  hinder,  delay,  or  defraud  his  creditors  or  for  the 
ptirpose  of  giving  a  preference  as  hereinbefore  provided,  or  a 
general  assignment  for  the  benefit  of  his  creditors,  if  by 
law  such  recording'  or  registering  is  required  or  permitted, 
or,  if  it  is  not,  from  the  date  when  the  beneficiary  takes 
notorious,  exclusive,  or  continuous  possession  of  the  property 
unless  the  petitioning  creditors  have  received  actual  notice 
of  such  transfer  or  assignment. 

As  to  computation  of  time  see  Sec.  31a  post  and  notes. 

"Transfer"  defined  Sec.  1  (25)  ante.  As  to  what  are  acts  of  bank- 
ruptcy, see  ante  (a).  As  to  procedure  in  involuntary  cases,  see  Sec.  59 
post.  For  definition  of  insolvency  Sec.  1  (15)  ante  and  notes.  Petition 
defined.  Sec.  1  (20)  ante.     Person  defined.  Sec.  1  (19)  ante. 

Petition  shoiild  be  verified  by  creditor,  not  by  attorney  unless  the  at- 
torney is  better  informed  than  the  client.  Specific  facts  must  be  alleged, 
not  general  allegations.  In  re  Nelson  (1899),  W.  Dist.  Wis.,  Bunn,  J., 
98  Fed.,  76;  1  A.  B.  R.,  63;  1  N.  B.  N.,  567. 

In  the  computation  of  time,  exclude  the  day  when  the  act  of  bank- 
ruptcy was  committed  and  include  the  day  when  the  petition  was  filed. 
In  re  Stevenson  (1899),  Dist.  Del.,  Bradford,  J.,  94  Fed.,  110;  2  A.  B. 
R.,  66;  1  N.  B.  N.,  313. 

The  notoriety  of  the  possession  depends  on  the  character  of  the  prop- 
erty. The  statute  only  requires  that  there  shall  be  no  effort  at  conceal- 
ment. In  re  Woodward  (1899),  E.  Dist.  Tex.,  Dillard,  R.,  2  A.  B.  R., 
233;  1  N.  B.  N.,  252. 

Referee's  finding  as  to  the  insolvency  not  disturbed,  except  on  strong 
showing.  In  re  Rome  Planing  Mills  (1900),  N.  Dist.  N.  Y.,  Coxe,  J., 
96  Fed.,  812;  3  A.  B.  R.,  766;  2  N.  B.  N.,  531. 

Wife  as  creditor  not  debarred  from  proceeding  against  her  husband 
in  bankruptcy.  In  re  Novak  (1900),  N.  Dist.  la.,  Shiras,  J.,  101  Fed.. 
800;  4  A.  B.  R.,  311. 

What  constitutes  insolvency  determined.  In  re  Rome  Planing  Mill 
Co.  (1900),  N.  Dist.  N.  Y.,  Coxe,  J.,  99  Fed.,  937;  3  A.  B.  R.,  766;  2 
N.  B.  N.,  531. 


44  ACTS   OF   BANKRUPTCY.  [§3c. 

Creditor  of  unliquidated  claim  for  damages  not  entitled  to  file  a  peti- 
tion in  involuntary  bankruptcy.  In  re  Morales  (1901),  S.  Dist.  Fla., 
Locke,  J.,  105  Fed.,  761;  5  A.  B.  R.,  425;  3  N.  B.  N.,  432. 

In  Illinois  an  infant  may  not  be  adjudged  a  bankrupt  in  involuntar>' 
proceedings.  In  re  Eidemiller  (1900),  N.  Dist.  111.,  Kohlsaat,  J.,  195 
Fed.,  595;  5  A.  B.  R.,  570;  contra  in  re  Brice  (1899),  S  Dist.  la., 
Woolson,  J  ,  2  A.  B.  R.,  197. 

Four  full  months  after  the  act  of  bankruptcy  allowed  for  filing  the 
petition.  In  re  Planing  Mill  Co.  (1901),  W.  Dist.  N.  Y.,  Hotchkiss,  R.; 
6A.  B.R.,  38;3N.  B.  N.,637. 

Bankrupt  offering  to  testify  to  facts  waives  question  of  jurisdiction  of 
court.  In  re  Smith  (1902),  Dist.  Conn.,  Piatt,  J.,  117  Fed.,  961;  9  A. 
B.  R.,  98. 

A  surety  who  has  not  yet  paid  the  debt  is  not  a  creditor  and  cannot 
file  petition  in  involuntary  bankruptcy.  Phillips  v.  Dreher  Shoe  Co 
(1902),  Middle  Dist.,  Pa.,  Archbald,  J.,  112  Fed.,  404;  7  A.  B.  R.,  326. 

Adjudication  of  insolvency  on  ground  of  act  of  bankruptcy  com- 
mitted while  insolvent,  is  res  ad  judicata  as  to  the  insolvency  as  to  credi- 
tors. In  re  American  Brewing  Co.  (1902),  C.  C.  A.,  7th  Cir.,  Btmn,  J., 
112  Fed..  752;  7  A  B.  R.,  463. 

An  assignment  more  than  four  months  old  will  not  be  assailable.  In 
re  Carver  &  Co.  (1902),  E.  Dist.  N.  C,  Pumell,  J.,  113  Fed.,  138;  7  A. 
B.  R.,  539. 

In  computing  the  four  months  exclude  the  day  on  which  the  act  of 
bankruptcy  was  committed.  In  re  Dupree  (1899),  E.  Dist.  N.  C,  Pur- 
nell,  J  ,  97  Fed.,  28;  1  N.  B.  N.,  513.  In  r^  Stevenson  (1899),  Dist.  Del. 
Bradford,  J.,  94  Fed.,  110;  2  A.  B.  R.,  66. 

Preference  not  within  four  months.  Murray  v  Beal  (1901),  Sup.  Ct 
Utah,  65  Pac,  726.  In  re  Lewis  (1899),  S.  Dist.  N.  Y.,  Brown,  J.,  91 
Fed.,  632;  1  A.  B.  R.,  458;  1  N.  B.  N.,  556. 

Chattel  mortgage  an  act  of  bankruptcy  (1901),  Mo.  Ct.  App.,  88  Mo. 
App..  335. 

Four  months  period  applies  to  duplicate  petitions.  In  re  Dupree 
(1899),  E.  Dist.  N.  C,  Pumell,  J.,  97  Fed.,  28;  1  N.  B.  N.,  513. 

c  [Defense  of  solvency.]  It  shall  be  a  complete  de- 
fense to  any  proceedings  in  bankruptcy  instituted  under  the 
first  subdivision  of  this  section  to  allege  and  prove  that  the 
party  proceeded  against  was  not  insolvent  as  defined  in  this 
Act  at  the  time  of  the  filing  the  petition  against  him,  and  if 


§3cd.]  ACTS  OF   BANKRUPTCY.  45 

solvency  at  such  state  is  proved  by  the  alleged  bankrupt  the 

proceedings  shall  be  dismissed,  and  under  said  subdivision 

one  the  burden  of  proving  solvency  shall  be  on  the  alleged 

bankrupt. 

For  definition  of  insolvency,  see  ante  Sec,  1  Sub.  (15).  For  proceed- 
ing in  involuntary  .cases,  see  Sec.  59  post. 

Alleged  bankrupt  entitled  to  costs  on  dismissal  of  petition,  but  no 
allowance  for  coimsel  fees  or*  damages.  In  re  Morris  (1902),  E.  Dist. 
Pa.,  McPherson,  J.,  115  Fed.,  591;  7  A.  B.  R.,  709. 

■  Burden  of  proof  of  solvency  is  on  the  alleged  bankrupt  where  removal 
and  concealment  are  charged.  In  re  Schenkin  (1902),  113  Fed.,  421; 
7A.  B.  R.,  162. 

Corporation  solvent  in  fact  does  not  becoine  insolvent  by  appoint- 
ment of  receiver — complete  defense  that  corporation  is  solvent  even 
though  receiver  has  been  appointed.  In  re  Henry  Zeitner  Brewing 
Co.  (1902),  S.  Dist.  N.  Y.,  Adams,  J.,  117  Fed.,  799;  9  A.  B.  R.,  63. 

Solvency  of  partnership  complete  defense  though  partnership  in  the 
hands  of  a  receiver.  In  re  Burrell  &  Co.  (1903),  S.  Dist.  N.  Y.,  Adams, 
J.,9A.  B.  R.,178. 

d  [Person  denying  insolvency.]  Whenever  a  person 
against  whom  a  petition  has  been  filed  as  hereinbefore  pro- 
vided imder  the  second  and  third  subdivisions  of  this  section 
takes  issue  with  and  denies  the  allegation  of  his  insolvency, 
it  shall  be  his  duty  to  appear  in  court  on  the  hearing,  with 
his  books,  papers,  and  accoimts,  and  submit  to  an  examination, 
and  give  testimony  as  to  all  matters  tending  to  establish  sol- 
vency or  insolvency,  and  in  case  of  his  failure  to  so  attend 
and  submit  to  examination  the  burden  of  proving  his  sol- 
vency shall  rest  upon  him. 

For  proceedings  in  involimtary  cases,  see  Sec.  59,  post.  For  definition 
of  "person  against  whom  petition  has  been  filed",  see,  ante,  Sec.  1,  sub.  (1). 
A  partner  may  oppose  a  petition  the  same  as  an  involimtary  bankrupt. 
Gen.  Order  VIII. 

Burden  of  proving  solvency,  when  alleged,  being  on  bankrupt  on  his 
failure  to  produce  his  books,  adjudication  may  be  made  pro  confesso. 
Bray  v.  Cohb  (1898),  E.  Dist.  N.  C,  Pumell,  J.,  91  Fed.,  102;  1  A.  B.  R., 
153;  1  N.  B.  N.,  209. 


46  ACTS   OF   BANKRUPTCY.  [§3e. 

Bankrupt  must  submit  to  cross-examination;  and  credits  must  be 
estimated  at  actual  value.  In  re  Coddington  (1902),  W.  Dist.  Pa., 
Archbald,  J.,  118  Fed.,  281. 

e  [Petitioner  to  give  bond.]  Whenever  a  petition  is  filed 
by  any  person  for  the  purpose  of  having  another  adjudged 
a  bankrupt,  and  an  appHcation  is  made  to  take  charge  of 
and  hold  the  property  of  the  alleged  bankrupt,  or  any  part 
of  the  same,  prior  to  the  adjudication  and  pending  a  hearing 
on  the  petition,  the  petitioner  or  applicant  shall  file  in  the 
same  court  a  bond  with  at  least  two  good  and  sufficient 
sureties  who  shall  reside  within  the  jurisdiction  of  said  court, 
to  be  approved  by  the  court  or  a  judge  thereof,  in  such  sum 
as  the  court  shall  direct,  conditioned  for  the  payment,  in 
case  such  petition  is  dismissed,  to  the  respondent,  his  or  her 
personal  representatives,  all  costs,  expenses,  and  damages 
occasioned  by  such  seizure,  taking,  and  detention  of  the 
property  of  the  alleged  bankrupt. 

As  to  seizure  of  bankrupts'  property  and  bond  to  be  given  on  such 
seizure,  see  post.  Sec.  69a  and  notes.  For  form  of  bond  of  petitioning 
creditor,  see  Form  No.  9,  post. 

[Allowance  of  costs  and  damages.]  If  such  petition  be  dis- 
missed by  the  court  or  withdrawn  by  the  petitioner,  the 
respondent  or  respondents  shall  be  allowed  all  costs,  cotmsel 
fees,  expenses,  and  damages  occasioned  by  such  seizure, 
taking  or  detention  of  such  property.  Counsel  fees,  costs, 
expenses,  and  damages  shall  be  fixed  and  allowed  by  the 
court,  and  paid  by  the  obligors  in  such  bond. 

As  to  costs  and  contested  adjudications,  see  Gen.  Ord.  XXXIV.  For 
proceedings  in  involuntary  cases,  see  Sec.  59,  post. 

Where  bond  not  given  no  taxation  of  counsel  fees  against  the  petition- 
ing creditor;  ordinary  costs  provided  by  Gen.  Ord.  XXXIV.  In  re 
Ghiglione  (1899),  S.  Dist.  N.  Y.,  Brown,  J.,  93  Fed.,  186;  1  A.  B.  R., 
580;  1  N.  B.  N.,  351. 

District  Court  will  tax  costs,  disbursements  and  attorney's  fees  against 
petitioning  creditors  in  favor  of  one  sought  to  be  made  a  bankrupt  where 
proceedings  are  unsuccessful.  In  re  Nixon,  (1901)  Dist.  Mont.,  Knowles, 
J.,  110  Fed.,  633;  6  A.  B.  R.,  693. 


§4  a.]  who  may  become  bankrupts.  47 

Sec.  4.    Who  May  become  Bankrupts. 

a  [Voluntary  bankrupts.]  Any  person  who  owes  debts, 
except  a  corporation,  shall  be  entitled  to  the  benefits  of  this 
Act  as  a  voluntary  bankrupt. 

Analogous  provisions,  act  1841,  Sec.  7;  act  1867,  Sec.  11,  post. 

For  definitions  of  corporations,  see  Sec.  1,  sub.  (6),  ante.  Person  in- 
cludes corporations,  officers,  partnerships  and  women.  Sec.  1,  sub.  (19) 
ante,  and  notes.  See  as  to  persons  by  whom  proceedings  may  be  con- 
ducted general  order  IV  and  notes.  "Debts"  defined,  Sec.  1  (11),  ante, 
and  notes. 

Where  by  state  law  an  infant  is  liable  for  debts,  such  infant  may  be 
adjudged  bankrupt.  In  re  Brice  (1899),  S.  Dist.  of  la.,  Woolson,  J., 
93  Fed.,  942;  2  A.  B.  R.,  197;  1  N.  B.  N.,  310. 

The  fact  that  distinction  is  made  between  natural  and  artificial  persons 
and  that  there  is  a  distinction  made  between  classes  of  artificial  persons, 
does  not  render  the  bankruptcy  act  unconstitutional.  Lehigh  Co.  v. 
Stengel  (1899),  C.  C.  A.,  6th  Cir.,  Taft,  J.,  95  Fed.,  637;  2  A.  B.  R.,  383; 
1  N.  B.  N.,  387. 

Where  a  voluntary  petition  is  filed  subsequent  to  an  involuntary  pe- 
tition and  the  adjudication  on  the  volimtary  petition  would  injure  the 
estate  by  securing  preferences  to  creditors,  the  adjudication  should  be 
on  the  involvmtary  petition.  In  re  Dwyer  (1902),  Dist.  N.  Dak.,  Ami- 
don,  J.,  112  Fed.,  777;  7  A.  B.  R.,  532. 

Infant  may  not  be  adjudged  bankrupt.  A  firm  of  which  he  is  a  mem- 
ber may.  In  re  Duguid  (1899),  E.  Dist.  N.  C,"  Pumell,  J.,  100  Fed.,  274; 
3  A.  B.  R.,  794;  2  N.  B.  N.,  607.     See  notes  under  Sec.  3,  clause  6,  ante. 

An  infant  may  be  adjudged  bankrupt  when  he  owes  debts  which  he  may 
not  disaffirm  on  his  majority,  /n  r&  Penzansky  (1902) ,  Dist.  Mass.,  Far- 
mer, R.,  8  A.  B.  R.,  99. 

Insane  person  can  not  be  adjudged  a  bankrupt.  In  re  Funk  (1900), 
N.  Dist.  la.,  Shiras.  J.,  101  Fed.,  244;  4  A.  B.  R.,  96. 

An  officer  of  regular  army  may  be  adjudged  bankrupt.  Audubon  v. 
Shufcldt  (1901),  181  U.  S.,  575;  5  A.  B.  R.,  829. 

"Debts"  as  defined  in  Sec.  1  (11)  must  be  strictly  followed.  In  re 
Yates  (1902),   N.  Dist.   Col.,   De  Haven,  J.,  114  Fed.,  365;  8A.  B.R.,69. 

There  must  be  an  existing  provable  debt  to  entitle  one  to  take  advan- 
tage of  bankruptcy  act.  Judgment  suspended  on  appeal  not  such  debt. 
In  re  Yates  (1902),  N.  Dist.  Cal.,  De  Haven,  J.,  114  Fed.,  365;  8  A.  B.  R., 


48  '     WHO   MAY   BECOME   BANKRUPTS.  [§4b. 

The  bankruptcy  act  is  not  tmconstitutional  by  reason  of  provisions 
for  volimtary  bankruptcy.  Nat.  Bank  v.  Moyses  (1902),  U.  S.  Sup.  Ct., 
Chief  Justice  Fuller,  186  U.  S.,  181;  8  A.  B.  R.,  1. 

One  not  insolvent  may  be  a  voluntary  bankrupt.  Wetmore  v.  Wet- 
more  (1899),  N.  Y.  Sup.  Ct.  O'Brien,  J.,  44  N.  Y.  App.  Div.,  220. 

b  [Involuntary  bankrupts.]  Any  natural  person,  ex- 
cept a  wage  earner  or  a  person  engaged  chiefly  in  farming 
or  the  tillage  of  the  soil,  any  unincorporated  company,  and 
any  corporation  engaged  principally  in  manufacturing,  trad- 
ing, printing,  publishing,  *mining*,  or  mercantile  pursuits, 
owing  debts  to  the  amoimt  of  one  thousand  dollars  or  over, 
may  be  adjudged  an  involuntary  bankrupt  upon  default  or 
an  impartial  trial,  and  shall  be  subject  to  the  provisions 
and  entitled  to  the  benefits  of  this  Act.  Private  bankers, 
but  not  national  banks  or  banks  incorporated  imder  State 
or  Territorial  laws,  may  be  adjudged  involuntary  bank- 
rupts. *The  bankruptcy  of  a  corporation  shall  not  release 
its  officers,  directors,  or  stockliolders,  as  such,  from  any  lia- 
bility under  the  laws  of  a  State  or  Territory  or  of  the  United 
States.* 

"Person"  defined  Sec.  1  (19)  and  notes.  "Wage-earner"  defined- 
Sec.  1  (27)  and  notes.  "Corporations"  defined  Sec.  1  (6)  and  notes. 
"Debts"  defined  Sec.  1  (11)  and  notes  and  63a  and  notes.  Person  against 
whom  an  involvmtary  petition  has  been  filed  is  entitled  to  jury  trial  on 
the  question  of  his  solvency  Sec.  19  (a)  and  notes.  "Adjudication"  de- 
fined Sec.  1  (2)  and  notes.  For  form  of  involimtary  petition,  see  Form 
No.  3.     As  to  involuntary  petitio  ns,  see  Sec.  59  and  notes. 

An  admission  by  the  officers  of  a  corporation  of  Mass.  not  sufficient  cause 
for  involvmtary  bankruptcy.  Stockholders  vote  necessary — semble 
a  corporation  cannot  make  any  such  admission  as  an  evasion  of  the  act. 
In  re  Bates  Machine  Co.  (1899),  Dist.  Mass.,  Lowell,  J.,  91  Fed.,  625; 
1  A.  B.  R.,  129;  I.  N.  B.  N.,  135. 

A  fire  insurance  company  may  not  be  adjudged  a  bankrupt.  In  re 
Camerort,  etc.,  Co.  (1899),  W.  Dist.  Mo.,  Phillips,  J.,  96  Fed.,  756;  2 
A.  B.  R.,  372;  1  N.  B.  N.,  383. 

The  amoimt  of  one  thousand  dollars  indebtedness  necessary  to  give 
jurisdiction  in  involuntary  bankruptcy  may  be  estimated,  when  neces- 
sary, by  including  among  the  creditors,  one  who  has  received  a  preference 


§4b.]  WHO   MAY  BECOME   BANKRUPTS.  49 

voidable  by  Sections  60  (a)  and  (b).     In  re  Cain  (1899),  N.  Dist.,  111., 
Eastman,  R.;  2  A.  B.  R.,  378;  1  N.  B.  N.,  389. 

To  the  same  effect,  in  re  Tirre  (1899),  S.  Dist.  N.  Y.,  Brown,  J.,  95 
Fed.,  425;  2  A.  B.  R.,  493;  1  N.  B.  N.,  402. 

An  incorporated  private  hospital,  conducted  for  profit,  is  a  mercan- 
tile company  and  liable  to  bankruptcy.  In  re  San  Gabriel  San.  Co. 
(1900).  S.  Dist.  Cal.,  Wellborn,  J.,  95  Fed.,  271;  2  A.  B.  R.,  408;  1  N. 
B.  N.,  390. 

Debts  preferentially  paid  are  to  be  cotmted  as  existing  in  estimating 
the  amount  of  liabilities  to  confer  jurisdiction.  In  re  Norcross  (1899), 
W.  Dist.  Mo.,  Hall.  R.,  1  A.  B.  R.,  644;  1  N.  B.  N.,  528. 

Company  engaged  in  furnishing  water  does  not  come  tmder  this 
classification,  and  is  not  subject  to  be  adjudicated  bankrupt.  In  re  New 
York  &  Westchester  Water  Co.  (1900),  S.  Dist.  N.  Y.,  Brown,  J.,  98 
Fed.,  711;  3  A.  B.  R.,  508;  2  N.  B.  N.,  414. 

A  mining  company  not  subject  to  bankruptcy  [amendment  of  Feb. 
5th,  1903,  changes  this].  In  re  Elk  Park  Mining  &  Milling  Co.  (1899), 
Dist.  Colo.,  Hallett,  J.,  101  Fed.,  422 ;  4  A.  B.  R.,  131. 

Company  engaged  in  theatrical  performance  not  subject  to  bank- 
ruptcy. In  re  Oriental  Society  (1900),  E.  Dist.  Pa.,  McPherson,  J.,  104 
Fed.,  975;  5  A.  B.  R.,219 

Debtor  changing  his  business  to  farming  within  four  months  cannot 
escape  prosecution  of  involtmtary  bankruptcy.  In  re  Luckhardt  (1900), 
Dist.  Kan.,  Hook,  J.,  101  Fed.,  807;  4  A.  B.  R.,  307. 

A  farmer  may  not  be  adjudged  a  bankrupt  on  involuntary  petition, 
even  on  default.  In  re  Taylor  (1900),  C.  C.  A.,  7th  Cir.,  Bunn,  J.,  102 
Fed. ,  728;  4  A.  B.  R.,  515;  2  N.  B.  N.,  92. 

Coal  mining  company,  though  operating  a  store,  is  not  principally 
engaged  in  mercantile  pursuits,  and  is  not  liable  to  bankruptcy  proceed- 
ings. [Amendment  Feb.  5th,  1903,  changes  this.]  McNamara  et  al.  v, 
Helena  Coal  Co.  (1900),  N.  Dist.  Ala.,  Brice,  J.;  5  A.  B.  R.,  48. 

Mining  company  not  subject  to  proceedings  in  bankruptcy.  In  re 
Woodside  Coal  Co.  (1900),  E.  Dist.  Pa.,  McPherson,  J.,  105  Fed.,  56; 
5A.  B.  R.,  186;  3  N.  B.  N.,  336. 

A  coal  company  which  buys  coal  in  the  ground,  mines  and  markets 
it,  is  subject  to  bankruptcy,  its  principal  business  being  trading.  In  re 
Keystone  Coal  Co.  (1901),  W.  Dist.  Pa.,  Van  Wormer,  R.;  5  A.  B.  R. 
389;  3  N.  B.  N.,  344. 

Reversed— 7n  re  Keystone  Coal  Co.  (1901),  W.  Dist.  Pa.,  Buffington, 
J.,  109  Fed.,  872;  6  A.  B.  R.,  377;  3  N.  B.  N.,  938. 

Corporation  engaged  in  smelting  ore  is  a  manufacturing  corporation. 


50  WHO   MAY   BECOME   BANKRUPTS.  [§4b. 

In  re  Tecopa  Mining  &  Smelting  Co.   (1901),  S.  Dist.  Cal.,  Wellborn,    J., 
110  Fed.,  120;  6  A.  B.  R.,  250. 

Facts  which  tend  to  show  whether  an  alleged  bankrupt  is  engaged 
chiefly  in  farming,  in  re  Mackey  (1901),  Dist.  Del.,  Bradford,  J.,  110 
Fed.,  355;  6  A.  B.  R.,  577. 

What  constitutes  being  engaged  chiefly  in  farming  discussed.  In  re 
Drake  (1902),  Dist.  S.  C,  Brawley,  J.,  114  Fed.,  229;  8  A.  B.  R.,  137. 

Pleading  to  merits  waives  the  objection  that  an  involuntary  petition 
does  not  allege  that  defendant  is  not  a  farmer  or  wage-earner.  Verifica- 
tion of  petition  which  is  defective,  may  be  corrected  on  motion,  juris- 
diction being  acquired  by  the  filing  of  the  petition.  Bank  v.  Craig 
Brothers  (1901),  W.  Dist.  Ky.,  Evans,  J.,  110  Fed.,  137;  6  A.  B.  R.,  381. 

A  mercantile  agency  may  be  adjudged  bankrupt.  In  re  Mutual  Mer- 
cantile Agency  (1901),  S.  Dist.  N.  Y.,  Adams,  J.,  Ill  Fed.,  152;  6  A.  B. 
R.,  607. 

A  restaurant  or  hotel  not  a  mercantile  or  trading  business  and  not 
subject  to  involuntary  bankruptcy.  In  re  Chesapeake  Oyster  &  Fish  Co., 
Dist.  Colo.,  Hallett,  J.,  112  Fed.,  960;  7  A.  B.  R.,  173. 

After  an  involuntary  petition  filed  and  no  adjudication,  bankrupt  may 
file  his  voluntary  petition  and  hearing  will  be  held  on  it.  The  involvm- 
tary  petition  may  be  stayed  to  protect  costs  or  other  rights.  In  re 
Stegar    (1902),  N.  Dist.  Ala.,  Jones,  J.,  113  Fed.,  978;  7  A.  B.  R.,  665. 

An  incorporated  social  club  cannot  be  adjudged  bankrupt.  In  re 
FuRon  Club  (1902),  N.  Dist.  Ga.,  Newman,  J.,  113  Fed.,  997;  7  A.  B. 
R.,  670. 

A  corporation  cannot  for  the  sake  of  procuring  adjudication  in  bank- 
ruptcy, collude  with  a  creditor  so  that  a  claim  is  split  up  to  make  the 
necessary  numbers.  In  re  Independent  Thread  Co.  (1902),  Dist.  N.  J., 
Kirkpatrick,  J.,  113  Fed.,  998;  7  A.  B.  R.,  704. 

A  corporation  which  never  did  in  fact  any  trading  or  mercantile  busi- 
ness cannot  be  adjudged  a  bankrupt.  It  does  not  matter  what  it  is 
empowered  to  do.  In  re  Tontine  Surety  Co.  of  New  Jersey  (1902), 
Dist.  of  N.  J.,  Kirkpatrick,  J.,  116  Led.,  401 ;  8  A.  B.  R.,  421. 

A  corporation  engaged  in  the  business  of  carriage  by  water  of  passen- 
gers and  goods  for  hire  may  not  be  adjudged  a  bankrupt.  In  re  Phila- 
delphia &  Lewes  Transportation  Co.  (1902),  E.  Dist.  Pa.,  McPherson,  J., 
114  Fed.,  403;  7  A.  B.  R.,  707. 

Petitioners  must  allege  and  prove  that  the  alleged  bankrupt  was  en- 
gaged in  one  of  the  enumerated  businesses.  In  re  Chicago-Joplin  Lead  Co. 
(1900),  W.  Dist.  Mo.,  Phillips,  J.,  104  Fed.,  67;  4  A.  B.  R.,  712. 

Must  be  engaged  in  enumerated  pursviits  at  the  time  of  filing  the  pe- 
tition.    In  re  Minn.,  etc.,  Constr.  Co.  (1900),  Sup.  Ct.  Ariz.,  60  Pac,  881- 


§  5  a.]  who  may  become  bankrupts.  51 

Sec.  5. 

a  [Partnership  may  be  adjudged  bankrupt.]  A  partner- 
ship, during  the  continuation  of  the  partnership  business, 
or  after  its  dissolution  and  before  the  final  settlement  thereof, 
may  be  adjudged  a  bankrupt 

Analogous  provisions  act  1841,  Sec.  14  post;  act  of  1867,  Sec.         post. 

As  to  proceedings  in  partnership  cases,  see  Gen.  Order  VIII  and  notes. 
"Person"  used  in  this  act  includes  corporation.  Sec.  1  (19)  ante.  For  form 
of  petition  see  Form  No.  2.     See  h.  c.  d.  e.  f.  g.   and  h.,  post,  and  notes. 

Individual  partners  can  not  be  discharged  without  bringing  in  co- 
partners. In  re  Freund  (1899),  N.  Dist.  Pa.,  James,  R.,  1  A.  B.  R.,  25; 
1  N.  B.  N.,  105. 

So  long  as  any  partnership  assets  or  liabilities  remain,  the  same  may 
be  adjudicated.  In  re  Levy  &  Richman  (1899),  N.  Dist.  N.  Y.,  Moss, 
R.;  2  A.  B.  R..  21;  1  N.  B.  287. 

Where  the  property  of  a  partner  is  used  to  pay  the  debt  of  a  co-partner, 
his  trustee  is  subrogated  to  the  rights  of  the  creditor  whose  debt  is  so 
paid.  In  re  Mason  &  Son  (1899).  Dist.  R.  I.,  Littlefield,  R.;  2  A.  B.  R., 
60;  1  N.  B.  N.,  331. 

In  a  petition  to  adjudicate  a  partnership  a  bankrupt  notice  to  non- 
joining  partners  is  essential.  In  re  Altman,  N.  Dist.  N.  Y.,  Coxe,  J.,  (1899) , 
96  Fed.,  263;  2  A.  B.  R.,  407;  1  N.  B.  N.,  358. 

Individual  petitions  are  no  notice  to  firm  creditors  and  will  not  bar 
firm  debts.  In  re  Carmichael  (1899),  N.  Dist.  la.,  Shiras,  J.,  96  Fed., 
594;  2  A.  B.  R.,  815. 

An  act  of  bankruptcy  by  a  partner  for  the  firm  binds  the  firm;  such 
as  an  assignment  by  one  partner  of  the  firm's  assets.  Chemical  Nat. 
Bank  V.  Aleyer,  et  al.,  (1899)  E.  Dist.  N.  Y.,  Thomas,  J.,  92  Fed.,  896;  1 
A.  B.  R.,  565;  1  N.  B.  N.,  304. 

An  adjudication  on  the  petition  of  two  of  four  partners  that  the  co- 
partnership be  adjudged  a  bankrupt  as  a  co-partnership  and  as  individuals 
is  erroneous  and  should  be  set  aside.  Neither  the  co-partnership  nor  the 
individual  members  are  relieved  from  debts.  In  re  Altman,  (1899)  N. 
Dist.  N.  Y.,  Hotchkiss,  R.,  1  A.  B.  R.,  689;  1  N.  B.  N.,  358. 

Existence  of  unpaid  debts  where  there  are  no  partnership  assets,  and 
the  partnership  has  ceased  to  exist,  not  a  sufiicient  ground  to  adjudge 
partnership  a  bankrupt,  idem 

Partnership  and  individxial  petitions  may  be  joined  and  one  fee  only 


52  WHO  MAY  BECOME  BANKRUPTS.  [§5a. 

charged  on  filing.  In  re  Gay  (1899),  Dist.  N.  H.,  Aldrich,  J.,  98  Fed., 
870;  3  A.  B.  R.,  529. 

Partnership  may  be  adjudged  a  bankrupt  irrespective  of  individuals 
who  may  be  drawn  in,  if  they  have  committed  an  act  of  bankruptcy.  In 
re  Meyer  (1899),  C.  C.  A.,  2nd  Cir.,  Wallace,  J.,  98  Fed.,  976;  3  A.  B.  R., 
659. 

Petition  in  involuntary  bankruptcy  against  a  co-partnership  should 
show  whether  all  members  are  insolvent  or  not.  In  re  Blair,  S.  Dist. 
N.  Y.,  Brown,  J.,  99  Fed.,  76;  3  A.  B.  R.,  588;  2  N.  B.  N.,  890. 

Members  of  the  partnership  may  not  be  adjudged  bankrupts  on  in- 
volvmtary  petitions.  Mahoney  et  al.  v.  Ward  (1900),  E.  Dist.  N.  C,  Pur- 
nell,  J.,  100  Fed.,  278;  3  A.  B.  R.,  770;  2  N.  B.  N.,  538. 

Individual  partner  shovild  file  schedvile  both  for  himself  and  partner- 
ship. Notices  to  creditors  shoiild  contain  the  statement  showing  desire 
to  be  released  from  partnership  debts;  otherwise  such  debts  not  barred. 
Inre  Laughlin  (1899),  N.  Dist.  la.,  Shiras,  J.,  96  Fed.,  589;  3  A.  B.  R.,  1. 

What  constitutes  a  partnership.  In  re  Kenney  (1899),  S.  Dist.  N. 
Y.,  Brown,  J.,  97  Fed.,  554;  3  A.  B.  R.,  353;  1  N.  B.  N.,  401. 

Where  one  partner  is  dead,  bankruptcy  court  will  take  jurisdiction  of 
the  estate,  but  not  to  dispossess  the  administrator  without  his  consent. 
In  re  Pierce  &  Son  (1900),  Dist.  Wash.,  Handford,  J.,  102  Fed.,  977;  4  A. 
B.  R.,  489;  2  N.  B.  N.,  977. 

Where  it  appears  that  all  proceedings  are  partnership  in  character, 
individual  discharge  not  given.  In  re  Hale  et  al.,  (1901),  E.  Dist.  N.  C, 
PumeU,  J.,  107  Fed.,  432;  6  A.  B.  R.,  35. 

In  bankruptcy,  partners  and  the  individual  members  are  distinct  en- 
tities— bankruptcy  of  one  does  not  necessarily  involve  them  both.lj^/n 
re  Sanderlin  (1901),  E.  Dist.  N.  C,  PumeU,  J.,  109  Fed.,  857;  6  A.  B.  R., 
384. 

What  facts  constitute  a  partnership  for  purposes  of  adjudication  in 
bankruptcy.     Lott  v.   Young  (1901),  C.  C.  A.,  9th  Cir.,  Hawley,  J.,  109 
Fed.,  798;  6  A.  B-  R.,  436. 

Facts  insufficient  to  show  partnership.  In  re  Clark  (1901) ,  Dist. 1  Wash. 
Handford,  J.,  Ill  Fed.,  893;  7  A.  B.  R.,  96. 

Partner  may  not  file  petition  as  a  creditor  against  his  copartner.  In 
re  Shenkein  &  Coney  (1902),  W.  Dist.  N.  Y.,  Hotchkiss,  R.,  7  A.  B.  R., 
162. 

Failure  more  than  eight  years  before  too  stale  to  order  all  partners 
to  show  cause  why  they  should  riot  be  adjudicated  in  the  bankruptcy  pro- 
ceedings of  one  of  them.  Royston  v.  Weis  (1902),  C.  C.  A.,  5th  Cir.,  112 
Fed.,  962;  7  A.  B.  R.,  584. 


§5 a.]  WHO  MAY  BECOME  BANKRUPTS.  55 

Bankruptcy  of  one  member  of  a  partnership  dissolved  does  not  aflfect 
mortgage  given  by  firm,  where  firm  is  not  adjudicated.  McNair  v.  Mc- 
Intyre  (1902).  C.  C.  A.,  4th  Cir.,  Simonton,  J.,  113  Fed.,  113;  7  A.  B. 
R.,  638. 

Intention  of  Congress  that  partnership  should  be  an  entity,  like  a 
corporation  for  purposes  of  the  bankruptcy  act.  In  re  Meyer  (1899), 
C.  C.  A.,  2nd  Cir.,  Wallace,  J.,  98  Fed.,  976;  3  A.  B.  R.,  559. 

Firm  committing  act  of  bankruptcy  may  be  adjudged  bankrupt, 
though  the  individual  members  not  guilty  of  such  acts.  In  re  Sanderlin 
(1901),  E.  Dist.  N.  C,  Pumell,  J.,  109  Fed.,  857;  6  A.  B.  R.,  384. 

Partnership  petition  is  a  separate  proceeding — each  partner  seeking 
discharge  must  file  separate  petition  and  pay  fees  accordingly.  In  re 
Farley  &  Co.  (1902),  W.  Dist.  Va.,  McDowell,  J.,  115  Fed.,  359;  8  A.  B 
R.,  266. 

In  case  of  a  volimtary  petition  by  a  partner  a  firm  creditor  may  not 
object  to  the  adjudication  on  the  grovmd  of  solvency — even  if  the  co- 
partner does  come  to  object,  it  is  an  individual  right  as  to  him.  Com- 
parison between  acts  of  1841,  1867  and  1898.  history  of  Legislation. 
In  r^Carleton  (1902),  Dist.  Mass.,  Lowell,  J.,  115  Fed.,  246;  8  A.  B.  R.,  270. 

Fact  that  one  copartner  is  a  minor  will  not  prevent  the  adjudication 
of  the  firm  if  act  of  bankruptcy  has  been  committed.  In  re  Dunnigan 
Bros.  (1899),  Dist.  Mass.,  Lowell,  J.,  95  Fed.,  428;  2  A.  B.  R.,  628. 

Procedure  where  partner  seeks  discharge  from  individual  and  firm 
debts.  In  re  Hartman  (1899),  N.  Dist.  la.,  Shiras,  J.,  96  Fed.,  593; 
3  A.  B.  R.,65. 

Individuals  having  been  adjudged  bankrupts  and  discharged  years 
afterwards,  an  amendment  will  not  be  entertained  to  declare  a  firm  debt, 
where  the  effect  will  be  to  disturb  transactions  long  since  closed.  In  re 
Mercur  (1902),  E.  Dist.  Pa.,  Archbold,  J.,  116  Fed.,  655;  8  A.  B.  R.,  275. 

Creditors  may  petition  against  members  as  well  as  against  the  firm. 
idem. 

Partners  may  petition  for  adjudication  though  there  are  no  assets  of 
the  firm.  In  re  Hirsch  (1899),  W.  Dist.  Tenn.,  Hammond,  J.,  97  Fed., 
571;  2  A.  B.  R.,  715. 

Partnership  continues  if  debts  exist  though  the  debts  may  be  out- 
lawed. In  re  Levy  (1899),  N.  Dist.  N.  Y.,  Coxe,  J.,  95  Fed.,  812;  2 
A.  B.  R.,  21. 

Members  of  a  firm  unwilling  to  join  in  a  petition  by  part  of  firm  may 
be  adjudged  involtmtary  bankrupts.  In  re  Murray  (1899),  S.  Dist. 
la.,  Shiras,  J.,  96  Fed.,  600;  3  A.  B.  R.,  601. 

Acts  of  bankruptcy  on  part  of  firm  discussed.  Vaccaro  v.  Security 
Bank  (1900),  C.C.  A., 6th  Cir.,Lurton,  J.,  103  Fed.,  436;  4  A.  B.  R.,  474. 


54  WHO  MAY  BECOME  BANKRUPTS.  [§5bcd. 

Separate  filing  fees  for  the  partner  and  each  member  thereof  neces- 
sary. In  re  Barden  (1900),  E.  Dist.  N.  C,  Pumell,  J.,  101  Fed.,  553; 
4  A.  B.  R.,  31.    As  to  partnership  exemptions,  see  notes  to  Sec.  6a. 

b  [Administration  of  partnership  estate.]  The  creditors 
of  the  partnership  shall  appoint  the  trustee;  in  other  re- 
pects  so  far  as  possible  the  estate  shall  be  administered  as 
herein  provided  for  other  estates. 

As  to  administration  of  estates  see  Chap.  VII,  post. 

Creditors  of  the  partnership  appoint  the  trustee  in  the  case  of  a  joint 
petition;  in  case  of  a  separate  petition  the  separate  creditors  have 
the  right  to  vote.  In  re  Beck  (1901),  Dist.  Mass.,  Lowell,'  J.,  110 
Fed.,  140;    6  A.  B.  R.,  554. 

One  not  owner  of  claim  against  partnership  cannot  vote  at  election 
of  partnership  trustee.  In  re  Eagles  &  Crisp  (1900),  E.  Dist.  N.  C, 
Pumell,  J.,  99  Fed.,  695;  3  A.  B.  R.,  733. 

c  [Jurisdiction  over  one  partner  sufficient.]  The  court 
of  bankruptcy  which  has  jurisdiction  of  one  of  the  partners 
may  have  jurisdiction  of  all  the  partners  and  of  the  adminis- 
tration of  the  partnership  and  individual  property. 

As  to  jurisdiction  to  adjudicate  bankrupt,  see  Sec.  2  (1)  and  notes 
ante.     See  for  proceedings  in  partnership  cases  Gen.  Ord.  VIII,  post. 

The  court  acquires  jurisdiction  of  the  proceeding  on  the  filing  of  the 
petition.  If  it  is  filed  by  all  partners  the  adjudication  is  made  at  once; 
if  by  less  than  all,  the  partner  who  refuses  to  join  in  the  petition,  may 
oppose  the  adjudication  as  he  might  if  the  proceeding  was  involuntary, 
and  he  may  make  every  defense  open  to  a  debtor  upon  such  petition. 
In  re  Ives  (1902),  C.  C.  A.,  8th  Cir.,  Wantly,  J.,  113  Fed.,  911;  7  A.  B. 
R.,  692. 

d  [Trustee  to  keep  separate  accounts.]  The  trustee  shall 
keep  separate  accounts  of  the  partnership  property  and  of 
the  property  belonging  to  the  individual  partners. 

'As  to  duties  of  trustees  to  prepare  accounts,  see  Sec.  47a  and  notes; 
post;  also  Gen.  Ord.  XVII. 


§5ef.]  WHO  MAY  BECOME  BANKRUPTS.  55 

e  [Expenses  apportioned.]  The  expenses  shall  be  paid 
from  the  partnership  property  and  the  individual  property 
in  such  proportions  as  the  court  shall  determine. 

As  to  expenses  of  administration,  see  Sec.  62a  and  notes,  post. 

f  [Payment  of  debts— surplus.]  The  net  proceeds  of  the 
partnership  property  shall  be  appropriated  to  the  payment 
of  the  partnership  debts,  and  the  net  proceeds  of  the  in- 
dividual estate  of  each  partner  to  the  payment  of  his  in- 
dividual debts.  Should  any  surplus  remain  of  the  property 
of  any  partner  after  paying  his  individual  debts,  such  sur- 
plus shall  be  added  to  the  partnership  assets  and  be  applied 
to  the  payment  of  the  partnership  debts.  Should  any  sur- 
plus of  the  partnership  property  remain  after  paying  the 
partnership  debts,  such  surplus  shall  be  added  to  the  assets 
of  the  individual  partners  in  the  proportion  of  their  re- 
spective interests  in  the  partnership. 

Proceedings  in  partnership  cases  outlined.  Gen.  Ord.Vlll.  post  See 
c.  b.  c.  d.  e.  g.  and  h  under  this  section  and  notes  therevmder. 

Individual  creditors  shall  be  paid  first  out  of  individual  assets  and 
partnership  creditors  paid  next  out  of  individual  assets — the  converse 
follows  in  partnership  assets.  In  re  Wilcox  (1899),  Dist.  Mass.,  Lowell, 
J.,  94  Fed.,  84;  2  A.  B.  R.,  117;  1  N.  B.  N.,  494. 

A  solvent  partner  is  a  creditor  of  the  insolvent  members.  In  re  Ste- 
vens (1900),  Dist.  Vt.,  Wheeler,  J.,  104  Fed.,  325;  5  A.  B.  R.,  9. 

Partnership  note  endorsed  by  individual  member  remains  a  partnership 
liability  and  not  a  claim  against  the  individual.  Lamoille,  etc.  Bank  v. 
Stevens  Est.,  (1901),  Wheeler,  J.,  107  Fed.,  245;  6  A.  B.  R.,  164. 

While  a  corporation  was  a  de  facto  partner  in  a  bankrupt  firm  and  es- 
topped to  claim  money  advanced  under  the  partnership  agreement,  it  is 
not  so  estopped  as  to  money  previously  advanced.  In  re  Ervin  (1902), 
E.  Dist.  Pa.,  McPherson,  J..  114  Fed.,  596;  7  A.  B.  R,  480. 

In  bankruptcy  proceedings  of  a  partner  of  a  firm,  costs  of  suit  incurred 
by  firm  are  not  preferred  claims,  though  State  insolvency  law  makes  it  a 
preferred  claim.  In  re  Daniels  (1901),  Dist.  R.  I.,  Brown,  J.,  110  Fed., 
745;  6.  A.  B.  R.,  699. 

A  retiring  partner,  who  sold  his  interest  and  took  notes  of  contintung 
partner  may  not  prove  up  so  as  to  prejudice  creditors  of  old  firm.  In  re 
Denning  (1902),  Dist.  Mass..  Lowell.  J..  114  Fed.,  219;  8  A.  B.  R.,  133. 


56  WHO  MAY  BECOME  BANKRUPTS.  [§5fg. 

Real  estate  standing  in  the  name  of  one  partner,  but  really  the  firm 
property,  to  be  sold  and  applied  to  the  payment  of  firm  debts.  In  re 
Goetzinger  (1901), W.  Dist.  Pa.,  Buffington,  J.,  110  Fed.,  366;  6  A.  B.  R., 
399. 

Cotirt  will  ascertain  the  facts  as  to  whether  land  is  purchased  with 
partnership  ftmds,  though  in  the  individual  names,  and  determine 
whether  it  is  individual  or  firm  assets.  In  re  Mosier  (1901),  Dist.  of  Vt., 
Wheeler,  J.,  112  Fed.,  138;  7  A.  B.  R.,  268. 

Purpose  of  bankruptcy  act  to  apply  partnership  assets  to  payment 
of  partnership  debts,  no  scheme  permitted  to  charge  partnership  assets 
with  individual  debts.  In  re  Jones  (1900),  E.  Dist.  Mo.,  Adams,  J.,  100 
Fed.,  781;  4  A.  B.  R.,  141. 

Chattel  mortgage  executed  by  individual  members  of  firm  can  not  be 
proved  as  a  claim  against  the  partnership  estate.  In  re  Jones  (1902), 
E.  Dist.,  N.  C,  Pumell,  J.,  116  Fed.,  431;  8  A.  B.  R.,  626. 

What  constitutes  individual  and  partnership  debts.  In  re  Stevens, 
(1900).   Dist.  Vt.,  Wheeler,  J.,  104  Fed.,  323;  5  A.  B.  R.,  9. 

Discussion  of  partnership  assets.  In  re  Lehigh  Lumber  Co.  (1900), 
W.  Dist.  Pa.,  Buffington,  J.,  101  Fed.,  216;  4  A.  B.  R.,  221. 

Surplus  partnership  assets  applied  to  individual  debts.  In  re  Gillette 
&  Prentice  (1900),  W.  Dist.  N.  Y.,  Hazel,  J.,  104  Fed.,  769;  5  A.  B.  R.,  119. 

Individual  and  firm  assets  are  to  be  marshalled  where  member  and 
firm  are  both  adjudicated  bankrupt.  In  re  Wilcox  (1899),  Dist.  Mass., 
Lowell,  J.,  94  Fed.,  84;  2  A.  B.  R.,  117. 

Where  partnership  adjudged  a  bankrupt  individual  estates  are  drawn 
into  bankruptcy  court.  In  re  Stokes  (1901),  E.  Dist.  Pa.,  McPherson, 
J..  106  Fed.,  312;  6  A.  B.  R.,  262. 

Distribution  of  estate  should  be  on  basis  that  the  bankrupt  was  sole 
owner  of  the  business  even  though  there  is  secret  partner.  In  re  Harris 
(1899),  N.  Dist.  O.,  Ricks,  J.,  108  Fed.,  5l7. 

Firm  debts  not  affected  by  the  adjudication  of  a  member  of  the  firm 
on  his  voluntary  petition.  In  re  McFaun  (1899),  N.  Dist.  la.,  Shiras, 
J.,  96  Fed.,  592;  3  A.  B.  R.,  66. 

Where  only  individual  assets  remain  both  partners  being  insolvent 
constitute  an  exception  to  the  rule  of  distribution  and  partnership 
creditors  may  share  equally  with  individual  creditors.  In  re  Conrader 
(1902),  W.  Dist.  Pa.,  Buffington,  J.,  9  A.  B.  R.,  85. 

g  [Claims  to  be  marshalled.]  The  court  may  permit  the 
proof  of  the  claim  of  the  partnership  estate  against  the 
individual  estates,  and  vice  versa,  and  may  marshal  the 


§5gll.]  WHO  MAY  BECOME  BANKRUPTS.  57 

assets  of  the  partnership  estate  and  individual  estates  so  as 
to  prevent  preferences  and  secure  the  equitable  distribution 
of  the  property  of  the  several  estates. 

See  o,  b,  c,  d,  e  and  /,  ante  and  notes.  As  to  proof  of  claims,  see  Sec. 
67a  and  notes,  and  Gen.  Ord.  XXI  post.  Form  of  proof  of  debt  by  part- 
nership, see  Form  No.  34  and  notes. 

Attempting  to  charge  partnership  assets  with  an  individual  claim 
is  a  fraud.  In  re  Jones  &  Cook  (1900) ,  E.  Dist.  Mo.,  Adams,  J.,  100  Fed. 
781;  4  A.  B.  R.,  141;  2  N.  B.  N.,  193. 

Liability  of  firm  not  shown  where  notes  are  signed  by  the  individuals 
not  using  firm  names.  Stratise  v.  Hooper  (1901),  E.  Dist.  N.  C,  Pumell, 
J.,  105  Fed.,  590;  5  A.  B.  R.,  225. 

Claims  on  notes  signed  by  two  members  of  a  bankrupt  firm  allowed 
against  the  firm  where  the  money  was  used  by  the  firm.  In  re  Shat- 
tuck  &  Bugh  (1901),  W.  Dist.  N.  Y.,  McMaster,  R.,  6  A.  B.  R.,  56. 

Both  individual  and  partnership  estates  may  be  marshalled  to  se- 
cure an  equitable  distribution  of  the  property.  In  r^_Gillette  &  Prentice 
(1900),  W.  Dist.  N.  Y.,  Hazel,  J.,  104  Fed.,  769;  5  A.  B.  R.,  119. 

Firm  and  individual  assets  must  be  marshalled.  In  re  Shapiro  & 
Novick  (1901),  S.  Dist.  N.  Y.,  Brown,  J.,  106  Fed.,  495;  5  A.  B.  R.,  839. 

h    Administration  where  aljl  partners  are  not  bankrupt.] 

In  the  event  of  one  or  more  but  not  all  of  the  members  of  a 
partnership  being  adjudged  bankrupt,  the  partnership 
property  shall  not  be  administered  in  bankruptcy,  unless  by 
consent  of  the  partner  or  partners  not  adjudged  bankrupt, 
but  such  partner  or  partners  not  adjudged  bankrupt  shall 
settle  the  partnership  business  as  expeditiously  as  its  nature 
will  permit,  and  accoimt  for  the  interest  of  the  partner  or 
partners  adjudged  bankrupt. 

See  o,  h,  c,  d,  e,  f  and  g,  tmder  this  section,  and  notes.  See  also  pro- 
ceedings in  partnership  cases.  Gen.  Ord.  VIII  post. 

This  section  does  not  apply  where  the  adjudication  is  refused  because  of 
the  infancy  of  a  partner.  In  re  Dunnigan  Bros.  (1899),  Dist.  Mass., 
Lowell,  J.,  95  Fed.,  428;  2  A.  B.  R.,  628;  1  N.  B.  N.,  528. 

Individual  adjudication  and  administration  of  estate  will  continue 
after  a  secret  partnership  is  discovered — such  secret  partner  is  assumed 
to  have  assented.  In  re  Harris  (1899),  N.  Dist.  O.,  Remington,  R.; 
4  A.  B.  R.,  132;  2  N.  B.  N.,  868. 


58  EXEMPTIONS- OF  BANKRUPTS.  [§6a. 

Partners  not  adjudged  bankrupt  required  to  account  for  interest  of 
the  bankrupt  partner  in  the  firm  business.  In  re  Laughlin  (1899),  N. 
Dist.  la.,  Shiras,  J.,  96  Fed.,  589;  3  A.  B.  R.,  1. 

Fact  that  two  members  of  firm  are  adjudged  bankrupt  does  not  make 
the  firm  bankrupt,  and  a  partnership  not  necessarily  adjudged  bank- 
rupt.    In  re  Mercur  (1902),  E.  Dist.  Pa.,  Archbald,  J.,  116  Fed.,  655;  8 

A.  B.  R.,  275. 

Discharge  from  partnership  debts  authorized  on  proper  proof.  Jan- 
ecki  Mfg.  Co.  V.  McElwaine  (1901),  Dist.  Ind.,  Baker,  J.,  107  Fed.,  249. 

Provisions  of  this  section  do  not  apply  where  one  partner  is  infant. 
In  re  Dimnigan  Bros.  (1899),  Dist.  Mass.,  Lowell,  J.,  95  Fed.,  428;  2  A. 

B.  R.,  628. 

Trustee  of  insolvent  member  no  right  to  firm  assets.  Burke  v.  Rol- 
linson  (1901),  Sup.  Ct.,  R.  I.,  49  Atl.,  694. 

Mortgage  by  a  firm  not  invalidated  by  bankruptcy  proceedings 
against  member  of  firm  only.  McNair  v.  Mclntyre  (1902),  C.  C.  A.,  6th 
Cir.,  Simonton,  J.,  113,  Fed.,  113;  7  A.  B.  R.,  638. 

Sec.  6.     Exemptions  of  Bankrupts. 

a  [Exemption  under  State  laws.]  This  act  shall  not 
effect  the  allowance  to  bankrupts  of  the  exemptions  which 
are  prescribed  by  the  State  laws  in  force  at  the  time  of  the 
filing  of  the  petition  in  the  State  wherein  they  have  had 
their  domicile  for  the  six  months  or  the  greater  portion 
thereof  immediately  preceding  the  filing  of  the  petition. 

Courts  of  bankruptcy  to  determine  all  claims  of  exemptions.  Sec. 
2,  Sub.  (11),  a«<^,  and  trustee  to  set  apart  bankrupt's  exemptions.  Sec. 
47,  Sub.  (11)  post,  and  notes.  See  the  exemption  laws  of  each  state 
in  which  district  cotirt  is  located. 

As  to  statement  of  claim  to  exempt  property,  see  Form  1,  Schedule 
B  (5),  Analogous  provisions,  Act  of  1800,  Sec.  18,  34,  35,  53;  Act  of  1841, 
Sec.  3;  Act  of  1867,  Sec.  14  amended  Act  June  8th,  1872,  Ch.  30;  Act 
March  28,  1873,  Ch.  235. 

Intention  to  use  an  unbroken  colt  for  team  work  where  the  Vt.  law 
allows  team  of  horses  is  sufficient  to  exempt  under  the  bankruptcy  act. 
/nr«  Alfred  (1899),  Dist.  Vt.,  Mott,  R.;  1  A.  B.  R.,  243. 

Where  each  partner  consents  to  the  exemptions  of  the  other,  as  re- 
quired by  No.  Carolina  law,  the  exemptions  may  be  allowed  out  of  the 
partnership  estate.     In  re  Grimes  (1899),  W.  Dist.  N.  C,  Ewert,  J.,  94 


§6  a.]  EXEMPTIONS  OF  BANKRUPTS.  59 

Fed.,  800;  2  A.  B.  R.,  160;  1  N.  B.  N.,  339.  In  re  Stevenson  &  King 
(1899),  E.  Dist.  N.  C,  Pumell,  J.,  93  Fed.,  789;  2  A.  B.  R.,  230;  1  N. 
B.  N.,  266. 

Under  the  Wis.  Law  exemptions  may  be  claimed  out  of  a  partnership 
propert}^     In  re  Nelson  (1899),  W.  Dist.  Wis.,  Bunn,  J.,  98    Fed.,  76;  2 

A.  B.  R.,  556;  1  N.  B.  N.,  567. 

Arkansas  exemption  law  allows  no  exemption  from  partnership  prop- 
erty. In  re  Meriwether  (1901),  W.  Dist.  Ark.,  Trieber,  J.,  107  Fed.,  102; 
5  A.  B.  R.,  435. 

Exemptions  allowed  partner  out  of  partnership  assets,  when  joint 
interest  is  severed.  In  re  Friedrich  (1900),  C.  C.  A.,  7th  Ci.,Renkins, 
J.,  100  Fed.,  284;  3  A.  B.  R.,  801. 

Exemptions  in  New  Jersey  not  allowed  out  of  partnership  assets. 
In  re  Demarest  (1901),  Dist.  N.  J.,  Kirkpatrick,  J.,  110  Fed.,  638;  6  A. 

B.  R.,  232. 

In  North  Carolina  exemptions  allowed  out  of  partnership  assets  by 
consent  of  other  partners.  In  re  Seabolt  (1902),  W.  Dist.  N.  C,  Boyd, 
J.,  113  Fed.,  766;  8  A.  B.  R.,  57. 

Exemptions  of  one  partner  may  attach  to  property  of  the  partnership 
of  which  the  bankrupt  is  a  member,  provided  previously  thereto  the  firm 
has  transferred  same  to  one  member.  In  re  Rudnick  (1900),  Dist.  Wash., 
Hanaford,  J.,  102  Fed.,  750;  4  A.  B.  R.,  531;  2  N.  B.  N.,  975. 

The  rule  of  the  state  of  which  the  bankrupt  is  a  resident  followed  as  to 
exemptions — where  allowed  out  of  partnership  assets  the  United  States 
Court  will  follow.  In  re  Camp  (1899),  N.  Dist.  Ga.,  Newman,  J.,  91  Fed,, 
745;  1  A.  B.  R.,  165;  1  N.  B.  N.,  142. 

Exemptions  of  forty  acres  as  homestead  on  which  bankrupt  claims  an 
intention  to  build  and  occupy,  is  not  allowed  under  Michigan  statute, 
as  intention  does  not  create  homestead.  In  re  Hatch  (1899),  E.  Dist., 
Mich.,  Davock,  R.,  2  A.  B.  R.,  36;  1  N.  B.  N.,  293. 

Homestead  exemptions  pass  to  the  bankrupt.  The  reversionary  inter- 
est should  be  sold  by  the  trustee.  In  re  Woodward,  E.  Dist.  N.  C,  Pur- 
nell,  J.,  95  Fed.,  260;  2  A.  B.  R.,  339;  1  N.  B.  N.,  352. 

Exemptions  are  to  be  passed  on  by  the  District  Court.  Arkansas 
Homestead  Law  construed.  In  re  Overstreet  (1899),  E.  Dist.  Ark.,  Dool- 
ey,  R.;  2  A.  B.  R.,  486;  1  N.  B.  N.,  408. 

Under  the  Alabama  exemption  law  a  gold  watch  worth  fifty  dollars 
comes  under  necessary  and  proper  wearing  apparel.     Sellers  v.  Bell  (1899) , 

C.  C.  A.,  5th  Cir.,  McCormick,  J.,  94  Fed.,  801;  2  A.  B.  R.,  529. 
Exemptions  of  tools  and  implements  under  the  California  law  con- 


60  EXEMPTIONS  OF  BANKRUPTS.  [§6a. 

sidered.     In  re  Peterson  (1899),  N.  Dist.  Cal.,  DeHaven,  J.,  95  Fed. ,417; 
2  A.  B.  R.,  630;  1  N.  B.  N.,  430. 

Exemption  lost  by  failure  to  claim  the  same  in  the  schedule  can  not 
be  claimed  by  amendment.  In  re  Nunn  (1899),  S.  Dist.  Ga.,  Proudfit, 
R.;  2  A.  B.  R.,  664;  1  N.  B.  N.,  427. 

Exemption  not  allowed  by  way  of  amendment  to  schedule  out  of  prop- 
erty which  had  already  passed  to  trustee.  Distinction  between  property 
which  law  makes  exempt  and  that  which  the  bankrupt  claims  to  be  ex- 
empt. Moran  v.  King  (1901),  C.  C.  A..  4th  Cir.,  Ill  Fed.,  730;  7  A.  B.  R., 
176. 

Exemptions  where  state  law  does  not  allow  cash  exemptions  con- 
strued. In  re  Woodward  (1899),  E.  Dist.  N.C.,  Pumell,  J.,  95  Fed.,  955; 
2  A.  B.  R.,  692;  1  N.  B.  N.,  430. 

Exemptions  must  be  set  aside  by  the  trustee  and  no  one  can  act  in 
his  place.  In  re  Grimes  (1899),  W.  Dist.  N.  C,  Ewart,  J.,  96  Fed.,  529; 
2  A.  B.  R.,  730;  1  N.  B.  N.,  516. 

Jurisdiction  of  bankrupt  court  limited  to  setting  the  exempt  property 
aside.  Disputes  concerning  title  to  be  left  to  other  courts.  In  re  Hill 
(1899),  N.  Dist.  Ga.,  Newman,  J.,  96  Fed.,  185;  2  A.  B.  R.,  798;  2  N.  B. 
N.,  180.  In  re  Little  (1901),  N.  Dist.  la.,  Shiras,  J.,  110  Fed.,  621;  6 
A.  B.  R.  681. 

Title  to  crops  growing  on  exempt  land  of  a  voluntary  bankrupt  vest  in 
trustee.  In  re  Coffman,  N.  Dist.  Tex.,  Meek,  J.,  93  Fed.,  422;  1  A.  B.  R., 
630;  1  N.  B.  N.,  402. 

Construction  of  the  New  York  law,  as  regards  money  of  pensioner 
of  the  United  States  invested  in  real  estate.  In  re  Ellithorpe  (1901),  W. 
Dist.  N.  Y.,  Hotchkiss,  R.,  Ill  Fed.,  163;  5  A.  B.  R.,  681. 

Pension  money  exempt  but  subject  to  costs  of  filing  petition.  In  re 
Bean  (1900),  Dist.  Vt.,  Wheeler,  J.,  100  Fed.,  262;  4  A.  B.  R.,  53. 

Under  Georgia  law  exemption  only  allowed  where  the  claimant  comes 
with  clean  hands.  In  re  Williamson  (1901),  N.  Dist.  Ga.,  Newman,  J., 
114  Fed.,  190;  8  A.  B.  R.,  42. 

The  right  to  exemption  is  not  lost  by  bankrupt  withholding  assets 
orhaving  made  fraudulent  transfer.  In  re  Park  (1900) ,  Dist.  Ark.,  Rogers, 
J.,  102  Fed.,  602;  4  A.  B.  R.,  432;  2  N.  B.  N.,  981. 

Fraudulent  concealment  of  property  by  the  bankrupt  does  not  deprive 
him  of  right  to  exemption.  In  re  Rothschild  (1901),  S.  Dist.  Ga., 
Cravatt,  R.;  6  A.  B.  R.,  43. 

Exemptions  vmder  Georgia  law  forfeited  for  fraud  in  concealing  as- 
sets. In  re  Waxelbaum  (1900).  N.  Dist.  Ga.,  101  Fed.,  228;  4  A.  B.  R., 
120;  2  N.  B.  N.,  228. 


§6a.]  EXEMPTIONS  OF  BANKRUPTS.  61 

Exemption  law  of  Georgia~requires  debtor  to  make  fvtll  and  fair  dis- 
closure of  all  his  personal  property.  Omission  to  do  so  in  bankruptcy 
will  forfeit  his  claim  to  exemptions.  In  re  Boorstin  (1902),  N.  Dist.  Ga., 
Newman,  J.,  114  Fed.,  696;  8  A.  B.  R.,  89. 

Property  which  had  been  preferentially  transferred  and  afterwards 
surrendered  to  the  trustee,  becomes  subject  to  the  bankrupt's  claim  for 
exemption.  In  re  Falconer  (1901) ,  C.  C.  A.,  8th  Cir.,  Thayer,  J.,  110  Fed., 
111;6A.  B.  R.,557.  /nr^Talbott  (1902),  Dist.  Mass.,  Lowell,  J.,  116  Fed., 
417;  8  A.  B.  R.,  427. 

The  statute  of  Georgia  forfeits  exemption  in  property  conveyed  in 
fraud  of  creditors.  Where  the  property  was  reconveyed  to  the  grantor, 
who  afterwards  became  bankrupt,  the  old  fraudulent  transfer  is  no 
longer  involved  and  exemption  may  be  claimed.  In  re  Thompson  (1902) , 
S.  Dist.  Ga.,  Spear,  J.,  115  Fed.,  924;  8  A.  B.  R.,  283. 

Exemptions  in  Missovui  cannot  be  allowed  out  of  property  recovered 
by  a  trustee  from  preferred  creditors.  In  re  White  (1900),  W.  Dist.  Mo., 
Phillips,  J.,  103  Fed.,  774;  6  A.  B.  R.,  45. 

Conveyance  of  homestead  vmder  Tenn.  law  which  is  fraudulent  in 
law  but  not  in  fact,  will  not  bar  homestead.  In  re  ToUett  (1900),  C.  C. 
A.,  6th  Circt.,  Lurton,  J.,  105  Fed.,  425;  5  A.  B.  R.,  404. 

In  Tennessee  a  fraudulent  conveyance  bars  the  debtor's  claim  for  home- 
stead. In  re  ToUett  (1900),  E.  Dist.  Tenn.,  Grayson,  R.;  5  A.  B.  R. 
305. 

Exemptions  of  bankrupt  should  be  allowed  if  practicable  by  partition 
If  not,  then  property  should  be  sold  and  exemptions  allowed  out  of  pro- 
ceeds. In  re  Dillon  (1900),  N.  Dist.  Cal.,  DeHaven,  J.,  100  Fed.,  627; 
4  A.  B.  R.,  45. 

When  exemptions  must  be  taken  from  property  incapable  of  division 
without  injury,  the  court  should  order  the  sale  of  the  property  and  pay 
him  his  exemptions  out  of  the  proceeds.  In  re  Grimes  (1899),  W.  Dist. 
N.  C.,  Alexander,  R.,  2  A.  B.  R.,  610;  1  N.  B.  N.,  426. 

State  law  of  exemptions  prevails.  Where  it  allows  a  waiver,  waiver 
sustained  in  bankruptcy.  In  re  Garden  (1899),  N.  Dist.  Ala.,  Bruce,  J., 
93  Fed.,  423;  1  A.  B.  R.,  582;  1  N.  B.  N.,  169. 

Exemptions  where  creditors  have  waiver  of  the  same  -  it  is  duty  of 
bankruptcy  court  to  protect  the  creditor  in  collecting  his  claim  out  of  ex- 
empt property.  In  re  Woodruff,  et  al.  (1899),  S.  Dist.  Ga.,  Spear,  J.,  96 
Fed.  317;  2  A.  B.  R.,  678;  1  N.  B.  N.,  423. 

Although  under  Pennsylvania  statute  an  exemption  may  be  waived 
in  favor  of  the  payee  of  a  note,  yet  a  judgment  on  such  note  avoided  as 
preferential  under  the  act,  destroys  the  benefit  of  the  waiver  of  the  ex- 
emption.    The  creditor  having  proved  claim  as  a  general  creditor  is 


62  EXEMPTIONS  OF  BANKRUPTS.  [§6a. 

lestopped  to  claim  waiver  of  exemptions.    In  re  Bolinger  (1901),  W.  Dist. 
Pa.,  Buffington,  J.,  108  Fed.,  374;  6  A.  B.  R.,  171. 

Holder  of  judgment  note  containing  waiver  of  exemptions  cannot  take 
advantage  of  waiver  in  bankruptcy  unless  note  reduced  to  judgment 
and  execution  issued.  In  re  Brown  (1899),  W.  Dist.  Pa.,  Ransom,  R.; 
1  A.  B.  RsL,  256;  1  N.  B.  N.,230. 

Exemption  may  be  waived  by  bankrupt,  but  is  not  forfeitable.  In 
re  Brown  (1899),  W.  Dist.  Pa.,  Buffington,  J.,  100  Fed.,  441;  4  A.  B.  R., 
46;  2  N.  B.  N.,  590. 

Under  Alabama  law  waiver  of  exemptions  in  note  will  not  bar  the 
claim  for  the  same.  In  re  Moore  (1901),  Mid.  Dist.  Ala.,  Jones,  J.,  112 
Fed.,  289;  7  A.  B.  R.,  285. 

Where  bankrupt  has  waived  his  exemptions  in  lease  and  landlord  has 
destrained,  no  exemptions  can  be  claimed  against  landlord  out  of  the  de- 
strained  property.  In  re  Hover  (1902),  Dist.  Pa.,  Buffington,  J.,  113 
Fed.,  134;  7  A.  B.  R.,  330. 

Under  Virginia  statutes  exemption  will  not  be  allowed  where  it  will  go 
not  to  the  bankrupt's  family,  but  to  those  creditors  who  hold  waivers  of 
the  exemption.  In  re  Gamer  (1902),  W.  Dist.  Va.,  McDowell,  J.,  115 
Fed.,  200;  8  A.  B.  R.,  263. 

Bankrupt  does  not  lose  right  to  exemptions  by  failing  to  claim  on 
an  execution  the  property  afterwards  being  returned  to  the  estate  in 
bankruptcy  he  may  waive  exemptions  as  to  one  creditor  but  does  not 
thereby  as  to  all.  In  re  Osbom  (1900),  W.  Dist.  N.  Y.,  Hazel,  J.,  104 
Fed.,  782;  5  A.  B.  R.,  111. 

Waiver  of  exemptions  discussed  in  re  Becker  (1899),  E.  Dist.  Pa., 
Dunn,  R.;  2  A.  B.  N.,  202. 

Where  bankrupt  has  waived  his  exemptions  in  lease  and  landlord  has 
destrained  no  exemption  can  be  claimed  against  landlord  out  of  the  de- 
strained  property,  hire  Hoover  (1902),  E.  Dist.  Pa.,  Buffington,  J., 
113  Fed.,  136;  7  A,  B.  R.,  330. 

Waiver  of  exemptions  does  not  create  a  lien  on  exempt  property.  In 
re  Hopkins  (1899),  N.  Dist.  Ala.,  Turner,  R.;  1  A.  B.  R.,  209;  1  N.  B. 
N..  171. 

Amendment  .allowed  of  claim  for  exemption  when  made  to  help  the 
bankrupt's  family,  but  not  when  it  would  merely  enure  to  benefit  of  se- 
cured creditor.  In  re  Moran  (1900),  W.  Dist.  Pa.,  Paul,  J.,  105  Fed.,  901; 
5  A.  B.  R.,  472. 

Under  Mass.  law  watch  not  an  article  of  necessary  wearing  apparel. 
In  re  Tumbull  (1901),  Dist.  Mass.,  Lowell,  J.,  106  Fed.,  667;  5  A.  B, 
R.,  549. 


§6  a.]  EXEMPTIONS  OF  BANKRUPTS.  63 

Adjudication  by  state  court  before  bankruptcy  allowing  homestead  ex- 
emption is  res  adjudicata.  In  re  Rhodes  (1901),  N.  Dist.  O.,  Wing,  J., 
109  Fed.,  117;  5  A.  B.  R.,  197. 

Under  the  Kansas  exemption  law  a  plat  of  grotind  containing  less  than 
an  acre  and  having  on  it  several  buildings  not  used  for  dwellings  ex- 
clusvely,  allowed  the  bankrupt's  family  as  exemptions  on  his  decease. 
In  re  Parker  (1899),  Dist.  Kan.,  White,  R.;  1  A.  B.  R.,  70S;  1  N.  B. 
N.,  261. 

Sec.  6  is  controlled  by  Section  70.  In  re  Steele  &Co.  (1899),  S.  Dist. 
la.,  Shiras,  J.,  98  Fed.,  78;  3  A.  B.  R.,  549;  2  N.  B.  N.,  281. 

Exemptions  under  Texas  law — what  constitutes  abandonment  of 
business  homestead.  In  re  Harrington  (1900),  N.  Dist.  Tex.,  Meek, 
J.,  99  Fed.,  390;  3  A.  B.  R.,  639;  1  N.  B.  N.,  613. 

Taxes  on  exempt  property  to  be  paid  out  of  general  fund  in  hands  of 
trustee.  In  re  Tilden  (1899),  S.  Dist.  la.,  Woolson,  J.,  91  Fed.,  500;  1 
A.  B.  R.,  300;  IN.  B.  N.,  134. 

Exemption  laws  to  be  liberally  construed.     Idem. 

Court  to  aid  bankrupt  to  obtain  his  homestead  may  order  a  sale  of 
part  of  his  several  pieces  of  property,  which  are  all  mortgaged,  free  of 
iens.  In  re  Thomas,  Dist,  Wash.,  Handford,  J.  (1899),  96  Fed.,  828; 
3  A.  B.  R.,  99;  1  N.  B.  N.,  551. 

A  diamond  stud  worth  $250  held  to  be  wearing  apparel.     In  re  Smith,  , 
(1899),  W.  Dist.  Tex.,  Maxey,  J.,  93  Fed.,  791;  3  A.  B.  R.,  140;  1  N.  B. 
N.,  532. 

Exemptions  in  Wisconsin  allow  bankrupt  gold  watch  as  wearing  ap- 
parel. In  re  Jones  (1899),  S.  Dist.  Wis.,  Seaman,  J.,  97  Fed.,  773; 
3  A.  B.  R.,  259;  2  N.  B.  N.,  296. 

Construction  of  Wisconsin  statute  covering  exemptions.  In  re  Hoag 
(1899),  W.  Dist.  Wis.,  Bunn,  J.,  97  Fed.,  543;  3  A.  B.  R.,  290. 

Application  by  bankrupt  of  money  in  payment  of  claims  on  exempt 
property  shortly  before  bankruptcy — trustee  will  be  subrogated  to  claim. 
In  re  Boston  (1899),  Dist.  Neb.,  Munger,  J.,  98  Fed.,  587;  3  A.  B.  R.,  38S; 
2N.  B.  N.,19 

Exemptions  under  law  of  State  of  Washington  allowed  and  discussed. 
In  re  Buelow  (1899),  Dist.  Wash.,  Handford,  J.,  98  Fed.,  86;  3  A.  B.  R. 
389;  2  N.  B.  N.,  26. 

Exemption  imder  S.  Carolina  law  discussed.  In  re  McCutchen  (1900) , 
E.  Dist.  So.Car.,Brawley,  J.,  100  Fed.,  779;  4  A.  B.  R.,  81;  2  N.  B.  N.,  636. 

A  watch  not  a  necessary  article  of  wearing  apparel.  In  re  Tumbull 
(1901),  Dist.  Mass.,  Olmstead,  R.;  5  A.  B.  R.,  231;  3  N.  B.  N.,  294. 


64  EXEMPTIONS  OF  BANKRUPTS.  [§6a. 

Gold  watch  and  chain  necessary  wearing  apparel  in  Rhode  Island. 
/«  re  Caswell  (1901),  Dist.  R.  I.,  Barrows,  R.;  6  A.  B.  R.,  718. 

Bankruptcy  act  provides  time  and  manner  of  claiming  exempt  prop- 
erty and  must  be  followed.  Exempt  property  must  be  described  in 
schedules  and  descriptions  must  be  specific  and  definite.  In  re  Groves 
(1901),  N.  Dist.  O.,  Remington.  R.;  6  A.  B.  R.,  728. 

Exemptions  allowed  under  state  process  followed  shortly  by  bank- 
ruptcy. Under  Virginia  law  bankrupt's  wife  may  claim  homestead  as 
head  of  a  family,  although  living  with  her  husband.  Richardson  v.  Wood- 
ward (1900),  C.  C.  A.,  4th  Cir.,  Pumell,  J.,  104  Fed.,  689;  5  A.  B.  R.,  94. 

Exemptions  allowed  under  state  process,  followed  shortly  by  bank- 
ruptcy, cannot  be  claimed  a  second  time.  In  re  Miller  (1899),  W.  Dis. 
Mo.,  Crittenden,  R.;  1  A.  B.  R.,  647;  1  N.  B.  N.,  263. 

Exemptions  of  bankrupt  should  be  allowed  if  practicable  by  parti- 
tion, if  not,  then  property  should  be  sold  and  exemptions  allowed  out 
of  proceeds.  In  re  Diller  (1900).  N.  Dist.  Cal.,  DeHaven,  J.,  100  Fed.,  931; 
4  A.  B.  R.,  45. 

Exemption  being  indivisible  property  should  be  sold  and  exemption 
attach  to  proceeds.  In  re  Oderkirk  (1900),  Dist.  Vt.,  Wheeler,  J.,  103 
Fed.,  779;  4  A.  B.  R.,  617. 

Expenses  of  the  sale  of  indivisible  homestead  are  not  chargeable  to 
the  bankrupt.  In  re  Hopkins  (1900),  Dist.  Vt.,  Wheeler,  J.,  103  Fed., 
781;  4  A.  B.  R.,  619. 

Before  question  of  exemption  can  come  before  the  court,  trustee  must 
be  appointed  and  set  aside  the  exempt  property.  In  re  Smith  (1899), 
W.  Dist.  Tex.,  Maxey,  J.,  93  Fed.,  791;  2  A.  B.  R.,  190. 

Homestead  acquired  while  insolvent  from  proceeds  of  property  un- 
paid for  not  allowable.  Burden  of  proving  solvency  on  banlcrupt.  Mc- 
Gahan  v.  Anderson  (1902),  C.  C.  A.,  4th  Cir.,  Johnson,  J.,  113  Fed.,  115; 
7  A.  B.  R.,  641. 

The  bankruptcy  act  is  not  unconstitutional  by  reason  of  the  exemp- 
tions in  this  section.  Hanover  National  Bank  v.  Moyses  (1902),  U.  S. 
Sup.  Ct.,  Chief  Justice  Fuller,  186  U.  S.,  181,  8  A.  B.  R.,  1. 

Exemption  laws  of  Maryland  considered  and  discussed.  In  re  Beau- 
champ  (1900),  Dist.  Md.,  Morris,  J.,  101  Fed.,  106;  4  A.  B.  R.,  151. 

Exemptions  under  North  Carolina  considered  and  construed.  In  re 
Wilson  (1900),  Dist.  N.  C,  Pumell,  J.,  101  Fed.,  571;  4  A.  B.  R.,  260. 

District  Court  has  no  jurisdiction  over  exemptions  after  allowance. 
In  re  Hatch  (1900),  S.  Dist.  la.,  Shiras,  J.,  102  Fed.,  280;  4  A.  B.  R.,  349; 
1  N.  B.  N.,  293. 


§6  a.]  EXEMPTIONS  OF  BANKRUPTS.  65 

Status  of  property  at  time  of  adjudication  will  determine  whether  it 
is  a  business  homestead  or  not.  In  re  Harrington  (1900),  E.  Dist.  Tex., 
Dillard,  R.,  3  A.  B.  R.,  639;  1  N.  B.  N.,  513. 

Under  Pennsylvania  statute  bankrupt  can  not  claim  his  exemptions 
out  of  the  proceeds  of  a  liquor  license.  In  re  Myers  (1900),  E.  Dist.  Pa., 
Mason,  R.,  4  A.  B.  R.,  536;  2  N.  B.  N.  860. 

Exemptions  under  the  Virginia  law  not  allowed  unless  a  showing  is 
made  by  claimant  that  he  has  a  clean  title.  In  re  Tobias  (1900) ,  W.  Dist. 
Va..  Paul,  J.,  103  Fed.,  68;  4  A.  B.  R.,  555. 

Under  the  New  York  statute  a  single  woman  allowed  her  necessary 
wearing  apparel  as  exempt,  and  what  constitutes  same.  In  re  Stokes 
(1900),  S.  Dist.  N.  Y.,  Wise  R.,  4  A.  B.  R.,  560;  3  N.  B.  N.,  443. 

Homestead  law  of  the  United  States  (U.  S.  Rev.  St.,  Sec.  2296),  giv- 
ing one  hundred  and  sixty  acres  of  land  free  of  prior  debts,  not  dis- 
turbed by  bankruptcy  —  growing  crops  thereon  not  exempt.  In  re 
Daubner  (1899),  Dist.  Ore.,  Bellinger,  J.,  96  Fed.,  805;  3  A.  B.  R.,  368; 
1  N.  B.  N.,  520. 

Under  the  Vermont  law  a  race  horse  not  exempt.  In  re  Libby  (1900), 
Dist.  Vt.,  Wheeler,  J.,  103  Fed.,  776;  4  A.  B.  R.,  615. 

The  rentals  of  exempt  land  of  the  bankrupt  contracted  for  and  accru- 
ing after  adjudication,  do  not  constitute  assets  of  his  estate  in  bankruptcy. 
In  re  Oleson  (1901),  N.  Dist.  la.,  Shiras,  J.,  110  Fed.,  796;  7  A.  B.  R.,  22. 

A  watch  is  a  "tool"  or  "implement  of  trade"  if  value  suitable  for  pur- 
poses and  is  exempt  under  Mass.  law.  In  r^  CoUer  (1901),  Dist.  Mass., 
LoweU,  J.,  Ill  Fed.,  503;  7  A.  B.  R.,  131. 

Temporary  absence  from  homestead  exempt  under  Missouri  law  is 
no  abandonment.     In  re  Lynch  (1899),  W.  Dist.  Mo.,  Crittenden,  R., 

1  A.  B.  R.,  245;  1  N.  B.  N.,  182. 

Facts  under  Kentucky  law  not  showing  abandoning  of  homestead. 
In  re  Carmichael  (1901),  Dist.  Ky.,  Evans,  J.,  108  Fed.,  789;  5  A.  B. 
R.,  551. 

Temporary  leaving  of  homestead  not  an  abandonment.  In  re  Pope, 
S.  Dist.  la.,  Shiras,  J.,  (1900),  98  Fed.,  722;  3  A.  B.  R.,  525;  2  N.  B.  N., 
427. 

Under  the  Vermont  law  one  who  reserved  a  room  in  a  tenement  house 
owned  by  himself,  but  boarded  and  roomed  elsewhere,  can  not  claim  a 
homestead.     In  re  Dawley  (1899),  Dist.  Vt.,  Wheeler,  J.,  94  Fed.,  795; 

2  A.  B.  R.,  496;  1  N.  B.  N.,  528. 

Homestead  exemption  abandoned  by  bankrupt  absconding.  In  re 
Mayer  (1901),  C.  C.  A.,  7th  Cir.,  Woods,  J.,  108  Fed.,  599;  6  A.  B.  R.,  117. 


G6  EXEMPTIONS  OF  BANKRUPTS.  [§6a. 

Under  the  California  statute  a  farmer,  who  temporarily  changes  his 
occupation  with  no  intention  of  a  pennanent  abandonment  of  it,  can  claim 
his  exemptions  after  his  adjudication.  In  re  Fly  (1901),  S.  Dist.  Cal., 
Wellborn,  J.,  110  Fed.,  141;  6  A.  B.  R.,  550. 

A  lien  on  exempt  property  is  subject  to  the  jurisdiction  of  the  state 
court  solely.  Powers  Dry  Goods  Co.  v.  Nelson  (1901),  Sup.  Ct.  N.  Dak., 
7  A.  B.  R.,  506 

Exemption  law  of  Pennsylvania  construed.  In  re  Manning  [(1902), 
E.  Dist.  Pa.,  McPherson,  J.,  112  Fed.,  948;  7  A.  B.  R.,  571. 

Where  the  value  of  the  homestead  does  not  appear  to  be  more  than  the 
exemption  then  the  whole  should  be  set  over  to  the  bankrupt.  In  re 
Gibbs  (1900),  Dist.  Vt.,  Wheeler,  J.,  109  Fed.,  627;  4  A.  B.  R.,  619. 

Exemption  allowed  in  Vermont  out  of  an  estate  of  tenancy  by  courtesy. 
In  re  Marquette  (1900),  Dist.  Vt.,  Wheeler,  J.,  103  Fed.,  777;  4  A.  B.  R., 
623. 

Where  dispute  between  bankrupt  and  trustee  as  to  the  value  of  prop- 
erty claimed  as  exempt  under  the  Georgia  law,  property  should  be  offered 
at  public  sale.  In  re  Lynch  (1900),  S.  Dist.  Ga.,  Speer,  J.,  101  Fed., 
579;  4  A.  B.  R.,  262. 

In  California,  horse  and  wagon  used  by  painter  in  carrying  his  material 
is  exempt — such  painter  to  be  considered  a  laborer.  In  re  Hindman 
(1900),  C.  C.  A.,  9th  Cir.,  Hawley,  J.,  104  Fed.,  331;  5  A.  B.  R.,  20. 

Exemption  of  policy  of  insurance  by  state  law  prevails  in  bankruptcy 
Steele  v.  Buell  et  al.  (1900),  C.  C.  A.,  8th  Cir.,  CaldweU,  J.,  104  Fed., 
968;  5  A.  B.  R.,  165. 

In  Vermont  a  homestead  exemption  which  is  subject  to  claims  prior 
to  the  exemptions  will  be  sold  by  the  bankruptcy  court  in  such 
parts  as  will  pay  the  claims  free  of  the  homestead.  In  re  Gordon 
(1902),  Dist.  Vt.,  Wheeler,  J.,  115  Fed.,  445;  8  A.  B.  R.,  255. 

Duty  of  court  of  bankruptcy  to  protect  exempt  property  from  attach- 
ment of  liens,  which  would  nullify  the  policy  of  the  law.  In  re  Tune 
(1902),  N.  Dist.  Ala.,  Jones,  J.,  115  Fed.,  906;  8  A.  B.  R.,  285. 

A  preferential  mortgage  covering  property  which  might  have  been 
claimed  as  exempt,  cannot  be  sustained  as  to  such  property,  as  the  right 
of  exemption  is  personal  to  the  bankrupt  and  cannot  pass  to  another. 
In  re  SchuUer  (1901),  E.  Dist.  Wis.,  Seaman,  J.,  108  Fed.,  591;  6  A.  B. 
R.,  278. 

Under  the  Virginia  law  the  bankrupt  must  designate  the  particular 
claims  claimed  as  exempt.  In  re  Wilson  (1901),  W.  Dist.  Va.,  Paul,  J., 
lOSFed.,  197;6A.  B.  R.,  287. 

Under  Florida  statute  a  bankrupt  who  has  carried  on  business  imder 


§6a]  EXEMPTIONS  OF   BANKRUPTS.  67 

a  corporate  name  may  claim  exemptions  out  of  the  assets.  In  re  Car- 
penter (1901),  C.  C.  A.,  5th  Cir.,  McCormick,  J.,  109  Fed.,  558;  6  A.  B. 
R.,  465. 

Under  Pennsylvania  statute  no  exemption  allowed    in  cash.     In  re 

Haskin  (1901),  E.  Dist.  Pa.,  McPherson,  J.,  109  Fed.,  789;  6  A.  B.  R.,  485. 

What  constitutes  "head  of  family"  under  Arkansas  statute,  discussed. 

In  re  Morrison  (1901),  E.  Dist.  Ark.,  Trieber,  J.,  110  Fed.,  734;  6  A.  B. 
R.,  488. 

Under  Missouri  lawclaims  existing  prior  to  acquisition  of  homestead 
are  superior  to  exemption.  In  re  Stout  (1900),  W.  Dist.  M.  Phillips,  J., 
109  Fed.,  794;  6  A.  B.  R.,  505. 

Exemptions  under  Mass.  insolvency  law  favorable  to  bankrupt  not 
allowed  under  bankruptcy  law,  as  insolvency  law  suspended  in  its  opera- 
tion. In  re  Anderson  (1901),  Dist.  Mass.,  Lowell,  J.,  110  Fed.,  141;  6 
A.  B.  R.,  555. 

No  jurisdiction  in  plenary  suits  to  adjust  liens  on  exempt  property  by 
creditors — trustee  has  no  title  to  exempt  property.  Woodruff  v.  Chesere 
(1901),  C.  C.  A.,  5th  Cir       McCormick,  J.,  105  Fed.,  601;  5  A.  B.  R.,  296. 

Title  to  exempt  property  does  not  pass  to  trustee — bankruptcy  court 
cannot  pass  on  exempt  property.  In  re  Wells  (1900),  W.  Dist.  Ark., 
Rogers,  J.,  105  Fed.,  762;  5  A.  B.  R.,  308. 

Exemptions  must  be  carried  out  as  provided  by  state  law — the  bank- 
ruptcy court  will  not  settle  claims  adverse  to  the  exemption,  but  will 
relegate  the  party  to  the  state  court.  In  re  Ogilvie,  S.  Dist.  Ga.,  Mac- 
donell,  R.  (1900) ;  5  A.  B.  R.,  374. 

Exemption  laws  must  be  liberally  construed.  In  re  Tilden  (1899), 
S.  Dist.  la.,  Woolson,  J.,  91  Fed.,  500;  1  A.  B.  R.,  300;  1  N.  B.  N.,  134. 

Construction  of  exemption  laws  of  State  Court  will  be  followed.  In 
re  Stone  (1902)  E.  Dist.  Ark.  Trieber  J.     116  Fed.  35;  8  A.  B.  R.  416: 

Established  rules  of  construction  prevail  where  State  Courts  have  not 
passed  on  exemption  laws.  Richardson  vs.  Woodward  (1900) ;  C.  C.  A. 
4th  Pumell  J.  104  Fed.  878;  5  A.  B.  R.  94;  In  re  Beauchamp  (1900) 
Dist.  Md.  Morris  J.  101  Fred.  106;  4  A.B.  R.  151. 

Bankrupt  acting  in  good  faith  may  change  his  homestead  within  foiu- 
months  under  Kansas  law.  Huenergardt  v.  Brittain  Dry  Goods  Co.  (1902), 
C.  C.  A.,  8th  Cir.,  Thayer,  J.,  116  Fed.,  31;  8  A.  B.  R.,  341. 

In  allowing  exemptions  out  of  a  stock  of  merchandise  the  prevailing 
cost  to  trade  should  be  adopted  by  appraisers.  In  re  Prager  (1902), 
Dist.  Colo.,  Harrison,  R.,  8  A.  B.  R.,  356. 

Creditor  who  has  had  notice  cannot  contest  claim  for  exemption  af- 


68  EXEMPTIONS  OF  BANKRUPTS.  [§6a. 

ter  discharge.     In  re  Ruse  (1902),  N.    Dist.  Ala.,  Jones,  J.,  115  Fed., 
993;  8  A.  B.  R.,  411. 

Arkansas  law  construed — construction  of  State  law  by  highest  court 
of  state  binding  on  bankuptcy  court.  In  re  Stone  (1902),  E.  Dist.  Ark., 
Trieber,  J.,  116  Fed.,  35;  8  A.  B.  R.,  416. 

Exemptions  claimed  from  property  recovered  by  trustee  from  assign- 
ee under  general  assignment.  In  re  Talbot  (1902),  W.  Dist.  Ga.,  Speer, 
J.,  116  Fed.,  417;  8  A.  B.  R.,  427. 

"Perfect  good  faith"  defined  as  relating  to  homestead  exemptions 
under  Georgia  law.  In  re  West  (1902),  N.  Dist.  Ga.,  Newman,  J.,  116 
Fed.,767;8A.  B.  R.,564. 

Bankruptcy  court  no  further  jurisdiction  over  exempt  property  than 
necessary  to  set  aside  and  dispose  of  questions  incident  thereto.  In  re 
Jackson  (1902),  E.  Dist.  Pa.,  McPherson,  J.,  116  Fed.,  46;  8  A.  B.  R.,  594. 

Duty  of  bankrupt  vmder  Indiana  law  to  disclose  exemptions  in  gar- 
nishment proceedings.  In  re  Beak  (1902),  Dist.  Ind.,  Baker,  J.,  116  Fed., 
530;  8  A.  B.  R.,  639. 

Bankrupt  denied  his  exemptions  out  of  recovered  preference.  In  re 
Evans  (1902),  E.  Dist.  N.  C,  Pumell,  J.,  116  Fed.,  909;  8  A.  B.  R.,  730. 

Costs  of  the  proceedings  should  be  deducted  from  exemptions.  In  re 
Hines  (1902),  S.  Dist.  W.  Va.,  Keller,  J.,  117  Fed.,  790;  7  A.  B.   R.,  27. 

Bankrupt  may  not  be  allowed  his  exemption,  or  any  part  out  of  a 
fund  produced  by  a  sale  of  personal  property  by  his  assignee.  In  re 
Staunton  (1902),  E.  Dist.  Pa.,  McPherson,  J.,  117  Fed.,  507;  9  A.  B. 
R.,79. 

Business  Aomestead  which  has  been  abandoned  may  not  be  claimed 
as  exempt  tmder  Texas  law.  In  re  Flannagan  (1902),  W.  Dist.  Texas, 
Maxey,  J.,  117  Fed.,  695;  9  A.  B.  R.,  140. 

A  fraudulent  assignment  under  the  law  of  Pennsylvania  bars  exemp- 
tions. In  re  Yost  (1902),  Middle  Dist.  Pa.,  Archbald,  J.,  117  Fed.,  792; 
9  A.  B.  R.,  153. 

Exempt  property  not  subjected  to  lien  of  purchase  price  vmder  Iowa 
law.     In  re  Seydel  (1902),  N.  Dist.  la.,  Shiras,  J.,  118  Fed.,  207. 

Under  Iowa  law  one  homestead  allowed  to  be  exchanged  for  another — 
exemption  will  attach  to  the  proceeds  of  sale  of  the  old  before  the  new 
was  acquired.  In  re  Johnson  (1902),  N.  Dist.  la.,  Shiras,  J.,  118  Fed., 
312. 

Under  Pennsylvania  law  exemptions  must  be  claimed  out  of  specific 
property — not  generally  as  to  amoxmt.  In  re  Duffy  (1902),  Middle  Dist. 
Pa.,  Archbald,  J.,  118  Fed.,  926. 


§7  a.]  DUTIES  OF   BANKRUPTS.  69 

Exemptions  not  lost  by  the  bankrupt's  assignment  for  the  benefit 
of  creditors  which  was  surrendered  to  the  trustee,  the  assignment  not 
being  fraudulent.  Bashinski  v.  Talbot  (1902),  C.  C.  A.,  5th  Cir.,  Shelby, 
J.,  119  Fed.,  337. 

Improvement  on  Indian  lands  allowed  bankrupt  Indian.  In  re  Gray- 
son (1901),  Sup.  Ct.,  Ind.  Ter.,  61  S.  W.,  984. 

This  section  controlled  by  Sec.  70a  (5).  In  re  Scheld  (1900),  C.  C.  A., 
9th,  Ross,  J.,  104  Fed.,  870;  5  A.  B.  R.,  102.  In  re  Holden  (1902) ,  C.  C.  A., 
9th  Cir.,  McKenna,  J.,  113  Fed.,  141;  7  A.  B.  R.,  615;  contra  Steele  v.  Buel 
(1900),  C.  C.  A.,  8th  Cir.,  Caldwell,  J.,  104  Fed.,  968;  5  A.  B.  R.,  165. 

Exemption  laws  of  Georgia  construed.  In  re  Swords  (1901),  N 
Dist.  Ga.,  Newman,  J.,  112  Fed.,  661;  7  A.  B.  R.,  436. 

Pennsylvania  statute  construed  as  to  exemption  note.  Miller  v. 
Black  (1901),  10  Pa.  Dist.,  255. 

As  to  amendments  of  schedules  claiming  exemptions,  see  notes  to 
Sec.  7  (8),  post. 

Sec.  7.    Duties  of  Bankrupts. 

a  [Attend  meetings  and  hearing.]  The  bankrupt  shall 
(1)  attend  the  first  meeting  of  his  creditors,  if  directed  by  the 
court  or  a  judge  thereof  to  do  so,  and  the  hearing  upon  his 
application  for  a  discharge,  if  filed ; 

For  definition  of  bankrupt  see  Sec.  1  (4)  and  notes,  ante. 

As  to  meetings  of  creditors,  see  Sec.  55,  post,  and  notes. 

As  to  discharge,  see  Sec.  14,  post.  As  to  hearings  on  application  for 
discharges  see  Sec.  14b,  and  notes,  post. 

(2)  [Comply  with  orders.]  Comply  with  all  lawful 
orders  of  the  court ; 

Court  may  include  the  referee.     Sec.  1,  sub.  (7),  ante,  and    notes. 

As  to  duties  of  persons  in  proceedings  before  referees,  see  Sec.  41,  post, 
and  notes.  As  to  how  contempts  before  referees  are  pvmished,  see  Sec. 
41b  and  notes.  Contempt  in  refusing  to  obey  orders  to  surrender  assets 
Sec.  2  (13)  and  notes,  ante. 

(3)  [Examine  proofs  of  claims.]  Examine  the  correct- 
ness of  all  proofs  of  claims  filed  against  his  estate ; 

As  to  proof  of  claims  see  Sec.  57  and  notes.  Also  Gen.  Ord.  XXI, 
post. 


70  DUTIES  OP  BANKRUPTS.  [§7a. 

(4)  Execute  and  deliver  papers.]  Execute  and  deliver 
such  papers  as  shall  be  ordered  by  the  court; 

"Cotirt"  may  include  the  referee  Sec.  1  (7)  and  notes,  ante. 

(5)  Execute  transfers.]  Execute  to  his  trustee  transfers 
of  all  his  property  in  foreign  countries ; 

As  to  title  to  property  vesting  in  the  trustee  see  Sec.  70a  and  notes. 
post. 

(6)  [Inform  trustee  of  evasions  of  law.]  Immediately 
inform  his  trustee  of  any  attempt,  by  his  creditors  or  other 
persons,  to  evade  the  provisions  of  this  Act,  coming  to  his 
knowledge ; 

As  to  offences  tinder  this  act,  see  Sec.  29  and  notes,  post. 

(7)  [Disclose  false  claim.]  In  case  of  any  person  having 
to  his  knowledge  proved  a  false  claim  against  his  estate, 
disclose  that  fact  immediately  to  his  trustee; 

Duty  of  bankrupts  to  assist  in  contesting  spimous  claims — suflBciency 
of  objection — practice.  In  re  Ankeny  (1900),  N.  Dist.  la.,  Shiras,  J., 
100  Fed.,  614;  4  A.  B.  R.,  72;  2  N.  B.  N.,  349. 

As  to  punishment  for  presenting  false  claim  see  Sec.  29b  (3) ,  and  notes. 

(8)  [Prepare  and  file  schedules.]  Prepare,  make  oath 
to,  and  file  in  court  within  ten  days,  unless  further  time 
is  granted,  after  the  adjudication,  if  an  involuntary  bank- 
rupt, and  with  the^petition)  if  a  voluntary  bankrupt,  a 

^schedule  of  his  prof^erty,  showing  the  amount  and  kind  of 
property,  the  location  thereof,  its  money  value  in  detail) 
and  aflist  of  his  cr^itors,  showing  their  residences,  if  known, 
if  tmknown,  the  fact  to  be  stated,  the  amounts  due  each  of 
them,  the  consideration  thereof ,Hhe  security  held  by  them 
if  any,  and  a  claim  for  such  exen^tions  as  he  may  be  en- 
titled to,  all  in  triplicate,  one  copy  of  each  for  the  clerk,  one 
for  the  referee,  and  one  for  the  trustee ;  and 

Amendment  of  schedules.  Gen.  Ord.  XI.  As  to  Schedules  in  involun- 
tary bankruptcy,  see  Gen.  Ord.  IX  and  notes.     As  to  frame  of  Schedules 


§7  a.]  DUTIES  OF   BANKRUPTS.  71 

see  Gen.  Ord.  V.     As  to  form  of  Schedules,  see  Form  No.  1  and  Schedules. 
As  to  exemptions  see  Sec.  6  and  notes  ante. 

Bankrupt  in  involuntary  cases  may  be  attached  for  failure  to  furnish 
schedules.     Gen.   Order  VIII,  post. 

Scheduling  debts  barred  by  the  statute  of  limitations  does  not  revive 
them  and  make  them  provable  against  the  estate.  In  re  Resler  (1899), 
Dist.  Minn.,  Marriman,  R.,  95  Fed.,  804;  2  A.  B.  R.,  166;  1  N.  B.  N.,  280. 

Property  acquired  by  the  bankrupt  since  the  fiUng  of  the  original  pe- 
tition and  prior  to  adjudication  is  not  such  property  as  is  required  to  be 
scheduled.  In  re  Harris  (1899),  N.  Dist.  111.,  Wean,  R.,  2  A.  B.  R.,  359; 
l.N.   B.  N.,  384. 

Quaere:  Can  corporation  in  which  bankrupt  is  a  stockholder  be  com- 
pelled to  furnish  lists  of  stockholders  with  date  of  becoming  stockholders. 
In  re  Post  (1899),  N.  Dist.  O.,  Fisher,  R.;  1  N.  B.  N.,  294. 

A  vested  remainder  by  will  should  be  scheduled.     In  r^Shenberger 
(1900),  N.  Dist.  O.,  Ricks,  J.,  102  Fed.,  978;  4  A.  B.  R.,  487;  2  N.B.  N. 
783. 

Schedules  should  state  the  street  and  ntmiber,  addresses  of  creditors, 
else  they  will  be  defective.  In  re  Brumelkamp  (1899),  N.  Dist.  N.  Y., 
Stone,  R.,  2  A.  B.  R.,  318;  1  N.  B.  N.,  360. 

Printed  forms  must  be  used.  Mahoney  v.  Ward  (1900),  E.  Dist.  N. 
C,  Pumell,  J.,  100  Fed.,  278;  3  A.  B.  R.,  770. 

Bankrupt  must  schedule  all  his  property.  In  re  Becker  (1901),  N. 
Dist.  N.  Y.,  Coxe.  J.,  106  Fed.,  54;  5  A.  B.  R.,  438. 

Exempt  property  should  be  scheduled  and  claimed  as  exempt.  In  re 
Bean  (1900),  Dist.  Vt.,  Wheeler,  J.,  100  Fed.,  262;  4  A.B.  R..  53.  In  re 
Todd   (1901),  S.  Dist.  N.  Y.,  Brown,  J.,  112  Fed.,  315;  6  A.  B.  R.,  88.    ; 

Scheduling  a  claim  barred  by  the  statute  of  limitations  does  not  revive 
it.  In  re  Resler  (1899),  Dist.  Minn.,  Lochren,  J.,  95  Fed.,  804;  2  A.  B.  R., 
602;  1  N.  B.  N.,  280. 

Where  schedule  named  certain  parties  as  creditors  the  defense  of 
statute  of  limitations  against  such  creditors  was  thereby  waived  so  far 
as  the  bankrupt  personally  was  concerned.  In  re  Gibson  (1902),  Indian 
Ter.,  Clayton,  J.,  69  S.  W.,  974. 

Debts  not  scheduled  not  discharged.  In  re  Monroe  (1902) ,  Dist.  Wash. , 
Handford,  J.,  114  Fed.,  398;  7  A.  B.  R.,  706. 

Schedules  must  show  the  amounts  due  creditors.  In  re  Schiller  (1899) , 
W.  Dist.  Va.,  Paul,  J.,  96  Fed.,  400;  2  A.  B.  R.,  704. 

Verification  must  be  by  the  bankrupt  and  clearly  show  that  fact.  In  re 
Blankfein  (1899),  S.  Dist.  N.  Y.,    Brown,   J.,  97   Fed.,  191;  3  A.  B.  R., 


72  DUTIES  OF  BANKRUPTS.  [§7a. 

165.     In  re  Brumelkamp  (1899),  N.  Dist.  N.  Y.,  Coxe,  J.,  95  Fed.,  814; 
2  A.  B.  R.,  318. 

Amendment  of  schedules  allowed.  In  re  Royal  (1901),  E.  Dist.  N.  C, 
Purnell,  J.,  112  Fed.,  135;  7  A.  B.  R.,  106.  In  re  Slingluff  (1900),  Dist 
Md.,  Morris,  J.,  105  Fed.,  502;  5  A.  B.  R.,  76.  In  re  Beerman  (1901),  N." 
Dist.  Ga.,  Ne-«vTnan,  J.,  112  Fed.,  662;  7  A.  B.  R.,  431.  In  re  Falconer 
(1901),  C.  C.  A.,  8th  Cir.,  Thayer,  J.,  110  Fed.,  Ill;  6  A.  B.  R.,  557.  In 
re  Bean  (1900),  Dist.  Vt.,  Wheeler,  J.,  110  Fed.,  262;  4  A.  B.  R.,  53.  In 
re  LaughHn  (1899),  N.  D!st.  la.,  Shiras,  J.,  96  Fed.,  589;  3  A.  B.  R.,  1 
7»reMcFaun  (1899),  N.  Dist.  la.,  Shiras,  J.,  96  Fed.,  592;  3  A.  B.  R.,  66. 

Further  exemptions  not  allowed  by  amendment.  In  re  Moran  (1900), 
W.  Dist.  Va.,  Paul,  J.,  105  Fed.,  901;  5  A.  B.  R.,  472;  affirmed  in  Moran 
V.  King  (1901),  C.  C.  A.,  4th  Cir.,  Boyd,  J.,  Ill  Fed.,  730;  7  A.  B.  R.,  176. 

(9)  [Submit  to  examinations.]  When  present  at  the 
first  meeting  of  his  creditors,  and  at  such  other  times  as  the 
court  shall  order,  submit  to  an  examination  concerning  the 
conducting  of  his  business,  the  cause  of  his  bankruptcy,  his 
dealings  with  his  creditors  and  other  persons,  the  amount, 
kind,  and  whereabouts  of  his  property,  and,  in  addition,  all 
matters  which  may  affect  the  administration  and  settlement 
of  his  estate ;  but  no  testimony  given  by  him  shall  be  offered 
in  evidence  against  him  in  any  criminal  proceeding. 

Provided,  however.  That  he  shall  not  be  required  to  attend 
a  meeting  of  his  creditors,  or  at  or  for  an  examination  at  a 
place  more  than  one  hundred  and  fifty  miles  distant  from 
his  home  or  principal  place  of  business,  or  to  examine  claims 
except  when  presented  to  him,  unless  ordered  by  the  court, 
or  a  judge  thereof,  for  cause  shown,  and  the  bankrupt  shall 
be  paid  his  actual  expenses  from  the  estate  when  examined 
or  required  to  attend  at  any  place  other  than  the  city, 
town,  or  village  of  his  residence. 

Refusal  to  submit  to  examination  contempt,  Sec.  41a  (4),  post.  As 
to  examination  on  question  of  solvency.  Sec.  3d.  ante.  As  to  meetings 
of  creditors,  see  Sec.  55b.  Form  of  order  for  examination  of  bankrupt. 
Form  No.  28.  See  also  Sec.  21  and  notes  ante.  Referee  may  examine 
bankrupt,  or  cause  him  to  be  examined  at  instance  of  any  creditor,  Sec. 
65,  post,  and  notes. 


§7  a.]  DUTIES  OF   BANKRUPTS.  73 

Witness  may  not  be  compelled  to  testify  concerning  gambling.  In 
re  Feldstein  (1900),  S.  Dist.  N.  Y.,  Brown,  J.,  103  Fed.,  269;  4  A.  B.  R., 
321;  2  N.   B.   N.,  982. 

Bankrupt  may  not  be  compelled  to  answer  incriminating  questions — 
however  it  seems  he  may  not  claim  the  benefit  of  a  discharge  thereafter. 
In  re  Hathhom  (1900),  E.  Dist.  La.,  Gurley,  R.,  2  A.  B.  R.,  298;  1  N.  B. 
N.,   361. 

Bankrupt  may  not  be  required  to  give  testimony  which  may  incrimi- 
nate him.  In  re  Scott  (1899),  W.  Dist.  Pa.,  Buffington,  J.,  95  Fed.,  815; 
1  A.  B.  R.,  49;  1  N.  B.  N.,  161. 

Examination  of  bankrupt  may  be  held  after  discharge,  if  within  the 
year.  In  re  Peters  (1899),  Dist.  Mass.,  Olmstead,  R.,  1  A.  B.  R.,  248; 
1  N.  B.  N.,  165. 

Where  bankrupt  is  no  longer  in  jeopardy  by  reason  of  a  conviction, 
no  further  protection  is  needed  and  he  may  be  compelled  to  answer  ques- 
tons  which  otherwise  might  be  incriminating.  In  re  Franklin  S5mdicate 
(1900),  E.  Dist.  N.  Y.,  Thomas,  J.,  101  Fed.,  402;  4  A.  B.  R.,  511;  2  N. 
B.  N.,  522. 

The  evidence  taken  under  the  examination  tmder  this  section  can  not 
be  used  on  objections  to  discharge.  In  re  Marx,  et  al.,  (1900),  Dist.  Ky. 
Evans,  J.,  102  Fed.,  676;  4  A.  B.  R.,  521. 

Creditors  who  were  not  present  at  first  meeting  of  creditors  are  entitled 
to  examine  the  bankrupt,  on  giving  statutory  notice  without  filing  speci- 
fications of  objections  to  discharge.  Costs  of  notices  and  examination 
taxed  against  examining  creditors.  In  re  Price  (1899),  S.  Dist.  N.  Y., 
Brown,  J.,  91  Fed.,  635;  1  A.  B.  R.,  419;  1  N.  B.  N.,  131. 

Bankrupt  may  not  be  examined  as  to  circumstances  of  an  assignment 
for  benefit  of  creditors,  unless  foundation  laid  for  the  belief  that  property 
was  concealed  at  the  time  of  assignment  and  still  is  concealed  by  him. 
In  re  Hayden  (1899),  S.- Dist.  N.  Y.,  Locke,  J.,  96  Fed.,  199;  1  A.  B.  R., 
670;  1  N.  B.  N.,  265. 

Bankrupt  can  not  refuse  to  produce  books  of  account  on  ground  that 
they  contain  incriminating  evidence.  In  re  Sapiro  (1899),  E.  Dist.  Wis., 
Seaman,  J.,  92  Fed.,  340;  1  A.  B.  R.,  296;  1  N.  B.  N..  136. 

A  creditor  who  is  listed  as  such  by  a  bankrupt,  may  examine  the  bank- 
rupt before  filing  proof  of  claim.  In  re  Walker,  Dist.  N.  Dak.,  Amidoni 
J.,  96  Fed.,  550;  3  A.  B.  R.,  35;  1  N.  B.  N.,  510. 

Bankrupt  required  to  attend  for  examination  wherever  reasonably 
necessary.  In  re  Mellen  (1899),  S.  Dist.  N.  Y.,  Brown,  J.,  97  Fed.,  326; 
3  A.  B.  R.,  226;  2  N.  B.  N.,  69. 

Examination  of  bankrupt  and  witnesses  takes  wide  latitude.     Books 


74  bUTlES  OP  BANKRUPTS.  t§7a. 

of  corporation  in  which  bankrupt  is  interested  may  be  produced.  In  re 
Horgan  &  Slattery  (1900),  C.  C.  A.,2nd  Cir.,  Opinion  by  Wallace,  J.,  98 
Fed.,  414;  3  A.  B.  R.,  253;  2  N.  B.  N.,  233. 

Transactions  prior  to  the  passage  of  the  act  will  be  investigated  if  tend- 
ing to  show  fraud  occurring  subsequent.  In  re  Headley  (1899) ,  W.  Dist. 
Mo.,  Phillips,  J.,  97  Fed.,  765;  3  A.  B.  R.,  272;  2  N.  B.  N.,  250. 

This  section  construed  and  bankrupt  held  bound  to  testify.  Mackel 
V.  Rochester  (1900),  C.  C.  A.,  9th  Cir.,  Marrow,  J.,  102  Fed.,  314;  4  A., 
B.  R.  1;  2  N.  B.  N.,  880. 

Bankrupt  must  submit  to  examination  at  the  instance  of  his  trustee 
as  to  the  affairs  and  transactions  connected  with  the  bankrupt  estate. 
In  re  WestfaU  &  Bros.  &  Co.  (1902),  W.  Dist.  Cal.,  Wise,  R.;  8  A.  B.  R., 
431. 

Books  and  papers  of  a  bankrupt  corporation  may  not  be  used  on  in- 
dictment against  officers  of  a  corporation  to  criminate  them,  where  the 
books  and  papers  were  taken  from  them  by  receiver.  People  v.  Swartz 
and  Greenherg  (1902),  Kavanaugh,  J.;  8  A.  B.  R.,  487. 

Bankrupt  not  compelled  to  testify  or  to  turn  over  his  books  and  papers, 
where  it  is  claimed  by  so  doing  he  would  be  furnishing  evidence  which 
would  avail  in  a  criminal  charge  pending — constitutional  privilege  can 
not  be  invoked  where  the  evidence  could  not  possibly  injure  him.  In 
re  Kauter  &  Cohen,  S.  Dist.  N.  Y.,  Adams,  J.,  117  Fed.,  356;  9  A.  B.  R., 
104. 

Examination  of  bankrupt  not  limited  to  four  months  preceding  bank- 
ruptcy. In  re  Brtmdage  (1900),  N.  Dist.  la.,  Shiras,  J.,  100  Fed.,  613; 
4  A.  B.  R.,  47;  compare  In  re  Hayden  (1899),  S.  Dist.  N.  Y.,  Locke, 
J.,  96  Fed.,  199;  1  A.  B.  R.,  670. 

Bankrupt  having  voluntarily  moved  out  of  jurisdiction  of  court  while 
proceedings  pending  therein,  must  pay  his  own  expense  on  returning  for 
examination.  In  re  Groves  (1901),  N.  Dist.  O.,  Remington,  R.;  6  A. 
B.  R.,  732. 

Effect  of  the  protection  of  the  statute  extends  only  to  prosecutions 
in  the  federal  courts.  In  re  Nachman  (1902),  Dist.  S.  C,  Brawley,  J., 
114  Fed.,  995;  8  A.  B.  R.,  180. 

The  constitutional  privilege  to  refuse  to  answer  questions  tending  to 
incriminate  may  be  raised  by  plea  to  petition  of  trustee  to  compel  bank- 
rupt to  disclose  and  turn  over  assets.  In  re  Glassner,  Snyder  &  Co. 
(1902),  Dist.  Md.,  Brinton,  R.,  8  A.  B.  R.,  184. 

Bankrupt  not  compelled  to' answer  questions  which  may  tend  to  crimi- 
nate him.  In  re  Rosser  (1899),  E.  Dist.  Mo.,  Rogers,  J.,  96  Fed.,  305; 
2  A.  B.  R.,  755;  1  N.  B.  N.,  469. 


§8 a.]  DEATH  OR  INSANITY  OF   BANKRUPTS.  75 

The  bankrupt  may  not  be  compelled  to  answer  incriminating  questions. 
In  re  Rosser  (1899),  E.  Dist.  Mo.,  Rogers,  J.,  96  Fed.,  305;  2  A.  B.  R., 
755;  IN.  B.  N.,  469. 

Duty  of  bankrupt  to  make  a  full  and  fair  disclosure  of  all  his  business. 
In  re  Grossman  (1901),  E.  Dist.  Mich.,  Swan,  J.,  Ill  Fed.,  507;  6  A. 
B.  R.,  510. 

Creditor  need  not  file  his  claim  before  examining  bankrupt.  In  re 
Walker  (1899),  Dist.  N.  Da.,  Amidon,  J.,  96  Fed.,  550;  3  A.  B.  R.,  35; 
In  re  Jehu    (1899),   N.  Dist.  la.,    Shiras,  J.,  94  Fed.,  638;  2  A.  B.  R.,  498 

Bankrupt  must  attend  and  submit  to  examination  on  all  reasonable 
occasions.  In  re  Lewensohn  (1900),  S.  Dist.  N.  Y.,  Brown,  J.,  99  Fed., 
73;  3  A.  B.  R.,  299. 

Bankrupt  not  protected  on  cross-examination  of  matter  he  has 
voltmteered.  In  re  Walsh  (1900),  S.  Dist.  Ohio,  Thompson,  J.,  104 
Fed.,  518;  4  A.  B.  R.,  693. 

Bankrupt's  counsel  should  not  participate  in  examination.  In  re 
Kross  (1899),  S.  Dist.  N.  Y.,  Brown,  J.,  96  Fed.,  816;  3  A.  B.  R.,  187;  1 
N.  B.  N.,  566. 

Bankruptcy  act  gives  no  immunity,  except  on  matter  of  bankrupts' 
testimony.  In  re  Smith  (1902),  S.  Dist.  N.  Y.,  Adams,  J.,  112  Fed., 
509;  7  A.  B.  R.,  213. 

Sec.   8.     Death  or  Insanity  of   Bankrupts. 

a  [Not  to  abate  proceedings.]  The  death  or  insanity  of 
a  bankrupt  shall  not  abate  the  proceedings,  but  the  same 
shall  be  conducted  and  concluded  in  the  same  manner,  so 
far  as  possible,  as  though  he  had  not  died  or  become  insane : 
Provided,  That  in  case  of  death  the  widow  and  children 
shall  be  entitled  to  all  rights  of  dower  and  allowance  fixed 
by  the  laws  of  the  State  of  the  bankrupt's  residence. 

See  General  Equity  Rule  87  as  to  the  appointment  of  guardian  and 
prochein  ami. 

Death  of  bankrupt  will  not  stop  proceedings  on  objections  to  discharge. 
In  re  Parker  (1899),  Dist.  Kan.,  White,  R.;  1  A.  B.  R.,  615;  1  N.  B. 
N.,  1.  40. 

Death  of  bankrupt  before  adjudication  could  not  abate  suit  in  invol- 
untary case.  In  re  Hicks  (1901),  Wheeler,  J.,  Dist.  Vt.,  107  Fed.,  910; 
6  A.  B.  R.,  182. 

This  section  applies  to  a  corporation  voluntarily  seeking  a  dissolution. 


76  PROTECTION  AND  DETENTION  OF   BANKRUPTS.       [§9a. 

Scheuer  v.  Smith,  etc.,  Co.(1901),  C.  C.  A.,  5th  Cir.,  Pardee,  J.,  112  Fed., 
407;  7  A.  B.  R.,  384. 

Exemptions  of  deceased  bankrupt  pass  to  his  administrator.  In  re 
Seabolt  (1902),  W.  Dist.  N.  C,  Boyd,  J.,  113  Fed.,  766;  8  A.  B.  R.,  57. 

Dower  in  bankrupt's  real  estate  preserved  to  widow.  In  re  Shaeffer 
(1900),  E.  Dist.  N.  C,  Pumell,  J.,  105  Fed.,  352;  4  A.  B.  R.,728. 

Guardian  of  limatic  bankrupt  appointed.  In  re  Burka  (1901),  W. 
Dist.  Tenn.,  Hammond,  J.,  107  Fed.,  674;  5  A.  B.  R.,  843. 

Death  of  bankrupt  after  his  personal  estate  is  disposed  of  leaves  no 
allowance  for  widow — her  dower  in  the  real  estate  is  not  affected  by  his 
death  before  it  has  been  disposed  of.  In  re  Slack  (1901),  Dist.  Vt., 
Wheeler,  J.,  Ill  Fed.,  523;  7  A.  B.  R.,  121;  see  also  In  re  Seabolt  (1902), 
W.  Dist.  N.  C,  Boyd,  J.,  113  Fed.,  766;  8  A.  B.  R.,  57. 

Sec.  9.     Protection  and  Detention  of  Bankrupts. 

a  [Exemption  from  arrest.]  A  bankrupt  shall  be  ex- 
empt from  arrest  upon  civil  process  except  in  the  following 
cases : 

This  section  construed  by  general  order  XII — suspends  exercise  of 
right  of  arrest  pending  application  for  discharge.  In  re  Lewenson  (1900) 
S.     Dist.  N.  Y.,  Brown,  J.,  99  Fed.,  73;  3  A.  B.  R.,  594;  2  N.  B.  N.,  315. 

The  exemption  from  arrest  should  be  accompanied  by  the  condition  of 
bankrupt  filing  bond  not  to  abscond.  In  re  Lewenson  (1900),  S.  Dist 
N.  Y.,  Brown,  J.,  99  Fed.,  73;  3  A.  B.  R.,  594;  2  N.  B.  N.,  315. 

This  section  affords  no  protection  against  costs  taxed  at  the  time  of 
filing  the  petition.  In  re  Marcus  (1900),  Dist.  Mass.,  Lowell,  J.,  104  Fed., 
331;  5  A.  B.  R.,  19. 

(1)  [Process  for  contempt.]    When  issued  from  a  court 

of  bankruptcy  for  contempt  or  disobedience  of  its  lawful 

orders ; 

As  to  contempts  see  Sec.  41  and  notes,  post.  See  as  to  orders  issued 
by  court  of  bankruptcy,  Sec.  2  (15)  and  notes,  ante. 

(2)  [Process  from  State  court.]  When  issued  from  a 
State  coiut  having  jurisdiction,  and  served  within  such 
State,  upon  a  debt  or  claim  from  which  his  discharge  in 
bankruptcy  would  not  be  a  release,  and  in  such  case  he  shall 
be  exempt  from  such  arrest  when  in  attendance  upon  a  court 


§9b.]       PROTECTION  AND  DETENTION  OF   BANKRUPTS.  77 

of  bankruptcy  or  engaged    in  the  performance  of  a  duty- 
imposed  by  this  act. 

As  to  debts  not  barred  by  discharge,  see  Sec.  17  and  notes,  post.  For 
definition  of  debt,  see  Sec.  1  (11)  and  notes,  ante. 

Provision  of  this  section  appUes  to  cases  arising  only  after  fihng  peti- 
tion. In  re  Claiborne  (1901),  S.  Dist.  N.  Y.,  Brown,  J.,  109  Fed.,  74; 
5  A.  B.  R.,  812. 

Bankrupt  court  will  not  release  bankrupt  from  arrest  by  State  court  on 
judgment  for  support  of  bastard  child,  such  claim  not  being  dischargeable. 
In  re  Baker  (1899),  Dist.  Kan.,  Hook,  J.,  96  Fed.,  954;  3  A.  B.  R.,  101; 
1  N.  B.  N.,  547. 

Remedy  of  creditor  on  judgment  for  wages  to  arrest  debtor  under  New 
York  statute  is  lost  under  bankruptcy  procedure,  and  injunction  will 
issue.     In  re  Grist  (1899),  N.  Dist.  N.  Y.  Hotchkiss,  R.;  1  A.  B.  R.,  89. 

h  [Detention  for  examination.]  The  judge  may,  at  any 
time  after  the  fiHng  of  a  petition  by  or  against  a  person,  and 
before  the  expiration  of  one  month  after  the  qualification  of 
the  trustee,  upon  satisfactory  proof  by  the  affidavits  of  at 
least  two  persons  that  such  bankrupt  is  about  to  leave  the 
district  in  which  he  resides  or  has  his  principal  place  of  busi- 
ness to  avoid  examination,  and  that  his  departure  will 
defeat  the  proceedings  in  bankruptcy,  issue  a  warrant 
to  the  marshal,  directing  him  to  bring  such  bankrupt 
forthwith  before  the  court  for  examination.  If  upon 
hearing  the  evidence  of  the  parties  it  shall  appear  to  the 
court  or  a  judge  thereof  that  the  allegations  are  true  and 
that  it  is  necessary,  he  shall  order  such  marshal  to  keep  such 
bankrupt  in  custody  not  exceeding  ten  days,  but  not  im- 
prison him,  until  he  shall  be  examined  and  released  or  give 
bail  conditioned  for  his  appearance  for  examination,  from 
time  to  time,  not  exceeding  in  all  ten  days,  as  required  by 
the  court,  and  for  his  obedience  to  all  lawful  orders  made  in 
reference  thereto. 

For  definition  of  judge,  see  Sec.  1  (16)  and  notes,  ante.  Refusal  to 
submit  to  examination  by  bankrupt  is  contempt.     Sec.  41a  (4),  post. 

This  remedy  shotUd  be  strictly  construed  and  carefully  applied.     In 


78  EXTRADITION  OF  BANKRUPTS.        [  §  10  a.  §  1 1  a 

re  Schenkein  &  Coney  (1902),  W.  Dist.  N.  Y.,  Brown,  J.,  113  Fed.,  421; 
7  A.  B.  R..  162. 

Warrant  need  not  state  that  bankrupt  is  brought  before  the  court  for 
examination.  In  re  Lipke  (1900),  S.  Dist.  N.  Y.,  Brown,  J.,  98  Fed., 
970;  3  A.  B.  R.,  569. 

This  section  applies  merely-  to  restraining  bankrupts  from  departing 
from  the  district.  In  re  Ketchum  (1901),  C.  C.  A.,  6th  Cir.,  Clark,  J., 
5  A.  B.  R..  532. 

Power  of  bankruptcy  court  does  not  extend  to  arrest  of  one  not  within 
the  district.  In  re  Hassenbusch  (1901),  C.  C.  A.,  6th  Cir.,  Clark,  J., 
108  Fed.,  35. 

Sec.  10.     Extradition  of  Bankrupts. 

a  [Proceedings  under  indictment  govern.]  Whenever  a 
warrant  for  the  apprehension  of  a  bankrupt  shall  have  been 
issued,  and  he  shall  have  been  found  within  the  jurisdiction 
of  a  court  other  than  the  one  issuing  the  warrant,  he  may- 
be extradited  in  the  same  manner  in  which  persons  under 
indictment  are  now  extradited  from  one  district  within 
which  a  district  court  has  jurisdiction  to  another. 

See  section  2,  Sub.  (14)  ante,  and  notes  thereunder.  Section  10  de- 
fines the  same  power  as  is  defined  in  Sec.  2,  Sub.  (14).  In  re  Hassenbusch 
(1901) ,  C.  C.  A.,  108  Fed.,  35. 

Only  one  warrant  necessary  to  extradite  from  one  district  to  another, 
one  to  be  delivered  to  sheriff  from  whose  custody  the  prisoner  is  taken, 
another  to  the  sheriff  to  whom  the  custody  is  taken  and  the  original 
writ  with  the  marshal's  return  thereon  shall  be  returned  to  the  clerk  of 
the  District  Cotu^  to  which  he  is  removed.  U.  S.  Revised  Statute,  Sec. 
1,029. 

Sec.  11.     Suits  by  and  against  Bankrupts. 

a  [Stay  of  suits.]  A  suit  which  is  founded  upon  a  claim 
from  which  a  discharge  would  be  a  release,  and  which  is 
pending  against  a  person  at  the  time  of  the  filing  of  a  pe- 
tition against  him,  shall  be  stayed  until  after  an  adjud- 
ication or  the  dismissal  of  the  petition ;  if  such  person  is 
adjudged  a  bankrupt,  such  action  may  be  further  stayed 
until  twelve  months  after  the  date  of  such  adjudication,  or, 


§  11  a.]  SUITS  BY  AND  AGAINST  BANKRUPTS.  79 

if  within  that  time  such  person  applies  for  a  discharge,  then 
until  the  question  of  such  discharge  is  determined. 

As  to  jurisdiction  of  State  and  United  States  Courts,  see  Sec.  25,  post. 
As  to  claims  which  discharge  releases,  see  Sec.  17  and  notes  post.  As  to 
discharges,  see  Sec.  14  and  notes  post.  As  to  filing  of  petition,  Gen. 
Ord.  II.  Question  of  staying  suit  may  be  referred  to  referee.  Gen. 
Order  XII  (3)  post.  See  c  under  this  section  and  notes  thereunder. 
As  to  meaning  of  "adjudication"  see  Sec.  1  (2). 

Creditor's  bill  by  which  lien  was  acquired  more  than  four  months  before 
filing  bankruptcy  petition,  should  not  be  stayed.  Continental  Nat.  Bank 
V.  Katz  (1899),  Sup.  Ct.  Cook  County,  Ills.,  Ball,  J.;  1  A.  B.  R.,  19;  1  N.  B. 
N.,  165. 

Although  the  lien  was  acquired  less  than  four  months  before  the  pe- 
tition, stay  order  denied.  Reed  v.  Cross  (1899),  Sup.  Ct.  Cook  County, 
Ills.,  Ball,  J.,  1  A.  B.  R.,  34;  1  N.  B.  N.,  267. 

Creditor's  bill  on  judgment  attaching  is  fraudulent.  Conveyance  en- 
joined where  granted  filed  same  inside  four  months  grantee  having  re- 
conveyed  to  bankrupt.  In  re  Brown  (1899),  Dist.  Ore.,  Bellinger,  J. 
91  Fed.,  358;  1  A.  B.  R.,  107;  1  N.  B.  N.,  240. 

Bankruptcy  court  may  restrain  attachment  sale  of  property  pending 
filing  of  involimtary  petition.  Blake,  et  al.,  v.  Francis  Valentine  Co. 
(1899),  N.  Dist.  Cal.,  Hawley,  J.,  89  Fed.,  691;  1  A.  B.  R.,  372;  1  N.  B, 
N.,  47. 

The  granting  of  an  injunction  is  a  matter  of  discretion.  The  Dis- 
trict Court  has  plenary  pow^ers  where  suit  in  a  State  Court  is  on  a  debt  to 
which  a  discharge  would  be  a  release.  In  re  Globe  Cycle  Works  (1899), 
N.  Dist.  N.Y.,  Hotchkiss,  R.,  2  A.  B.  R.,  447;  1  N.  B.  N.,  421. 

State  court  no  jurisdiction  to  appoint  a  receiver  after  filing  of  bankrupt- 
cy petition.  Carpenter  v.  O'Conner  (1898),  Ohio  Cir.  Ct.,  2nd  Dist.,  Opin- 
ion by  Wilson,  J.,  1  A.  B.  R.,  381;  9  Ohio  Cir.  Dis.,  201. 

Power  to  stay  suits  discretionary  with  the  District  Court.  In  re  Lesser 
(1900),  C.  C.  A.,  2nd  Cir.,  LaCombe,  J.,  99  Fed.,  913;  3  A.  B.  R.,  758;  2 
N.  B.  N..  599. 

Suit  in  a  State  Court  to  settle  bankruptcy  account  as  administrator 
will  be  stayed  pending  hearing  on  application  for  discharge.  In  re  Rogers 
(1899),  Dist.  Ky.,  Howard,  R.,  1  A.  B.  R.,  541;  1  N.  B.  N.,  211. 

Proceedings  to  foreclose  chattel  mortgage  will  not  be  stayed  by  a  court 
of  bankruptcy — trustee  should  appear  in  the  State  Court.  In  re  Bunt- 
rock  Clothing  Co.  (1899),  N.  Dist.  la.,  Shiras,  J.,  92  Fed.,  886;  2  A.  B.  R. 
98;  1  N.  B.  N.,  291. 

Courts  of  bankruptcy  will  stay  proceedings  supplementary  to  execu- 


80  SUITS  BY  AND  AGAINST  BANKRUPTS.  [§11  a. 

tion  in  a  State  Court.     In  re    Kletchka  (1899),    S.  Dist.  N.  Y.,  Brown, 
J.,  92  Fed.,  901;  1  A.  B.  R.,  479;  1  N.  B.  N.,  160. 

Trustee  having  brought  suit  to  set  aside  transfer  in  state  court  the 
previous  jtuisdiction  of  the  United  States  coUrt  in  having  enjoined  the 
defendant  does  not  bar  the  State  Court.  Bindseil  v.  Smith  (1900),  Ct. 
of  App.,  N.  J.,  Dixon,  J.,  5  A.  B.  R.,  40. 

After  adjudication  it  is  entirely  discretionary  with  the  bankruptcy 
court  to  stay  proceedings  of  the  State  Court  and  require  a  sale  of  mortgaged 
property  to  be  made  by  the  trustee  in  bankruptcy.  Bankruptcy  court  shall 
not  interfere  with  the  proceedings  where  it  is  apparent  that  not  enough 
will  be  realized  to  satisfy  the  mortgage  debt.  In  re  HoUoway  (1899), 
Dist.  Ky.,  Evan^,  J.,  93  Fed.,  638;  1  A.  B.  R.,  659;  1  N.  B.  N.,  254. 

To  justify  granting  an  injunction  restraining  attachment  proceed- 
ings prior  to  filing  involuntary  petition,  it  must  appear  that  suit  by  trus- 
tee would  be  an  inadequate  remedy.  In  re  Ogles  (1899),  W.  Dist.  Tenn., 
Hammond,  J.,  93  Fed.,  426;  1  A.  B.  R.,    671;  1  N.  B.  N.,  400. 

Judgment  in  State  Court  may  be  enjoined  when  it  was  obtained  by 
fraud.  So.  Loan  Co  &  Trust  v.  Benbow  (1899),  W.  Dist.  N.  C,  Ewart, 
J.,  96  Fed.,  514;  3  A.  B.  R.,  9;  1  N.  B.  N.,  499. 

Where  it  seems  that  the  mortgage  exceeds  the  value  of  the  property 
the  District  Court  will  not  enjoin  the  foreclosure.  In  re  Porter  &  Bros. 
(1901),  Dist.  Ky.,  Evans,  J.,  109  Fed.,  Ill;  6  A.  B.  R.,  259. 

State  Court  has  no  right  to  proceed  with  an  action  there  pending.  Car- 
penter  Bros. v. O'Connor  (1898),  Ohio  Cir.  Ct.,  2nd  Cir.;  1  A.  B.  R.,  381; 
9  Ohio  Cir.  Dis.,  201. 

District  Court  has  jurisdiction  to  restrain  replevin  proceedings  in 
State  Court.     In  re  Agins  (1899),  C.  C.  A.,  2nd  Cir.;  1  N.  B.  N.,  184. 

Staying  of  stiit  for  bankrupt  in  state  court,  will  not  affect  right  of  plaint- 
iff as  surety  on  a  bond  given  in  the  proceedings.  In  re  Marten  (1901), 
W.  Dist.  N.  Y.,  Hazel,  J.,  105  Fed.,  753;  5  A.  B.  R.,  423. 

An  injunction  issued  by  a  referee  restraining  an  action  in  the  State 
court  against  a  bankrupt  does  not  release  persons  jointly  liable  with  the 
bankrupt.  In  r^  Delong  (1899),  Nor.  Dist.  N.  Y.,  Moss,  R.,  1  A.  B.  R., 
66;  1  N.  B.  N.,  26. 

Execution  to  enforce  alimony  against  bankrupt  will  not  be  enjoined. 
Turner  v.  Turner  (1901),  Dist.  Ind.  Baker,  J.,  108  Fed.,  785;  6  A.  B.  R., 
287. 

District  Court  no  jurisdiction  to  enjoin  suit  for  trespass  against  United 
States  Marshal,  McLean  v.  Mc^yo  (1901),  E.  Dist.  N.  C,  Purncll,  J.,  113 
Fed.,   106;  7  A.  B.   R.,   115. 

Proceedings  in  State  Court  supplementary  to  execution  may  be  en- 


§  11a.]  SUITS  BY  AND  AGAINST  BANKRUPTS.  81 

joined.     In  re  Kletchka  (1899),  Sou.  Dist.    N.  Y.,  Bro^vTi,  J.,   92  Fed. 
901;  1  A.  B.  R.,  479;  1  N.  B.  N.,  160. 

Chattel  mortgagee  in  possession  may  be  enjoined  from  selling.  In  re 
Nathan  (1899),  Dist.  Nev.,  Hawley,  J.,  92  Fed.,  590;  1  N.  B.  N.,  563. 

Suit  against  trustee  may  be  enjoined.  In  re  Gutman  &  Wenk  (1902) 
S.  Dist.  N.  Y.,  Adams,  J.,  114  Fed.,  1,009;  8  A.  B.  R.,  252. 

Injunction  granted  to  restrain  ejectment  suit  in  State  court.  In  re 
Chambers,  Calder  &  Co.  (1900),  Dist.  R.  I.,  Brown,  J.,  98  Fed.,  865;  3 
A.  B.  R.,  537;  2  N.  N.  N..  388. 

Bankruptcy  Court  may  enjoin  pending  execution  and  levy.  In  re 
Kimball  (1899),  W.  Dist.  Pa.,  Buffington,  J.,  97  Fed.,  29;  1  N.  B.  N.,  515. 

Mortgage  foreclosure  may  be  enjoined  and  property  sold  in  bankruptcy 
court  where  it  seems  to  be  for  the  interest  of  the  estate.  In  re  Booth 
(1899),  N.  Dist.  Ga.,  Upson,  R.,  2  A.  B.  R.,  771;  1  N.  B.  N.,  476. 

Jurisdiction  of  District  Court  does  not  authorize  the  enjoining  of  a 
suit  in  a  state  court  begun  years  before — doctrine  of  Bardes  v.  Hawarden 
Bank  again  announced;  Pickens  v.  Dent  (1902),  Sup.  Ct.,  U.  S.,  Fuller, 
J.;  9  A.  B.   R.,  47. 

Where  a  petition  for  an  injunction  in  a  pending  bankruptcy  proceed- 
ing describes  as  "In  the  District  Court  of  the  United  States  for  the 
Northern  District  of  New  York,  in  bankruptcy  No.  1141"  is  specific 
enough  to  give  them  court  jurisdiction.  In  re  Goldberg  (1902) ,  N.  Dist. 
N.  Y.,  Roy,  117  Fed.,  692;  9  A.  B.  R.,  156. 

This  section  does  not  prevent  entry  of  a  special  judgment  on  a  verdict 
where  defendant  had  been  adjudicated  bankrupt  after  verdict,  where 
the  security  on  bond  is  still  liable.  Rosenthal  v.  Nove  et  al.  (1900),  Sup. 
Ct.,  Mass.,  Barker,  J.,  175  Mass.,  559. 

Action  in  State  Court  should  be  stayed  pending  disposition  of  bank- 
ruptcy proceedings  against  defendant.  First  Nat.  Bank  v.  Hym  (1902), 
Sup.  Ct.  la.,  McLain,  J.;  91  N.  W.,  784. 

Application  for  stay  of  proceedings  should  be  made  in  State  Court. 
Mclntyre  v.  Malone  et  al.  (1902),  Sup.  Ct.  Neb.,  91  N.  W.,  246. 

Application  by  mortgagee  for  stay  of  foreclostire  proceedings  in  State 
Court  by  reason  of  bankruptcy  proceedings  denied.  Carter  v.  People's 
Nat.  Bank  (1900),  Sup.  Ct.  Ga.,  Little,  J.,  109  Ga.,  573. 

Stay  of  proceedings  not  granted  where  the  lien  wtis  obtained  more 
than  four  months  before.  Smith  v.  Meisinheimer  (1898),  Sup.  Ct.  Ky., 
Lev/is,  J.,  20  Ky.  Law  Rep.,  954. 

Vacation  of  judgment  against  bankrupt  not  granted  trustee  as  he  had 
adequate  remedy  by  action  to  recover  property.  Gage  v.  Bates  Mach. 
Co.  (1902),  Sup.  Ct.  N.  H.,  Wather,  J.,  52  Atl.,  457. 


82  SUITS  BY  AND  AGAINST  BANKRUPTS.  [§  Ha. 

Jurisdiction  in  bankruptcy  court  to  enjoin  creditor  proceeding  in 
State  court  sustained.  In  re  Kimball  (1899),  W.  Dist.  Pa.,  Buffington, 
J.,  97  Fed.,  29;  3  A.  B.  R.,  161;  1  N.  B.  N.,  515. 

Section  11  applies  to  both  voluntary  and  involuntary  cases.  In  re 
Gister  (1899),  N.  Dist.  la.,  Shiras,  J..  97  Fed.,  322;  3  A.  B.  R.,  228;  2 
N.  B.  N.,  297. 

Better  practice  is  to  apply  for  stay  in  State  court.     Idetn. 

Proceedings  to  foreclose  chattel  mortgage  will  not  be  stayed  by  a 
court  of  bankmptcy — the  trustee  should  appear  in  the  State  court.  In 
re  Buntrock  Clothing  Co.,  N.  Dist.,  la.,  Shiras,  J.  (1899),  92  Fed.,  886; 
2A.  B.  R.,  98;1N.  B.  N.,  91. 

After  adjudication  it  is  entirely  discretionary  with  the  bankruptcy 
court  to  stay  proceedings  of  State  court  and  require  a  sale  of  mortgaged 
property  to  be  made  by  trustee  in  bankruptcy.  Bankruptcy  court 
should  not  interfere  with  proceedings  where  it  is  apparent  that  not  enough 
will  be  realized  to  satisfy  the  mortgage  debt — Sec.  11  and  Sec.  45  con- 
strued. In  re  HoUoway  (1899),  Dist.  of  Ky.,  Evans,  J.,  93  Fed.,  638; 
1  A.  B.  R.,  659;  1  N.  B.  N.,  264. 

Landlord  restrained  from  making  ejectment  where  its  enforcement 
would  prejudice  the  estate.  In  re  Chambers,  Coldeer  &  Co.  (1900),  Dist. 
R.  I.,  Brown,  J.,  98  Fed.,  865;  3  A.  B.  R.,  537;  2  N.  B.  N.,  388. 

Courts  of  bankruptcy  may  grant  an  injtmction  restraining  the  assignee 
xmder  general  assignment  from  disposing  of  or  interfering  with  the  prop- 
erty which  comes  into  his  hands  until  a  petition  in  bankruptcy  is  disposed 
of.  In  re  Gutwillig  (1899),  C.  C.  A.,  2nd  Cir.,  opinion,  Wallace,  J.,  92 
Fed.,  337;  1  A.  B.  R.,  388;  1  N.  B.  N.,  340. 

Bankruptcy  court  has  power  to  issue  injunction  restraining  mortgagee 
from  foreclosing  liens  and  to  order  property  of  bankrupt  sold  free  from 
liens.  In  re  Pittelkow  (1899),  E.  Dist.  Wis.,  Seaman,  J.,  92  Fed.,  901; 
1  A.  B.  R.,  472;  1  N.  B.  N.,  234. 

Replevin  sviit  in  state  court  restrained  where  property  in  hands  of 
trustee.  In  re  Russel  (1900),  N,  Dist.  Cal.,  De  Haven,  J.,  101  Fed.,  248; 
5  A.  B.  R.,  566;  3  N.  B.  N.,  365.  In  re  Guttman  &  Wenk  (1902),  S.Dist. 
N.  Y.,  Adams,  J.,  114  Fed.,  1,009;  8  A.  B.  R.,  252. 

Courts  of  bankruptcy  will  stay  proceedings  supplementary  to  execu- 
tion in  a  state  court.  In  re  Kletchke  (1899),  S.  Dist.  N.  Y.,  Brown,  J., 
92  Fed.,  901;  1  A.  B.  R.,  479;  1  N.  B.  N.,  160. 

Proceedings  in  state  court  to  enforce  mechanic's  liens  should  be  en- 
joined. In  re  Emsile  (1900),  C.  C.  A.,  2nd  Cir.,  Wallace,  J.,  98  Fed.,  716; 
4  A.  B.  R.,  126;  2  N.  B.  N.,  171. 


§  11  a.]  SUITS  BY  AND  AGAINST  BANKRUPTS.  83 

Mortgage  foreclosure  stayed  in  state  cotirt  where  commenced  after 
bankruptcy,  to  determine  validity  of  mortgage.  In  re  San.  Gabrie 
San.  Co.  (1900),  C.  C.  A.,  9th  Cir.,  102  Fed.,  310;  4  A.  B.  R.,  197;  1  N. 
B.  N.,  390. 

State  court  appointing  receiver  of  realty  claimed  by  trustee — discus- 
sion of  question  involved.  Porter  v.  Cummings  (1900),  Sup.  Ct.  Ga., 
Fish,  J.,  1  N.  B.  N.,  520. 

Injunction  to  restrain  paying  out  of  money  realized  by  execution  sale 
will  not  be  granted  where  the  purpose  is  to  stay  the  proceedings  imtil 
bankruptcy  proceedings  can  be  instituted.  Victor  v.  Lewis  (1899),  N. 
Y.  Sup.  Ct.,  1  A.  B.  R.,  667;  1  N.  B.  N.,  240. 

Suit  in  state  court  restrained  sufficiently  to  enable  trustee  to  inter- 
vene. In  re  Klein  (1900),  N.  Dist.  lU.,  Kohlsaat,  J.,  97  Fed.,  31;  3 
A.  B.  R.,  174;  1  N.  B.  N.,  486. 

Proceedings  in  garnishment  in  state  court  against  bankrupt  may  be 
stayed  or  not  in  the  discretion  of  the  bankruptcy  court.  In  re  St.  Albans 
Foundry  Co.  (1900),  Dist.  Vt.,  Mott,  R.;  4  A.  B.  R.,  594;  2  N.  B.  N.,  1,093. 

Jurisdiction  of  district  court  is  sustained  to  stay  proceedings  in  state 
court.  Habeas  Corpus  from  district  court  will  release  bankrupt  who  is 
held  by  state  court  under  order  for  omitting  to  pay  alimony,  which  by 
district  court  decree  was  held  a  provable  and  dischargeable  debt.  State 
court  may  not  review  the  conclusions  of  the  decree  of  the  District  Court. 
Wagner  v.  United  States  et  al.  (1900),  C.  C.  A.,  6th  Cir.,  Day,  J.,  104  Fed., 
133.  4  A.  B.  R.,  596. 

Jurisdiction  in  district  Court  to  enjoin  disposition  of  property  claimed 
as  belonging  to  the  estate,  though  it  is  in  the  possession  of  third  parties, 
vmtil  such  time  as  a  trustee  might  bring  appropriate  suit.  In  re  Currier 
(1901),  W.  Dist.  N.  Y.,  Hotchkiss,  R.,  5  A.  B.  R.,  639. 

Jurisdiction  in  District  court  to  enjoin  proceedings  against  the  bank- 
rupt property  pending  in  State  court  at  time  of  bankruptcy.  Picken  v. 
Dent  et  al.  (1901),  C.C.  A.,  4th  Cir.,  Goff,  J.,  106  Fed.,  653;  5  A.  B.  R.,  644. 

The  jurisdiction  of  state  courts  and  courts  of  bankruptcy  over  adminis- 
tration of  insolvent  estates  is  not  concurrent — the  latter  have  paramount 
jurisdiction.  Leidigh  Co.  v.  Stengl  (1899),  C.  C.  A.,  7th  Cir.,  Taft,  J., 
95  Fed..  637;  2  A.  B.  R.,  383;  1  N.  B.  N.,  387. 

Jurisdiction  of  District  court  is  not  shown  in  case  of  agent  of  bankrupt 
withholding  assets  to  compel  surrender  of  the  same.  Resort  must  be 
had  to  plenary  suit  in  State  court.  In  re  Nugent  {Wayne  Knitting 
Mills  V.  Nugent)  (1900),  C.  C.  A..  6th  Cir.,  Severens,  J.,  104  Fed.,  530;  4 
A.  B.  R.,  747. 

Bankruptcy  court  may  restrain  third  person  from  changing  status  of 


84  SUITS  BY  AND  AGAINST  BANKRUPTS.  [§llb. 

property  whicfe  is  claimed  as  part  of  assets  of  the  estate.     In  re  Smith 
(1902).  N.  Dist.  Ga.,  Newman,  J.,  113  Fed.,  993;  8  A.  B.  R.,  55. 

This  section  applies  only  to  suits  that  are  pending  and  proceedings 
therein.  In  re  Claiborne  (1901),  S.  Dist.  N.  Y.,  Brown,  J.,  109  Fed., 
74;  5  A.  B.  R.,  812. 

Suit  on  tmliquidated  claim  after  adjudication  stayed.  In  re  Hilton 
(1900),  S.  Dist.  N.  Y.,  Brown,  J.,  104  Fed.,  981;  4  A.  B.  R.,  774. 

Action  for  false  representation  not  stayed  as  not  dischargeable.  In 
re  Cole  (1901),  W.  Dist.  N.  Y..  Hazel,  J.,  106  Fed.,  837;  5  A.  B.  R.,  780. 

Stay  of  proceedings  to  enable  bankrupt  to  plead  his  discharge.  In 
re  Rosenthal  (1901),  S.  Dist.  N.  Y.,  Brown,  J.,  108  Fed.,  368;  5  A.B. 
R.,  799. 

Stay  order  not  granted  against  suit  for  over  due  alimony.  In  re  Shep- 
ard  (1899),  8.  Dist.  N.  Y.,  Brown,  J.,  97  Fed.,  187;  5  A.  B.  R.,  857. 
In  re  Houston  (1899) ,  Dist.  of  Ky.,  Evans,  J.,  94  Fed.,  119;  2  A.  B.  R.,  107. 

Garnishment  and  attachment  will  be  restrained  pending  discharge. 
In  re  Beerman  (1901),  N.    Dist.  Ga.,    Newman,  J.,  112    Fed.,  662;  7A; 

B.  R.,  431;  Bear  v.  Chase  (1900),  C.  C.  4th  Cir.,  WaddiU,  J.,  99  Fed.,  920. 
3  A.  B.  R.,  746. 

b  [Appearance  of  trustee  ordered.]  The  cotirt  may  order 
the  trustee  to  enter  his  appearance  and  defend  any  pend- 
ing suit  against  the  bankrupt. 

As  to  jurisdiction  of  U.  S.  and  State  Courts,  see  Sec.  23  and  notes. 

Trustee  must  apply  to  state  court  and  be  governed  by  its  rules  and 
practice.  Bank  of  Commerce  v.  Elliott  (1901),  Sup.  Ct.  Wis.,  Marshall, 
J.,  109  Wis.,  648;  6  A.  B.  R.,  409. 

It  is  within  the  discretion  of  the  state  court  to  allow  trustee  to  inter- 
vene. National  Distilling  Co.  v.  Seidel  (1899),  Sup.  Ct.  Wis.,  1;  103  Wis., 
484. 

Trustee  becomes  liable  for  costs  and  damages,  having  substituted 
himself  for  defendant  bankrupt  in  a  replevin  suit.     In  re  Neely  (1902). 

C.  C.  A.,  2nd  Cir.,  Lacombe,  J.,  113  Fed.,  210;  7  A.  B.  R.,  312. 

Under  New  York  statute  trustee  must  give  bonds  for  cause  of  action 
accruing  prior  to  his  appointment.  Joseph  v.  Makley  (1902),  Sup.  Ct 
N.  Y.,  App.  Div.,  O'Brien,  J.,  8  A.  B.  R.,  18. 

It  is  discretionary  with  the  State  court  to  permit  trustee  to  be  made  a 
party — trustee  must  appear  and  defend  according  to  the  rules  of  the  State 
court.  National  Distilling  Co.  v.  Seidel  (1899),  Sup.  Wis.,  Marshall,  J., 
103  Wis.,  489. 


§12a.]  COMPOSITIONS,  WHEN  CONFIRMED.  §5 

c  [i'TOSCCution  of  suit  by  trustee.]  A  trustee  may,  with 
the  approval  of  the  court,  be  permitted  to  prosecute  as 
trustee  any  suit  commenced  by  the  bankrupt  prior  to  the 
adjudication,  with  like  force  and  effect  as  though  it  had  been 
commenced  by  him. 

As  to  suits  by  trustee,  see  Sec.  23b  and  notes.  See  also  Sec.  60b  and 
notes. 

Trustee  having  submitted  to  jurisdiction  of  state  court  in  collecting  a 
lien  due  the  estate  is  bound  by  the  decision  of  that  court.  In  re  Van 
Alstyne,  N.  Dist.  N.  Y.,  Coxe,  J.,  100  Fed.,  929;  4  A.  B.  R.,  42;  2  N.  B,  N., 
642. 

This  section  construed  in  favor  of  jurisdiction  of  bankruptcy  court 
in  suits  by  trustee  against  third  persons.  In  re  Boudouine  (1900) ,  C.  C.  A., 
2nd.  Cir.,  Wallace,  J.,  96  Fed.,  536;  3  A.  B.  R.,  651;  1  N.  B.  N.,  506. 

Where  state  court  has  taken  jurisdiction  by  suit  by  trustee  in  bank- 
ruptcy the  United  States  court  has  no  revisory  power.  Robinson  v.  White 
(1899),  Dist.  Ind.,  Baker,  J.,  97  Fed.,  33;  3  A.  B-  R.,  88;  1  N.  B.  N.,  613. 

This  section  relates  only  to  those  actions  that  are  part  of  the  bank- 
rupt's estate — action  for  malicious  prosecution  no  part  of  bankrupt's 
estate.  In  re  Haensel  (1899),  N.  Dist.  Cal.,  De  Haven,  J.,  91  Fed.,  355; 
1  A.  B.  R.,  286;  1  N.  B.  N.,  240. 

Trustee  must  go  in  the  state  court  and  ask  to  have  receiver  of  property 
belonging  to  the  bankrupt  turn  same  over  to  trustee.  In  re  B.  L.  Price 
&  Co  (1899),  S.  Dist.  N.  Y.,  Brown.  J.,  92  Fed.,  987;  1  A.  B.  R.,  606; 
1  N.  B.  N.,  240. 

d  [Two  years  limitation.]  Suits  shall  not  be  brought  by 
or  against  a  trustee  of  a  bankrupt  estate  subsequent  to 
two  years  after  the  estate  has  been  closed. 

As  to  closing  estates,  see  Sec.  2  (8)  and  notes.  As  to  duties  of  trustees 
in  closing  estates,  see  Sec.  47  a  and  notes.  See  for  suits  by  trustee  Sec. 
23b  and  notes,  also  a  6  c  of  this  section. 

Sec  12.     Compositions,  when  Confirmed. 

a  [Wlien  may  be  offered.]  A  bankrupt  may  offer  terms 
of  composition  to  his  creditors  after,  but  not  before,  he  has 
been  examined  in  open  court  or  at  a  meeting  of  his  creditors 
and  filed  in  court  the  schedule  of  his  property  and  list  of  his 
creditors,  required  to  be  filed  by  bankrupts. 


86  COMPOSITIONS,  WHEN  CONFIRMED,  '    [§12b. 

As  to  examination  of  bankrupt,  see  Sec.  7  (9)  and  notes  ante.  As  to 
examination  at  first  meeting  of  creditors,  see  Sec.  55b  and  notes,  post. 
As  to  schedule  of  property  and  list  of  creditors  see  Sec.  7  (8)  and  notes. 
See  also  bed  and  e  under  this  section  and  notes. 

The  sections  of  act  which  compel  dissenting  creditors  to  be  bound 
and  to  accept  the  composition  must  be  strictly  construed.  In  re  Rider 
(1899).  N.  Dist.  N.  Y.,  Coxe,  J.,  96  Fed.,  808;  3  A.  B.  R.,  178. 

Composition  must  be  offered  to  all  and  all  must  have  a  chance  to  accept- 
In  re  Rider  (1899),  N.  Dist.  N.  Y.,  Coxe,  J.,  96  Fed.,  808;  3  A.  B.  R., 
178. 

Composition  does  not  affect  the  rights  of  secured  creditors — they  are 
not  parties  to  it  and  have  no  provable  claims  and  their  objections  are 
not  to  be  regarded.  In  re  Kahn  (1902),  S.  Dist.  N  .Y.,  Wise,  R.,  9  A. 
B.  R.,  107. 

b  [Application  for  confirming.]  An  application  for  the 
confirmation  of  a  composition  may  be  filed  in  the  court  of 
bankruptcy  after,  but  not  before,  it  has  been  accepted  in 
writing  by  a  majority  in  number  of  all  creditors  whose  claims 
have  been  allowed,  which  number  must  represent  a  majority 
in  amount  of  such  claims,  and  the  consideration  to  be  paid 
by  the  bankrupt  to  his  creditors,  and  the  money  necessary 
to  pay  all  debts  which  have  priority  and  the  cost  of  the  pro- 
ceedings, have  been  deposited  in  such  place  as  shall  be 
designated  by  and  subject  to  the  order  of  the  judge. 

Application  may  be  referred  to  a  referee.  Gen.  Ord.  XII  (3).  Peti- 
tion for  meetng  to  consider  composition  Form  No.  60  and  notes.  No- 
tices to  creditors  of  hearings  on  application  for  confirmation  of  com- 
position, see  Sec.  58a  (2)  and  notes.     See  a,  c  and  d  of  this  section. 

Assignee  of  large  number  of  creditors  counted  as  one  creditor  only. 
In  re  Messengill  (1902),  E.  Dist.  N.  C,  Pumell,  J.,  113  Fed.,  366;  7  A. 
B.  R.,  669. 

Composition  will  be  rejected  where  majority  do  not  concur  and  all 
have  not  had  notice.  In  re  Rider  (1899),  N.  Dist.  N.  Y.,  Coxe,  J.,  96 
Fed.,  808;  3  A.  B.  R.,  178. 

Creditors  having  once  accepted  composition  offered  them  will  not 
b«  allowed  to  withdraw  their .  consent  in  the  absence  of  fraud.  In  re 
Levy  (1901),  W.  Dist.  Pa.,  Buffington,  J.,  110  Fed.,  744;  6  A.  B.  R.,  299. 

Amount  deposited  for  costs  must  be  sufficient  in  order  to  confirm.  In 
re  Rider  (1899),  N.  Dist.  N.  Y.,  Coxe,  J.,  96  Fed.,  808;  3  A.  B.  R.,  178. 


§12cd.]  COMPOSITIONS,  WHEN  CONFIRMED.  87 

c  [Hearing  application.]  A  date  and  place,  with  refer- 
ence to  the  convenience  of  the  parties  in  interest,  shall  be 
fixed  for  the  hearing  upon  each  application  for  the  con- 
firmation of  a  composition,  and  such  objections  as  may  be 
made  to  its  confirmation. 

Creditors  must  have  at  least  ten  days  notice  of  hearing.  Sec.  58a 
(2)  and  notes.     As  to  opposition  to  composition,  see  Gen.  Ord.  XXXII. 

Creditors  who  oppose  composition  should  enter  their  appearance  and 
file  specifications  in  writing  of  the  grounds  of  their  opposition.  City 
Nat.  Bank  v.  Doolittle  (1901),  C.  C.  A.,  5th  Cir.,  Touhnin,  J.,  107  Fed., 
236;  5  A.  B.  R.,  736;  Adler  v.  Jones  (1901),  C.  C.  A.,  6th  Cir.;  Day,  J., 
109  Fed.,  967;  6  A.  B.  R.,  245. 

Notice  of  hearing  given  by  referee.  In  re  Hilbom  (1900) ,  S.  Dist.  N. 
Y.,  Brown,  J.,  104  Fed.,  866. 

Burden  is  on  the  objecting  creditors  to  show  that  action  of  the  major- 
ity is  not  for  the  best  interests  of  all  the  creditors.  In  re  Heyman  (1901) , 
S.  Dist.  N.  Y.,  Brown,  J.,  108  Fed.,  207. 

Confirmation  of  a  composition  proposed  by  the  bankrupt  followed 
by  dismissal  of  the  case  discharges  bankrupt  from  all  ordinary  claims — 
not  necessary  that  holders  participated  in  '  composition  proceedings. 
Glover  Grocery  Co.  v.  Dome  (1902),  Sup.  Ct.  Ga.,  Liunpkin,  J.,  42  S. 
E.,  347;  8  A.  B.  R.,  702. 

Confirmation  of  composition  does  not  bar  right  of  action  against 
the  stockholders  on  their  subscription.  Wood  v.Vanderveer  (1900),  Sup. 
Ct.  N.  Y.,  Ramsey,  J.,  55  N.  Y.  App.  Div.,  549. 

Unless  confirmation  provides  for  costs  it  will  not  be  confirmed.  In 
re  Harris  (1902),  W.  Dist.  Tenn.,  Hammond,  J.,  117  Fed.,  575;  9  A.  B 
R.,  20. 

d    [When  composition  confirmed.]    The  judge  shall  con- 
'  firm  a  composition  if  satisfied  that 

(1)  [Best  interest  of  creditors.]  It  is  for  the  best  in- 
terests of  the  creditors; 

Matter  of  composition  may  be  referred  to  a  referee  on  questions  of 
fact.  Adler  v.  Jones  (1901),  C.  C.  A.,  6th  Cir.,  Day,  J.,  109  Fed.,  967; 
6  A.  B.  R.,  245. 

As  to  appeal  where  confirmation  is  referred,  see  Sec.  24o  and  notes. 


88  COMPOSITIONS,  WHEN  CONFIRMED.  [§12d. 

(2)  [Bankrupt  entitled  to  discharge.]  The  bankrupt  has 
not  been  guilty  of  any  of  the  acts  or  failed  to  perform  any 
of  the  duties  which  would  be  a  bar  to  his  discharge ;  and 

As  to  discharge  when  granted,  see  Sec.  14b  and  notes.  As  to  duties 
of  bankrupts,  see  Sec.  7a. 

(3)  [Offer  must  be  in  good  faith.]  The  offer  and  its 
acceptance  are  in  good  faith  and  have  not  been  made  or 
procured  except  as  herein  provided,  or  by  any  means, 
promises,  or  acts  herein  forbidden. 

When  composition  confirmed  title  revests  in  bankrupt.     Sec.   70f. 

As  to  discharge  after  composition,  see  Sec.  14c  post.  Objectors  to 
confirmation  of  composition  must  file  specifications.  Gen.  Ord.  XXXII. 
For  forms  relating  to  compositions,  see  forms  No.  60  to  63,  inclusive. 

Creditors  must  have  at  least  ten  days'  notice  of  hearing  for  confirma- 
tion of  compositions.  Sec.  58a  (2)  post.  On  revocation  of  composition, 
property  is  to  be  applied  to  the  payment  of  claims.     Sec.  64  post. 

No  appeal  from  decision  of  creditors  on  offer  of  composition.  In  re 
Adler  (1900),  W.  Dist.  Tenn.,  Hammond,  J.,  103  Fed.,  444;  4  A.  B.  R., 
583;  3  N.  B.  N.,  15. 

After  a  composition  an  action  commenced  by  trustee  will  enure  to  the 
benefit  of  the  bankrupt.  Stone  v.  Jenkins  (1900) ,  Sup.  Ct.  Mass.,  Morton, 
J.,  4  A.  B.  R.,  568;  57  N.  E.,  1,002. 

Objections  to  composition  that  it  is  not  for  the  best  interests  of  the 
estate — burden  on  the  objector  to  prove  it.  City  Nat.  Bank  v.  Doolittle 
(1901),  C.  C.  A.,  5th  Cir.,  Toulmin,  J.,  107  Fed.,  236;  5  A.  B.  R.,  736. 

Refusal  of  District  court  to  approve  composition  will  not  be  reviewed 
imless  it  appears  that  the  discretion  of  the  court  was  abused.  Adler 
v.  Jones  (1901),  C.  C.  A.,  6th  Cir.,  Day,  J.,  109  Fed.,  967;  6  A.  B.  R.,  245. 

When  composition  agreement  once  signed  by  creditors,  they  may  not 
withdraw  consent  in  absence  of  fraud.  In  re  Levy  (1901),  W.  Dist. 
Pa.,  Buffington,  J.,  110  Fed.,  744;  6  A.  B.  R.,  299. 

Referee  no  jurisdiction  unless  specifically  conferred,  to  hear  claims 
on  composition.  In  re  Fox  (1900),  N.  Dist.  Ohio,  Remington,  R.,  6 
A.  B.  R.,  525;  3  N.  B.  N.,  1,012. 

An  assignee  of  a  number  of  claims  counts  as  only  one  vote.  In  re 
Messingill  (1902),  E.  Dist.  N.  C,  Pumell,  J.,  113  Fed.,  366;  7  A.  B.  R., 
669. 

Composition  should  be  confirmed  if  no  misconduct  is  shown  and  the 
proposition  offered  substantially  all  the  estate  will  produce.     /«  r^  H.  J. 


§l4a]  DISCHARGES,  WHEN  GRANTED.  89 

Arrington    Co.  (1902),  E.  Dist,  Va.,  Waddill,  J.,  113  Fed.,  498;  8  A.  B. 
R.  64. 

Composition  should  be  confirmed  unless  it  clearly  appears  it  would  be 
for  the  interest  of  the  creditors  to  reject  it.  In  re  Criterion  Watch  Case 
Mfg.  Co.  (1902),  S.  Dist.  N.  Y.,  Wise,  R.,  8  A.  B.  R.,  206. 

e  [Distribution  of  assets.]  Upon  the  confirmation  of  a 
composition,  the  consideration  shall  be  distributed  as  the 
judge  shall  direct,  and  the  case  dismissed.  Whenever  a 
composition  is  not  confirmed,  the  estate  shall  be  admin- 
istered in  bankruptcy  as  herein  provided. 

Sec.  13.     Compositions,  When  Set  Aside. 

a  [When  fraud  practiced.]  The  judge  may,  upon  the 
application  of  parties  in  interest  filed  at  any  time  within 
six  months  after  a  composition  has  been  confirmed,  set 
the  same  aside  and  reinstate  the  case  if  it  shall  be  made  to 
appear  upon  a  trial  that  fraud  was  practiced  in  the  procuring 
of  such  composition,  and  that  the  knowledge  thereof  has 
come  to  the  petitioners  since  the  confirmation  of  such  com- 
position. 

See  ante  Sec.  12  and  notes.  As  to  disposition  of  property  when  com- 
position set  aside,  see  post,  64c. 

Compositions  may  be  set  aside  only  for  fraud.  This  section  limits 
and  qualifies  Sec.  2  (9).  An  error  in  address  of  creditors  in  schedules, 
whereby  he  receives  no  notice,  will  not  set  composition  aside.  In  re 
Rudnick  (1899),  Dist.  Mass.,  Lowell,  J.,  93  Fed.,  787;  2  A.  B.  R.,  114; 
1  N.  B.  N.,  531. 

Sec.  14.     Discharges,  When  Granted. 

a  [Application  for  Discliarge.]  Any  person  may,  after 
the  expiration  of  one  month  and  within  the  next  twelve 
months  subsequent  to  being  adjudged  a  bankrupt,  file  an 
application  for  a  discharge  in  the  court  of  bankruptcy  in 
which  the  proceedings  are  pending;  if  it  shall  be  made  to 
appear  to  the  judge  that  the  bankrupt  was  unavoidably 


00  DISCHARGES,  WHEN  GRANTED.  [§l4b. 

prevented  from  filing  it  within  such  time,  it  may  be  filed 
within  but  not  after  the  expiration  of  the  next  six 
months. 

For  definition  of  discharge,  see  Sec.  1  (12)  ante,  and  notes.  Creditors  shall 
have  at  least  ten  days'  notice  of  application  for  discharge.  Sec.  58(2)  and 
notes  post.  As  to  revocation  of  discharge,  see  Sec.  15  post,  and  notes. 
Application  for  discharge  may  be  referred  to  referee.  Gen.  Ord.  XII. 
As  to  petitions  for  discharges  and  what  petition  should  state,  see  Gen. 
Orders  XXXI  and  XXXII.  As  to  proceedings  in  opposition  to  discharge 
see  Gen.  Ord.  XXXII.  Petition  for  discharge  must  be  verified.  Sec. 
18  and  notes />05<.  For  form  of  petition  f»r  discharge,  see  form  57.  For 
form  of  order  for  discharge,  see  form  59. 

Court  without  power  to  discharge  xmless  application  made  within 
eighteen  months.  In  re  Fahy  (1902),  N.  Dist.  la.,  Shiras,  J.,  116  Fed., 
239;  8  A.  B.  R.,  354. 

No  second  petition  allowable  after  first  petition  is  denied.  The  practice 
on  reference  to  referee  of  hearing  on  objections  to  discharge  is  that  before 
a  special  master,  exceptions  to  findings  of  fact  must  be  taken.  Othei-- 
wise  such  findings  are  conclusive.  Grand  jury  having  found  no  bill  on 
case  presented  on  which  discharge  was  refused,  is  no  ground  for  vacating 
order  denying  discharge.  In  re  Royal  (1902),  E.  Dist.  N.  C,  Pumell,  J., 
113  Fed.,  140;  7  A.  B.  R.,  636. 

Application  must  be  within  the  time  limit  of  the  statute.  In  re  Wolff 
(1900),    N.  Dist.  Cal.,  De  Haven,  J.,  100  Fed.,  430. 

Petition  for  additional  six  months  must  be  within  the  time  limit. 
/«  r^  Fahy  (1902),  N.   Dist.  la.,  Shiras,  J.,  116  Fed.,  239;  8  A.  B.  R.,  354. 

h  [Hearing  application.]  The  judge  shall  hear  the  appli- 
cation for  a  discharge,  and  such  proofs  and  pleas  as  may  be 
made  in  opposition  thereto  by  parties  in  interest,  at  such 
time  as  will  give  parties  in  interest  a  reasonable  oppor- 
tunity to  be  fully  heard,  and  investigate  the  merits  of  the 
application  and  discharge  the  applicant  unless  he  has 

Specifications  of  objections  must  be  filed  by  the  creditors  opposing 
discharge.  Gen.  Ord.  XXXII  and  Form  No.  58.  As  to  conduct  of  pro- 
ceedings, see  Gen.  Ord.  IV  and  notes. 

Advice  of  counsel,  although  not  always  sufficient  excuse,  may  be 
allowed  as  an  explanation.  /«  r^  Schreck  (1899),  N.  Dist.  N.  Y.,  Hotch- 
kiss,  R.,  1  A.  B.  R.,  366;  1  N.  B.  N.,  334. 

Objections  to  discharge  must  be  specific,  not  general.     In  re  Dixon 


§l4b.]  DISCHARGES,  WHEN  GRANTED.  91 

(1899),  S.  Dist.  la.,  Woolson,  J.,  93  Fed.,  440;  1  A,  B.  R.,  610;    1  N.  B. 
N.,  326. 

General  discharge  does  not  affect  the  question  as  to  what  debts  are 
barred  by  it.  In  re  Tinker  (1900),  S.  Dist.  N.  Y.,  Brown,  J.,  99  Fed., 
79;  3  A.  B.  R.,  580;  2  N.  B.  N.,  391. 

Specification  of  objections  to  discharge  must  be  as  specific  as  an  in- 
dictment. In  re  Hirsch  (1899),  W.  Dist.  Tenn.,  Hammond,  J.,  96  Fed., 
468;  2  A.  B.  R.,  715;  2  N.  B.  N.,  137. 

Specifications  of  objections  to  discharge  must  be  based  on  one  or  both 
of  the  two  grounds  enumerated  in  the  act.  In  re  Thomas  (1899),  S. 
Dist.  la.,  Woolson,  J.,  92  Fed.,  912;  1  A.  B.  R.,  515;  1  N.  B.  N.,  329. 

Insufficient  specifications  of  objections  to  discharge  should  be  stricken 
out.  In  re  Holman  (1899),  S.  Dist.  la.,  Woolson,  J.,  92  Fed.,  512; 
1  A.  B.  R.,  600;  1  N.  B.  N.,  552. 

Denial  of  discharge  for  partnership  no  bar  to  application  of  individual 
member  for  discharge.  In  re  Feigenbaiun  (1902),  S.  Dist.  N.  Y.,  Adams, 
J.,  7  A.  B.  R.,  339. 

Bankrupt  organizing  bogus  corporation  for  purpose  of  concealing 
assets  not  entitled  to  discharge.  In  re  Wertheimer  (1900),  S.  Dist.  N. 
Y.,  Adams,  J.,  6  A.  B.  R.,  756. 

A  creditor  whose  claims  are  not  barred  by  discharge  cannot  move  to 
vacate  discharge.  In  re  Monroe  (1902),  Dist.  Wash.,  Hanford,  J.,  114 
Fed.,  398;  7  A.  B.  R.,  706. 

Discharge  of  a  debt  by  bankruptcy  proceedings  is  not  prevented  by 
reason  of  the  discharge  being  refused  in  previous  state  insolvency  pro- 
ceedings. Dean  v.  Justices,  etc..  Sup.  Ct.,  Mass.,  Holmes,  J.  (1899);  2 
A.  B.  R.,  163;  1  N.  B.  N.,  336. 

Discharge  of  partners  on  individual  petitions  without  showing  non- 
existence of  firm  assets,  not  granted.  In  re  Meyers  (1899),  S.  Dist. 
N.  Y.,  Brown,  J.,  97  Fed.,  757;  2  A.  B.  R.,  707;  1  N.  B.  N.,  515. 

A  bankrupt  creditor  corporation  is  dischargeable — such  discharge  does 
not  affect  the  secondary  liability  of  officers.  In  re  Marshall  Paper  Co. 
(1900),  C.  C.  A.,  1st  Cir.,  Colt,  J.,  102  Fed.,  872;  4  A.  B.  R.  468;  2  N.  B. 
N.,  1,053. 

Discharge  refused  where  sole  creditor's  claim  was  not  dischargeable  on 
ground  of  being  wilful  and  malicious  injury  to  person.  In  re  Maples, 
Dist.  Mont.,  Knowles,  J.,  105  Fed.,  919;  5  A.  B.  R.,  426. 

Examination  of  bankrupt  may  be  used  as  evidence  on  objection  to  dis- 
charge.    In  re  Cooke  (1901),  S.  Dist.  N.  Y.,  Brown,  J.,  5  A.  B.  R.,  434. 

Partnership  petition  not  basis  for  discharge  of  individual  where  all 


92  DISCHARGES,  WHEN  GRANTED.  [§  14b. 

proceedings  arcj  partnership  in  character.     In  re  Hale,  ct  al.  (1901) ,  E.  Dist. 
N.  C,  PximeU,  J.,  107  Fed.,  432;  6  A.  B.  R..  35. 

Fraudtilent  conduct  of  bankrupt  prior  to  bankruptcy  no  ground  for 
refusing  discharge.  In  re  Steed  &  Curtis  (1901),  E.  Dist.  N.  C,  Pur- 
nell,  J.,  107  Fed.,  682;  6  A.  B.  R.,  73;  3  N.  B.  N.,  941. 

Fact  that  bankrupt  owes  but  one  debt  does  not  bar  right  to  discharge. 
In  re  Frank  (1901),  W.  Dist.  Pa.,  Buffington,  J.,  6  A.  B.  R.,  156;  3  N.  B 
N.,  35. 

On  objections  to  discharge  and  reference  to  a  referee,  referee  can  pass 
on  admissibiUty  of  evidence — he  has  no  authority  to  allow  amendments. 
In  re  Kaiser  (1900),  Dist.  Minn.,  Lochren,  J.,  99  Fed.,  689;  3  A.  B.  R.,  767; 

2  N.  B.  N.,  123. 

Partnership  may  be  discharged;  so  long  as  debts  exist  partnership  con- 
tinues.    In  re  Hirsch  (1900),  S.    Dist.     N.  Y.,    Brown,  J.,  97  Fed.,  571; 

3  A.  B.  R.,  344;  2  N.  B.  N.,  137. 

Question  of  jurisdiction  on  ground  of  want  of  domicile  can  not  b«  raised 
on  objection  to  discharge.  In  re  Clisdell  (1900),  N.  Dist.  N.  Y.,  Coxe, 
J..  101  Fed.,  246;  4  A.  B.  R.,  95;  2  N.  B.  N.,  638. 

Application  for  discharge  more  than  eighteen  months  after  adjudica- 
tion nwnc  pro  tunc  not  allowed.  In  re  Wolff  (1900) ,  N.  Dist.  Cal.,  DeHaven, 
J.,  100  Fed.,  430;  4  A.  B.  R.,  74;  2  N.  B.  N.,  908. 

Specifications  of  objections  to  discharge  must  be  definite  and  certain 
and  allege  statutory  ground.  In  re  Peacock  (1900),  E.  Dist.  N.  C,  Pur- 
neU,  J.,  101  Fed.,  560;  4  A.  B.  R.,  136;  2  N.  B.  N.,  758. 

Death  of  bankrupt  will  not  prevent  or  stop  proceedings  on  objections 
to  discharge.  In  re  Parker  (1899),  Dist.  Kans.,  White,  R.,  1  A.  B.  R.. 
615;  1  N.  B.  N.,  261. 

Courts  of  bankruptcy  may  award  costs  against  creditors  who  file  ob- 
jections to  discharge.  In  re  Wolpert  (1899),  N.  Dist.  N.  Y.,  Hotchkiss 
R.;  1  A.  B.  R.,  436;  1  N.  B.  N.,  238. 

Hearing  will  be  deferred  until  fees  are  paid.  In  re  Barden  (1900), 
E.  Dist.  N.  C,  Pumell,  J.,  101  Fed.,  553;  4  A.  B.  R.,  31;  In  re  Fees  pay- 
able by  voluntary  bankrupts  (1899),  Dist.  Wash.,  Hanford,  J.,  95  Fed., 
120. 

Statements  false  in  matters  of  slight  consequence  no  bar.  In  re 
Miner  (1902),  Dist.  Ore.,  Bellinger,  J.,  114  Fed.,  998;  8  A.  B.  R.,  248. 

Where  intentional  fraudulent  transfer  made  discharge  will  be  re- 
fused. In  re  Schenck  (1902),  Dist.  Washington,  Hanford,  J.,  116  Fed.. 
654;  8  A.  B.  R.,  727. 

Amendments  of  specifications  liberally  allowed.  In  re  Carley  (1902) 
C.  C.  A.,  3rd  Cir.,  Gray,  J.,  117  Fed.,  130;  8  A.  B.  R.,  720. 


§l4b.]  DISCHARGES,  WHEN  GRANTED.  93 

Defects  in  specifications  waived  where' not  raised  on  hearing.  In  re 
Osborne  (1902),  C.  C.  A.,  1st  Cir.,  Putnam,  J.,  115  Fed.,  1;  8  A.  B  R.,  165 

Bankrupt  need  not  demur  to  specifications  to  avail  himself  of  their 
insiifficiency.  In  re  Crist  (1902),  S.  Dist.  Ala.,  Toxilmin,  J.,  116  Fed., 
1,007;  9  A.  B.  R.,  1. 

If  no  objection  is  made  the  court  will  presume  that  no  reason  exists 
for  not  granting  a  discharge.  In  re  Royal  (1902),  E.  Dist.  N.  C,  Pumell, 
J.,  113  Fed.,  140;  7  A.  B.  R.,  636. 

Discharge  of  individual  members  of  a  firm  refused  where  the  adjudica- 
tion is  only  of  the  firm.  Strause  v.  Hooper  (1901) ,  E.  Dist.  N.  C,  Pumell, 
J.,  105  Fed.,  590;  5  A.  B.  R.,  225;  3  N.  B.  N.,  276. 

Testimony  of  other  witness  than  the  bankrupt  on  first  meeting  not  com- 
petent on  objections  to  discharge.  In  re  Wilcox  (1901),  C.  C.  A.,  2nd 
Cir.,  Shipman,  J.,  109  Fed.,  628;  6  A.  B.  R.,  362;  3  N.  B.  N.,  876. 

Burden  of  proof  on  objecting  creditors.     Idem. 

Practice — no  answer  or  other  pleading  by  bankrupt  to  a  specification 
necessary — a  false  oath  made  by  bankrupt  in  his  examination  no  ground 
for  objection  to  his  discharge — . 

Objection  to  discharge  cannot  be  taken  pro  confesso.  In  re  Logan 
(1900),  Dist.  Ky.,  Evans,  J.,  102  Fed.,  876;  4  A.  B.  R.,  525;  2  N.  B- 
N.,  1,056. 

Discharge  not  obtainable  on  individual  petition  against  firm  debts  un- 
less all  the  petition  and  notices  so  declare — instructions  as  to  procedure. 
In  r^Hartman  (1899),  N.Dist.Ia.,Shiras,  J. ,96  Fed.,  593;  3  A.B.  R.,  65. 
To  same  effect  in  re  McFaun  (1899),  N.  Dist.  la.,  Shiras,  J.,  96  Fed., 
592;  3  A.  B.  R.,  66. 

Objections  to  discharge  must  show  that  the  intent  was  unlawful. 
Smith  v.  Keegan  (1901),  C.  C.  A.,  1st  Cir.,  Putnam,  J.,  Ill  Fed.,  157;  7 
A.  B.  R.,  4. 

The  burden  of  proof  is  on  the  person  who  objects  to  discharge  of  bank- 
rupt. In  re  Idzall  (1899),  S.  Dist.  la.,  Woolson,  J.,  96  Fed.,  314;  2 
A.  B.  R.,  741. 

Objection  to  discharge  must  aver  distinctly  the  facts.  Referee  no 
power  to  allow  amendments  to  specifications.  In  re  Wolfensohn  (1900), 
S.  Dist.  N.  Y.,  Dexter,  R.,  5  A.  B.  R.,  60. 

Fraudulent  transfer  is  not  necessarily  a  bar  to  discharge.  In  re 
Crenshaw,  S.  Dist.  Ala.,  Toulmin,  J,,  95  Fed.,  632;  2  A.  B.  R.,  623. 

Oversight  in  making  a  schedule  is  not  a  bar  to  discharge.     Idem. 

Quere:  May  bankrupt  corporation  be  entitled  to  discharge.  In  re 
Marshall  Paper  Co.  (1899),  Dist.  Mass.,  Lowell,  J.,  95  Fed.,  419;  2  A.  B. 


94  DISCHARGES,  WHEN  GRANTED.  [§l4b.(l) 

R.,  653;  1  N.  B.  N.,  407.     It  is    entitled  to  discharge     In  re  Marshall 
Paper  Co.  (1900),  C.  C.  A.,  102  Fed.,  872. 

Specification  of  objections  to  discharge  may,  in  the  discretion  of  the 
court,  be  filed  nunc  pro  tunc — creditor  held  not  to  have  proved  his  claim. 
In  re  Price  (1899),  S.  Dist.  la.,  Woolson,  J.,  96  Fed.,  611;  2  A.  B.  R., 
674;  1  N.  B.  N.,  432. 

Grounds  of  objection  to  discharge  must  be  proved  by  clear  and  con- 
vicning  testimony.  In  re  Howden  (1901),  N.  Dist.  N".  Y.,  Coxe,  J.,  Ill 
Fed.,  723;  7  A.  B.R.,  191  contra,  Knott  v.  Putnam  (1901),  Dist.  Va., 
Wheeler,  J.,  107  Fed.,  907;  6  A.  B.  R.,  80. 

Discharge  not  refused  because  of  a  claim  based  on  fraud.  In  re 
Rhutassell,  (1899),  N.Dist.  la.,  Shiras,J.,  96  Fed.,  597;  2  A.  B.  R.,  697; 
1  N.  B.  N.,  572.1 

Decision  of  lower  court  on  question  of  discharge  will  be  sustained,  un- 
less the  decision  is  clearly  against  the  weight  of  evidence.  Duplicity  of 
pleading  should  be  raised  below,  not  in  the  Appellate  Court  for  the  first 
time.  Osborne  v.  Perkins  (1901),  C.  C.  A.,  1st  Cir.,  Aldrich,  J.,  112  Fed., 
127;  7  A.  B.  R.,  250. 

Objections  to  discharge  must  in  all  cases  proceed  in  regular  order. 
In  re  Sykes  (1901),  W.  Dist.  Tenn.,  Hammond,  J.,  106  Fed.,  669;  6  A. 
B.  R.,  264. 

No  court  bound  to  take  judicial  notice  of  discharge.  Collins  v.  Mc- 
Walters  (1901),  Sup.  Ct.  N.  Y.,  35  Misc.  (N.  Y.).  648;  6  A.  B.  R.,  593. 

(1)  [Committed  an  offense.]  Committed  an  offense  pun- 
ishable by  imprisonment  as  herein  provided ;  or 

For  offenses  under  the  act,  see  Sec.  29a  and  notes. 

Discharge  granted  where  grounds  of  opposition  were  transfers  more 
than  a  year  old.  Fields  v.  Kartner  (1902),  C.  C.  A.,  5th  Cir.,  115  Fed., 
950;  8  A.  B.  R.,  351. 

Where  specifications  of  objections  to  discharge  fail  to  aver  that  bank- 
rupt "knowingly  and  fraudulently"  made  a  false  oath,  they  are  fatally 
defective.  In  re  Beebe  (1902),  E.  Dist.  Pa.,  McPherson,  J.,  116  Fed., 
48;  8  A.  B.  R.,  597. 

Discharge  denied  though  fraudulent  transfers  were  made  more  than 
four  months  before.  In  re  Schenck  (1902),  Dist.  Wash.,  Hanford,  J., 
116  Fed.,  554;  8  A.  B.  R.,  727. 

Discharge  refused  where  assets  shown  to  be  concealed.  In  re  Otto 
(1902),  Dist.  N.  Y.,  Lewis,  R.,  8  A.  B.  R.,  753. 

After  filing  specifications  for  discharge  no  pleading  necessary  by 
bankrupt — bankrupt  may  demur  or  move  to  strike  out  for  insufficiency 


§14b.  (1)]  DISCHARGES,  WHEN  GRANTED.  95 

or  go  to  trial  on  the  merits.     In  re  Crist  (1902),  S.  Dist.  Ala.,  Toulmin, 
J.,  116  Fed.,  1,007;  9  A.  B.  R.,  3. 

Where  money  received  by  bankrupt  after  filing  petition,  burden  of 
proof  is  on  him  to  prove  that  it  was  turned  over  to  trustee  on  his  applica- 
tion for  discharge.  In  re  Leslie  (1903),  N.  Dist  N.  Y.,  Ray,  J.,  119  Fed., 
406. 

Offenses  and  frauds  of  agents  not  imputable  to  the  bankrupt  principal. 
In  re  Meyers  (1900),  S.  Dist.  N.  Y.,  Brown,  J.,  105  Fed.,  353;  5  A.  B.  R., 
4;  2  N.  B.  N.,  111. 

Objections  to  discharge  must  be  confined  to  the  statutory  ground — 
non-residence  in  the  state  of  the  bankrupt  no  ground  for  objections  to 
discharge — on  ground  of  perjury  sufficient  facts  must  be  produced  to 
sustain  objections.  In  re  Goodale,  et  al.  (1901),  N.  Dist.  N.  Y.,  Coxe, 
J.,  109  Fed.,  783;  6  A.  B.  R.,  493. 

Fraudulent  preference  not  amounting  to  a  concealment  no  bar  to 
discharge.  In  re  Pierce  (1900),  N.  Dist.  N.  Y.,  Coxe,  J.,  102  Fed.,  977; 
4  A.  B.  R.,  554;  2  N.  B.  N.,  984. 

Fraudulent  preferences  before  passage  of  the  act  no  bar  to  discharge. 
In  re  Webb  (1900),  N.  Dist.  N.  Y.,  Coxe,  J.,  98  Fed.,  404;  3  A.  B.  R.,  204; 
2  N.  B.  N.,  289. 

Discharge  refused  where  bankrupt  has  large  unexplained  shortage 
of  assets.  In  re  Finklestein  (1900),  S.  Dist.  N.  Y.,  Brown,  J.,  101  Fed., 
418;  a  A.  B.  R.,  800;  2  N.  B.  N.,  839. 

Proof  of  false  oath  will  bar  discharge  irrespective  of  question  as  to 
whether  he  can  be  convicted  of  perjury.  In  re  Gaylord  (1901) ,  C.  C.  A.,  2nd 
Cir.,  Wallace,  J.,  106  Fed.,  833;  7  A.  B.  R.,  1. 

The  effect  of  discharge  on  a  debt  does  not  govern  right  to  discharge. 
General  discharge  will  be  granted  even  if  the  only  debt  scheduled  is  one 
that  would  not  be  affected  by  discharge.  In  re  McCarty  (1901) ,  N.  Dist. 
111.,  Humphrey.  J.,  Ill  Fed.,  151;  7  A.  B.  R.,  40. 

Omitting  cash  in  bank  from  his  schedule  and  making  no  effort  to  amend 
his  schedule  constitutes  fraudulent  concealment.  In  re  Royal  (1901), 
E.  Dist.  N.  C,  Pumell,  J.,  112  Fed.,  135;  7  A.  B.  R.,  106. 

Discharge  denied  on  the  groimd  that  bankrupt  has  not  surrendered 
all  his  property  and  rights  of  property  where  he  had  life  estate  capable 
of  voluntary  alienation,  but  not  attached  by  creditors,  where  bankrupt 
files  voluntary  petition.  In  re  Fleishman  (1902),  Dist.  Ct.,  N.  Dist. 
111.,  Kohlsaat,  J.,  25  Nat.  Corp.  R.,  520. 

Buying  claim  of  opposing  creditors  by  bankrupt,  directly  or  indirectly, 
is  ground  for  refusing  discharge.  Also  where  bankrupt  has  property  in 
wife's  name  for  purpose  of  concealment,  discharge  refused.     In  re  Steind- 


96  DISCHARGES,  WHEN  GRANTED.  [§14b.  (1) 

ler  &  Hahn  (1900),    S.  Dist.    N.  Y.,  Pendleton,  R.,  5  A.  B.  R.,  63;  3  N. 
B.  N.,  81. 

Objections  to  discharge  not  sustained  where  concealment  of  assets  is 
alleged,  but  is  not  shown  to  be  wilfully,  intentionally,  knowingly  and 
fraudulently  done.  An  appropriation  by  husband  of  wife's  interest,  in  a 
business,  does  not  vest  equitable  title  in  him.  In  re  Bryant  (1900),  E. 
Dist.  Tenn.,  Clark,  J.,  104  Fed.,  789;  5  A.  B.  R.,  114;  2  N.  B.  N.,  1,058. 

Discharge — bankrupt  carrying  on  business  in  wife's  name — circum- 
stances not  showing  fraud,  discharge  granted.  In  re  Locks  (1900),  W. 
Dist.  N.  Y.,  Hazel,  J.,  104  Fed.,  783;  5  A.  B.  R.,  136. 

Omitting  property  from  schedules  wiU  not  bar  discharge  if  not  done 
with  fraudulent  intent.  In  re  Eaton  (1901),  N.  Dist.  N.  Y.,  Coxe,  J., 
110  Fed.,  731;  6  A.  B.  R.,  531. 

No  fraud  in  omitting  to  schedule  property  of  which  though  legally  his 
he  might  have  reasonable  doubt  as  to  ownership.  In  re  Marsh  (1901), 
Dist.  Vt.,  Wheeler,  J.,  109  Fed.,  602;  6  A.  B.  R.,  537. 

Failure  to  schediile  contingent  interest  under  father's  will  not  vested 
at  time  of  bankruptcy  no  bar  to  discharge.  In  re  Wetmore  (1900),  E. 
Dist.  Pa.,  McPherson,  J.,  99  Fed.,  703;  3  A.  B.  R.,  700. 

Discharge  refused  where  bankrupt  on  examination  made  false  state- 
ments as  to  his  disbursements.  In  re  Dew^s  (1900) ,  Dist.  R.  I.,  Brown,  J  ., 
101  Fed.,  549;  3  A.  B.  R.,  691;  2  N.  B.  N.,  437. 

Fraudulent  concealment  is  not  always  shown  by  fraudulent  convey- 
ance— secret  trusts  must  be  scheduled  or  discharge  v/ill  not  be  allowed . 
In  re  Bemer  (1900),  S.  Dist.  Ohio,  Remington,  R.,  4  A.  B.  R.,  383;  2  N. 
B.  N.,  268. 

False  oath  is  made  when  bankrupt  omits  $37.50  from  his  schedules. 
In  re  Roy  (1900),  Dist.  Vt..  Wheeler,  J.,  96  Fed.,  400;  3  A.  B.  R.,  37;  1 
N.  B.  N..  526. 

Discharge  refused  where  bankrupt  had  omitted  property  previously 
fraudulently  transferred  to  his  wife,  /w  r^  Welch  (1901),  S.  Dist.  Ohio, 
Thompson,  J.,  100  Fed..  65;  3  A.  B.  R.,  93;  1  N.  B.  N.,  533. 

Fraudulent  conveyance  of  bankrupt  will  bar  the  discharge.  In  re 
Skinner  (1899),  N.  Dist.  la.,  Shiras,  J.,  97  Fed.,  190;  3  A.  B.  R.,  163. 

Omission  to  schedule  assets  from  mistake  of  law  or  fact  will  not  bar 
discharge.  In  re  Morrow  (1899),  N.  Dist.  Cal.,  DeHaven,  J.,  97  Fed., 
674;  3  A.  B.  R.,  263. 

Discharge  granted.  No  concealment  of  assets  shown — failure  to 
schedule  valueless  land  no  objection.  In  re  Hirsch,  S.  Dist.  N.  Y., 
Brown,  J.,  97  Fed.,  571;  3  A.  B.  R.,  344;  2  N.  B.  N.,  137. 


§14b.  (1)]  DISCHARGES,  WHEN  GRANTED.  97 

Discharge  refused  on  failure  to  account  for  assets.  In  re  O'Gara,  Dist. 
Ore.,  Bellinger,  J.,  97  Fed.,  932;  3  A.  B.  R.,  349. 

Discharge  not  denied  for  acts  committed  before  the  passage  of  the 
bankruptcy  act.  In  re  Webb  (1899),  N.  Dist.  N.  Y.,  Coxe,  J.,  98  Fed., 
404;  3  A.  B.  R.,  386;  2  N.  B.  N.,  11. 

The  concealment  of  assets  and  false  oath  to  bar  discharge  must  be  clear- 
ly shown.  In  re  DeLeeuw  (1899),  S.  Dist.  N.  Y.,  Brown,  J.,  98  Fed., 
408;  3  A.  B.  R.,  418;  2  N.  B.  N.,  267., 

Omission  from  schedule  without  fraudulent  intent  not  a  bar  to  dis- 
charge. In  re  Freund  (1899),  S.  Dist.  N.  Y.,  98  Fed.,  81;  3  A.  B.  R., 
418;  1  N.  B.  N.,  305. 

Discharge  will  not  be  granted  when  bankrupt  fails  to  accoimt  for  assets. 
In  re  Mendelsohn  (1900),  S.  Dist.  N.  Y.,  Brown,  J.,  102  Fed.,  119;  4 
A.  B.  R.,  103;  1  N.  B.  N.,  391. 

Undetermined  proceedings  for  discharge  under  law  of  1867  not  a  bar 
to  this  procedure.  In  re  Herrman  (1900),  S.  Dist.  N.  Y.,  Brown,  J., 
102  Fed.,  753;  4  A.  B.  R.,  139;  2  N.  B.  N.,  905. 

Where  bankrupt  by  mistake  included  in  his  schedules  property  which 
did  not  belong  to  him,  and  there  is  absence  of  proof  that  false  oath  was 
wilful  and  fraudulent,  there  is  no  ground  for  refusing  discharge.  In  re 
Bushnell  (1899),  Dist.  N.  J.,  Parker,  R.,  1  N.  B.  N.,  528. 

No  ground  for  objection  to  discharge  that  bankrupt  did  not  deliver 
correct  statement  of  accotmts  where  every  effort  has  been  made  to  procure 
the  statement.     Idem. 

Innocent  failure  to  schedule  creditors  will  not  be  a  groimd  for  refusing 
discharge.     In  re  Huber  (1899),  N.  Dist.  N.  Y.,  Judson,  R. ;  1  N.  B.  N.,  432. 

Discharge  refused  for  concealment  of  assets  which  are  fraudulently 
transferred  prior  to  the  act,  but  over  which  the  bankrupt  continues  to  ex- 
ercise ownership.  In  re  Quackenbush,  N.  Dist.  N.  Y.,  Coxe,  J.,  102  Fed., 
282;  4  A.  B.  R.,  274;  2  N.  B.  N.,  964. 

Discharge  denied  for  refusal  to  turn  over  assets.  In  re  Cashman  (1900) , 
S.  Dist.  N.  Y.,  Brown,  J.,  103  Fed.,  67;  4  A.  B.  R.,  326;  2  N.  B.  N.,  980. 

Discharge  refused  for  concealment  of  assets.  In  re  Hoffman  Addn. 
(1900),  S.  Dist.  N.  Y.,  Brown,  J.,  102  Fed.,  979;  4  A.  B.  R.,  331;  2  N.  B. 
N.,   554. 

Omitting  to  schedule  shares  of  stock  in  name  of  wife  not  shown  to  be 
in  trust  for  bankrupt,  even  if  open  to  attack  by  trustee  no  ground  for 
withholding  discharge.  Fellows  et  at  v.  Freudenthal  (1900),  C.  C.  A., 
7th  Cir.,  Seaman,  J.,  102  Fed.,  731;  4  A.  B.  R.,  490. 

Failure  to  schedule  assets  with  knowledge  of  their  existence  constitutes 
a    false  oath  within  the   meaning  of   the   act  and  will   be  ground  for 


98  DISCHARGES,  WHEN  GRANTED.  [§  14  b.  (1) 

barring   discharge.     In  re   Welch  (1900),   S.  Dist.  Ohio,   Thompson,  J., 
3  A.  B.  R.,  93;  1  N.  B.  N.,  533. 

The  intentional  omission  from  the  schedule  of  small  items  of  goods 
worth  in  the  aggregate  only  fifty  dollars,  is  sufficient  ground  for  refusing 
a  discharge.  In  re  Lowenstein  (1899),  S.  Dist.  N.  Y.,  Holt,  R.,  affirmed 
by  Brown,  J.,  2  A.  B.  R.,  193;  1  N.  B.  N.,  326. 

A  transfer  to  his  wife  by  bankrupt  and  thereafter  bankrupt's  working 
ostensibly  for  the  wife  in  the  conduct  of  the  business  is  not  fraudulent  con- 
cealment to  bar  discharge  in  the  absence  of  a  trust  in  the  husband's  favor. 
In  re  Fitchard,  N.  Dist.  N.  Y.,  Coxe,  J.,  103  Fed.,  742;  4  A.  B.  R.,  609; 
2  N.  B.  N.,  1,075. 

Mere  fact  of  failing  to  schedule  property  which  had  been  conveyed  to 
the  wife  without  intent  to  defraud  creditors,  no  bar  to  discharge.  In  re 
Freund  (1899),  S.  Dist.  N.  Y.,  Brown,  J.,  98  Fed.,  81;  3  A.  B.  R.,  418. 

Effect  of  discharge  is  to  be  determined  when  it  is  pleaded.  In  re  White 
(1900),  S.  Dist.  Ohio,  Mack,  R.,  2  N.  B.  N.,  536. 

Facts  showing  concealment — fraudulent  transfer  to  wife — ^no  explana- 
tion— failure  to  keep  books — obstructing  investigation  by  trustee.  In  re 
Bemis  (1900),  N.  Dist.  N.  Y.,  Coxe,  J.,  104  Fed.,  672;  5  A.  B.  R.,  36;  3  N. 
B.  N.,  49. 

Discharge  denied  for  concealing  assets  of  estate.  Ablowtch  v.  Sturs- 
burg  (1901),  C.  C.  A.,  2nd  Cir.,  105  Fed.,  751;  5  A.  B.  R.,  403. 

Concealment  of  assets  shown  in  bankrupt  selling  out  at  wholesale  and 
not  satisfactorily  proving  that  he  had  actually  paid  out  proceeds — the  bur- 
den being  on  him  so  to  do.  In  re  Holstein  (1902),  Dist.  Conn.,  Piatt,  J., 
114  Fed.,  794;  8  A.  B.  R.,  147. 

False  oath  should  be  such  as  to  show  purpose  to  defraud  or  misrepre- 
sent. Mistakes  in  figures  as  to  liabilities  and  assets  without  such  piupose 
no  ground  for  withholding  discharge.  In  re  Otto  (1902) ,  Dist.  N.  J.,  Kirk- 
patrick,  J.,  115  Fed.,   860;  8  A.  B.  R.,  305. 

Fraudulent  concealment  of  property  is  not  shown  from  the  mere 
equitable  interest  of  a  bankrupt  which  may  be  shown  on  a  bill.  In  re 
Dews.  Dist.  of  R.  I.,  Brown,  J.,  96  Fed.,  181;  2  A.  B.  R.,  691;  1  N.  B. 
N.,  411. 

Omission  to  schedule  $500  advanced  seven  years  before  by  the  bank- 
rupt to  his  wife  is  not  a  bar  to  discharge.  Sellers  v.  Bell,  C.  C.  A.,  5th 
Cir.,  McCormick,  J.,  94  Fed.,  801;  2  A.  B.  R.,  529. 

Fraudulent  transfer  of  property  will  bar  the  discharge  though  made 
before  the  act  was  passed,  as  it  was  the  duty  of  the  bankrupt  to  schedule 
the  same.  In  re  McNamara  (1899),  S.  Dist.  N.  Y.,  Wise,  R.,  2  A.  B. 
1^.,  566;  2  N.  B.  N..  .^41. 


§14b.  (1)]  DISCHARGES,  WHEN  GRANTED.  99 

Discharge  denied  when  bankrupt  omitted  to  schedule  a  vested  remain- 
der vmder  his  father's  will.  In  re  Wood  (1900),  S.  Dist.  N.  Y.,  95  Fed., 
946;  3  A.  B.  R.,  572;  1  N.  B.  N.,  530. 

Voluntary  gift  to  a  wife  several  years  before  proceedings  not  a  ground 
for  opposing  discharge,  although  open  to  attack  by  trustee.  In  re  House 
(1900),  E.  Dist.  N.  Y.,  Thomas,  J.,  103  Fed.,  616;  4  A.  B.  R.,  603;  2  N. 
B.  N.,  1,099. 

Objecting  creditors  must  show  that  bankrupt  knowingly  and  fraudu- 
lently concealed  property  belonging  to  his  estate  in  order  to  resist  dis- 
charge on  ground  of  concealment  of  property.  In  re  Cohn  (1899),  W. 
Dist.  Mo.,  Rathbum,  R.,  1  A.  B.  R.,  655;  2  N.  B.  N.,  299. 

Discharge  refused  for  failure  of  bankrupt  to  account  for  moneys  in 
his  possession  shortly  before  bankruptcy.  In  re  Cabus  (1901) ,  S .  Dist. 
N.  Y.,  Pendleton,  R.,  6  A.  B.  R.,  156. 

Facts  showing  stock  of  a  company  held  for  bankrupt's  benefit  provided 
he  reduced  same  to  possession,  do  not  show  such  intent  as  justified 
charge  of  concealment.  In  re  Conn.  (1901),  Dist.  Ore.,^  Bellinger,  108 
Fed.,  525;  6  A.  B.  R.,  217;  3  N.  B.  N.,  955. 

Costs  incurred  prior  to  filing  of  petition  are  barred  by  discharge. 
Those  incurred  after  are  not  so  barred.  Aiken,  Lambert  &  Co.  v.  Haskins 
(1901),  N.  Y.  Sp.  Ct.,  Houghton,  J.,  70  N.  Y.,  Sup.  293;  34  Misc.,  505; 
6  A.  B.  R.,46. 

False  oath  before  the  referee  ground  for  objection,  though  not  testify- 
ing, although  such  testimony  cannot  be  used  against  him  criminally. 
In  re  Dow  (1900),  S.  Dist.  la.,  McPherson,  J.,  105  Fed.,  889;  5  A.  B.  R. 
400. 

Mingling  funds  of  the  bankrupt  with  those  of  his  wife  in  bank  so  that 
they  cannot  be  distinguished  is  ground  for  withholding  discharge — costs 
of  referee's  fee  for  reference  allowed.  Bragassa  v.  St.  Louis  Cycle  Co. 
(1901),  C.  C.  A.,  5th  Cir.,  107  Fed.,  77;  5  A.  B.  R.,  700. 

Objection  to  discharge  on  ground  of  false  oath  not  established  by  show- 
ing he  had  made  statement  previously  which  conflicted  with  the  present 
oath.  Bauman  v.  Feist  (1901),  C.  C.  A.,  8th  Cir.,  107  Fed.,  83;  5  A.  B. 
R.,  703. 

Where  objection  to  ground  of  discharge  is  false  oath  the  evidence  must 
be  clear  and  convincing.  In  re  Gaylord  (1901),  N.  Dist.  N.  Y.,  Coxe, 
J.,  106  Fed.,  833;  5  A.  B.  R.,  410. 

Omission  from  schedule  of  tontine  life  policy  will  bar  discharge.  In 
re  Becker  (1901),  N.   Dist.  N.  Y.,  Coxe,  J.,  106  Fed.,  54;  5  A.  B.  R.,  438. 

Alimony  in  arrears  not  provable  or  dischargeable  debt.  Maisner  v. 
Maisner  (1901),  N.  Y.  Sup.  Ct.,  Patterson,  J.;  6  A.  B.  R.,  295;  3  N.  B. 
N.,  999. 


100  DISCHARGES,  WHEN  GRANTED.  [§l4b.  (2) 

Fraudulent  intent  to  prefer — burden  of  proof  of  insolvency  and  intent 
on  issue  is  on  creditor — intent  is  so  shown  when  the  insolvency  is  proved 
and  the  fact  of  transfer  burden  of  intent  then  rests  on  the  bankrupt — val- 
ue of  property  determined  by  the  receivers  is  evidence  on  question  of  in- 
solvency. In  re  Block  (1901),  C.  C.  A.,  2nd  Cir.,  Shipman,  J.,  109  Fed., 
790;  6  A.  B.  R.,  300;  3  N.  B.  N.,  894. 

Concealment  from  trustee  not  to  be  technically  construed — conceal- 
ment from  receiver  of  state  court  pending  appointment,  will  apply  to  the 
trustee.  In  re  Lesser  Bros.  (1901),  S.  Dist.  N.  Y.,  108  Fed.,  205;  5  A.  B 
R.,  330. 

(2)  [Destroyed  books.]  With  (fraudulent)  intent  to 
conceal  his  (true)  financial  condition  (and  in  contemplation 
of  bankruptcy),  destroyed,  concealed,  or  failed  to  keep  books 
of  account  or  records  from  which  (his  true)  *  such  *  con- 
dition might  be  ascertained ;   or 

As  amended  by  Act  of  1903.      See  4  of  Amendment,  page       ,  post. 
lAmendment  omits  matter  between  brackets  and  adds  matter  between  stars.] 

Destruction  of  books  by  bankrupt  before  the  act  not  in  contemplation 
of  bankruptcy  is  no  fovmdation  for  refusing  discharge.  In  re  Stark 
(1899),  S.  Dist.  N.  Y.,  Holt,  R.,  1  A.  B.  R.,  180;  1  N.  B.  N.,  232. 

Concealment  of  books  in  order  to  be  an  objection  to  discharge  must 
have  been  in  contemplation  of  bankruptcy.  In  re  Boasberg  (1899) ,  N. 
Dist.  N.  Y.,  Hotchkiss,  R.,  1  A.  B.  R.,  353;  1  N.  B.  N.,  133. 

Objections  to  discharge  not  sustained  by  proof  of  fraudulent  conceal- 
ment of  books  by  a  bankrupt  prior  to  the  passage  of  the  act.  In  re 
Shorer  (1899),  Dist.  Conn.,  Townsend,  J.,  96  Fed.,  90;  2  A.  B.  R.,  165;  1 
N.  B.  N.,  331. 

Failure  to  keep  books  must  relate  to  a  period  since  the  passage  of  the 
bankruptcy  act.  In  re  Dews  (1899),  Dist.  R.  I.,  Brown,  J.,  96  Fed.,  181; 
2  A.  B.  R.,  483;  1  N.  B.  N.,  411. 

The  failure  to  keep  books  where  the  business  does  not  require  book- 
keeping is  not  an  objection  to  discharge.  Sellers  v.  Bell  (1899),  C.  C.  A., 
5th  Cir.  McCormick,  J.,  94  Fed.,  801;  2  A.  B.  R.,  529. 

Failure  to  keep  books  must  be  with  fraudulent  intent.  In  re  Spear 
et  al.  (1900),  Dist.  Vt.,  Wheeler,  J.,  103  Fed.,  779;  4  A.  B.  R.,  617. 

Failure  to  keep  books — facts  showing  fraudulent  intent.  In  re  Kenyon 
(1902).  N.  Dist.  la.,  Shiras,  J..  112  Fed.,  658;  7  A.  B.  R.,  527. 

Objections  to  discharge  not  found  to  be  proved  beyond  a  reasonable 
doubt.     Circxunstances  showing  concealment  and  failvire  to  keep  books. 


§l4b.  (2)]  DISCHARGES,  WHEN  GRANTED.  101 

In  re  Greenberg  (1902),  Dist.  Conn.,  Townsend,  J.,  114  Fed.,  773;  8  A. 
B.  R.,  94. 

Failure  to  keep  books  of  account  shown  by  omission  to  make  any 
entry  of  debts  to  bankrupt's  relatives  in  his  books,  except  on  private 
memorandum  books,  which  were  lost.  In  re  Feldstein  (1902),  C.  C.  A., 
Lacombe,  J.,  2nd  Cir.,  115  Fed.,  259;  8  A.  B.  R.,  160. 

Discharge  not  refused,  although  there  was  looting  of  assets  by  credi- 
tors and  disappearance  of  books  a  long  time  before  failure.  In  re  Phillips 
(1900),  S.  Dist.  N.  Y.,  Brown,  J.,  98  Fed.,  844;  3  A.  B.  R.,  542;  2  N.  B. 
N.,  424. 

Discharged  denied  where  books  were  shown  to  be  falsified.  In  re 
McBachron,  E.  Dist.  Wis.,  Seaman,  116  Fed.,  783;  8  A.  B.  R.,  732. 

Discharge — effect  of  failing  to  keep  books  shown  on  examination  as 
affecting  right  to  discharge.  In  re  Leopold  (1901),  S.  Dist.  N.  Y.,  Wise, 
R.,  5  A.  B.  R.,  278. 

Where  able  business  man  failed  to  keep  books  of  account  when  he 
knew  himself  to  be  hopelessly  insolvent,  he  is  not  entitled  to  discharge. 
In  re  Kenyon  (1902),  N.  Dist.  la.,  Shiras,  J.,  112  Fed.,  658;  7  A.  B.  R, 
527. 

Fraudulent  keeping  of  books  by  one  partner  in  effort  to  cheat  both 
creditor  and  partner,  not  chargeable  against  the  innocent  partner  and  no 
bar  to  discharge.  In  re  Schultz,  Jr.  (1901),  S.  Dist.  N.  Y.,  Brown,  J. 
109  Fed.,  264;  6  A.  B.  R.,  91;  3  N.  B.  N.,  844. 

Objection  to  discharge  not  sustained  for  failtire  to  keep  books  where 
the  business  was  such  that  books  would  not  ordinarily  be  kept.  In  re 
Com  (1901),  N.  Dist.  Ga.,  Newman,  J.,  106  Fed.,  143;  5  A.  B.  R.,  478. 

Concealment  of  assets  and  failure  to  keep  proper  books  of  account 
bars  discharge.  In  re  Holstein  (1902),  Dist.  Conn.,  Piatt,  J.,  114  Fed., 
794;  8  A.  B.  R.,  147. 

Discharge  refused  where  bank  account  concealed.  In  re  Otto  (1902), 
Dist.  N.  J.,  Kirkpatrick,  J.,  115  Fed.,  860;  8  A.  B.  R.,  305. 

Concealment  more  than  a  year  before  adjudication  no  bar  to  dis- 
charge.    (1902),  C.  C.  A.,  5th  Cir.,  115  Fed.,  950;  8  A.  B.  R.,  351. 

Where  no  objection  to  discharge  the  fraudulent  keeping  of  books  is 
shown,  it  is  not  necessary  to  prove  that  it  was  in  contemplation  of  bank- 
ruptcy. This  may  be  inferred  from  the  facts.  In  re  Feldstein  (1901), 
S.  Dist.  N.  Y.,  108  Fed.,  794;  6  A.  B.  R.,  458;  3  N.  B.  N.,  810. 

Loss  of  books  in  1891  does  not  show  fraudulent  intent  and  is  no  ground 
for  opposing  discharge.  In  re  Stark  (1899),  S.  Dist.  N.  Y.,  Brown,  J., 
96  Fed.,  88;  2  A.  B.  R.,  785;  1  N.  B.  N.,  232. 


102  DISCHARGES,  WHEN  GRANTED.  [§l4b.  (3) 

Failure  .to  keep  books  before  the  Act  no  objection  to  discharge.  In  re 
Holman    (1899),    S.  Dist.  la.,  Woolson,  J. ,92  Fed.,  512;    1  A.  B.  R.,  600; 

1  N.  B.  N.,  552. 

In  re  Schertzer  (1900),  E.  Dist.  Pa.,  McPherson,  J.,  99  Fed.,  706;  3  A. 
B.  R.,  699;  2  N.  B.  N.,  520. 

Discharge  denied — bankrupts  held  to  have  concealed  their  books  by 
failing  to  account  for  them,  /n  re  Ablowich  (1900),  S.  Dist.  N.  Y., 
Brown,  J.,  99  Fed.,  81;  3  A.  B.  R.,  586;  2  N.  B.  N.,  386. 

Failiire  of  bankrupt's  husband,  who  was  her  agent,  to  keep  books,  not 
to  be  imputed  to  the  bankrupt,  /n  r^  Hyman  (1899),  S.  Dist.  N.  Y., 
Thomas,  J.,  97  Fed.,  195;  3  A.  B.  R.,  169. 

Destruction  of  books  before  passage  of  the  act  no  bar  to  discharge; 
nor  is  debt  created  by  a  fraud  before  passage  of  the  act  a  bar  to  discharge. 
In  re  Lieber  (1899),  Dist  Pa.,  Mason,  R.,  3  A.  B.  R.,  217;  2  N.  B.  N.,  21. 

Failure  to  keep  books  must  be  shown  to  be  with  fraudulent  intent. 
In  re  Brice  S.  Dist.  la.,  Shiras,  J.,  (1900)  102  Fed.,  114;  4  A.  B.  R.,  355. 

Trader  presumed  to  keep  books.  Instifficient  explanation  to  account 
for  their  non-production  will  prevent  discharge.  In  re  Berkowitz  (1900), 
S.  Dist.  N.  Y.,  Wise,  R.,  4  A.  B.  R.,  37. 

Discharge  refused  for  failure  to  keep  books — bankrupt  purposely 
commingled  his  funds  with  his  wife's  and  kept  no  books  of  his  own.  In 
re  Bragasa  (1900),  N.  Dist.  Tex.,  Meek,  J.,  102  Fed.,  936;  4  A.  B.  R.,  519; 

2  N.  B.  N.,  837. 

The'  failure  to'  keep  books  must  be  in  contemplation  of  bankruptcy ; 
not  merely  of  insolvency.  In  re  Marx  (1900),  Dist.  Ky.,  Evans,  J.,  102 
Fed.,  676;  4  A.  B.  R.,  521;  2  N.  B.  N.,  837. 

Facts  showing  concealment  of  books.  In  re  Morgan  (1900),  W.  Dist. 
Ark.,  Rogers,  J.,  101  Fed.,  982;  4  A.  B.  R.,  402;  2  N.  B.  N.,  846. 

*(3)  [Obtained  property  on  false  representation.]  Ob- 
tained property  on  credit  from  any  person  upon  a  materially 
false  statement  in  writing  made  to  such  person  for  the  pur- 
pose of  obtaining  such  property  on  credit ;  or* 

*(4)  [Transferred  property  to  defraud.]  At  any  time 
subsequent  to  the  first  day  of  the  four  months  immediate- 
ly preceding  the  filing  of  the  petition  transferred,  removed, 
destroyed,  or  concealed,  or  permitted  to  be  removed,  de- 
stroyed, or.  concealed  any  of  his  property  with  intent  to 
hinder,  delay,  or  defraud  his  creditors ;  or* 


§15  a.]  DISCHARGES,  WHEN  REVOKED.  103 

*(5)  [Discharged  within  six  years.]  In  voluntary 
proceedings  been  granted  a  discharge  in  bankruptcy  with- 
in six  years ;  or* 

*(6)  [Refused  to  obey  orders.]  In  the  coiirse  of  the 
proceedings  in  bankruptcy  refused  to  obey  any  lawful  order 
of  or  to  answer  any  material  question  approved  by  the 
court.* 

As  amended  by  act  of  Feb.  5, 1903.      Amendment  adds   matter  between   stars.     See 
Sec.  4  cf  Amendment,  post. 

c  [Cofirmation  of  composition.]  The  confirmation  of  a 
composition  shall  discharge  the  bankrupt  from  his  debts, 
other  than  those  agreed  to  be  paid  by  the  terms  of  the  com- 
position and  those  not  affected  by  a  discharge. 

For  proceedings  in  compositions,  see  Sec.  12  and  13.  On  confirmation 
of  composition,  title  to  bankrupt's  property  revests  in  him.  Sec.  70f 
and  notes. 

Sec.  15.     Discharges,  when  Revoked. 

a  [Facts  to  be  shown.]  The  judge  may,  upon  the  appli- 
cation of  parties  in  interest  who  have  not  been  guilty  of 
undue  laches,  filed  at  any  time  within  one  year  after  a  dis- 
charge shall  have  been  granted,  revoke  it  upon  a  trial  if  it 
shall  be  made  to  appear  that  it  was  obtained  through  the 
fraud  of  the  bankrupt,  ,and  that  the  knowledge  of  the 
fraud  has  come  to  the  petitioners  since  the  granting  of  the 
discharge,  and  that  the  actual  facts  did  not  warrant  the 
discharge. 

On  revocation  of  discharge  trustee  appointed,  Sec.  44  .As  to  disposi- 
tion of  property,  see  Sec.  64c  and  notes.  See  as  to  discharges,  ante.  Sec. 
14  and  notes. 

Discharge  revocable  for  fraud  if  attacked  in  one  year.  In  re  Meyers 
(1900),  S.  Dist.  N.  Y.,  Brown,  J.,  97  Fed.,  757:  3  A.  B.  R.,  722;  2  N. 
B.  N.,  669. 

Discharge  vacated  when  opposition  thereto  was  bought  off  by  privity 
of  the  bankrupt.  In  re  Dietz  (1899),  S.  Dist.  N.  Y.,  Brown,  J.,  97  Fed., 
563;  3  A.  B.  R.,  316;  2  N.  B.  N.,  125. 


104  CO-DEBTORS  OF  BANKRUPTS.  [§l6a. 

Question  as  to  whether  a  discharge  should  be  revoked  may  upon  pe- 
tition of  creditors  not  guilty  of  laches,  be  referred  to  the  referee.  In  re 
Meyers  (1900),  S.  Dist.  N.  Y.,  Brown,  J.,  97  Fed.,  757;  3  A.  B.  R.,  722; 
2  N.  B.  N.,  669. 

To  revoke  discharge  fraud  in  procuring  it  must  be  shown.  In  re  Hoover 
(1900),  E.  Dist.  Pa..  McPherson,  J.  5,  A.  B.  R.,  247;  3  N.  B.  N.,  327. 

Creditors  must  show  diligence  in  seeking  revocation  of  discharge.  Gen- 
eral allegation  not  enough.  In  re  Oleson  (1901),  N.  Dist.  la.,  Shiras,  J., 
110  Fed.,  796;  7  A.  B.  R.,  22. 

Discharge  can  not  be  vacated  and  case  reinstated  to  damage  of  creditor 
without  notice,  where  action  is  more  than  a  year  after  adjudication.  In 
re  Hawk  (1902),  C.  C.  A.,  8th  Cir.,  Sanborn.  J.,  114  Fed.,  916;  8  A.  B.  R., 
71. 

The  remedy  given  by  this  section  is  exclusive  and  the  order  can  not 
be  questioned  or  attacked  collaterally  in  any  court — bankrupt  can  not 
surrender  or  vacate  his  discharge.  In  re  Shaffer  (1900),  E.  Dist.  N.  C, 
Pumell,  J.,  104  Fed.,  982;  4  A.  B-.  R.,  728. 

Sec.  16.    Co-Debtors  of  Bankrupts. 

a  [Liability  of  co-debtor.]  The  liability  of  a  person  who 
is  a  co-debtor  with,  or  guarantor  or  in  any  manner  a  surety 
for,  a  bankrupt  shall  not  be  altered  by  the  discharge  of  such 
bankrupt. 

In  case  of  a  corporation  being  bankrupt,  the  court  should  facilitate 
the  enforcement  by  creditors  of  the  stock  liability  of  directors  by  allow- 
ing a  judgment  where  judgment  is  a  necessary  pre-requisite.  In  re 
Marshall  Paper  Co..  Dist.  Mass.,  LoweU,  J.,  95  Fed.,  419;  2  A.  B.  R.,  653; 
1  N.  B.  N.,  407. 

Liability  of  bankrupt  as  maker  of  note  is  barred  by  his  discharge  against 
the  payee  who  paid  same  after  the  petition  in  bankruptcy  to  the  en- 
dorsee. Smith  V.  Wheeler  (1900),  N.  Y.  Sup.  Ct.,  Mervin,  J.;  5  A.  B. 
R.,  46. 

Stockholders  not  released  by  bankruptcy  of  their  corporation.  El- 
shree  v.  Burt  (1902),  Sup.  Ct.  R.  I.,  Douglas,  J.,  53  Atl.,  60. 

Surety  on  lease  may  plead  bankruptcy  of  the  lessor  in  defense  to  an 
action  as  the  lease  determines  on  adjudication.  Bernhardt  v.  Curtis 
(1902),  Sup.  Ct.  La.,  Provosty,  J.,  33  So.,  125. 

Surety  on  bond  released  by  ■  discharge  of  principal  in  bankruptcy. 
Hathaway  v.  Masterson  (1902),  111.  Court  of  Apps.,  1st  Cir.,  Waterman, 
J.,  101  lU.  App.,  626. 


§17 a.]    DEBTS  NOT  AFFECTED  BY  A  DISCHARGE.       105 

Surety  on  appeal  bond  released  on  discharge.  Goyer  Co.  v.  Jones 
(1901),  Sup.  Ct.,  Miss.,  79  Miss.,  253. 

Sec.  17.     Debts  not  Affected  by  a  Discharge. 

a    A  discharge  in  bankruptcy  shall  release  a  bankrupt 

from  all  of  his  provable  debts,  except  such  as 

As  to  provable  debts  see  Sec.  63  and  notes. 

Where  no  vendors'  lien  discharge  in  bankruptcy  is  a  good  defense  to 
action  for  purchase  price  of  personalty.  Graham  v.  Richardson  (1902), 
Sup.  Ct.  Ga.,  Fish,  J.;  8  A.  B.  R.,  700. 

Alimony  accrued  or  subsequent  not  barred  by  discharge.  Young  v. 
Young  (1901),  Sup.  Ct.  N.  Y.,  Gildersleeve,  J.,  71  N.  Y.  C.  944;  35  Misc. 
Rep.,  335;  7.  A  B.  R.,  171. 

Alimony  overdue  is  a  provable  debt  and  barred  by  discharge.  In  re 
Challoner  (1899),  N.  Dist.  111.,  Kohlsaat,  J.,  98  Fed.,  82;  3  A.  B.  R., 
442;  2  N.  B.  N.,  105. 

Alimony  due  not  provable  or  dischargeable.  Turner  v.  Turner  (1901), 
Dist.  Ind.,  Baker,  J.,  108  Fed.,  785;  6  A.  B.  R.,  289. 

Alimony  in  areaes  not  provable  or  dischargeable  debt.  Maisner  v. 
Maisner  (1901),  N.  Y.  Sup.  Ct.,  Patterson,  J.;  6  A.  B.  R.,  295,  3  N.  B. 
N.,  999. 

A  judgment  for  breach  of  promise  to  marry  is  a  dischargeable  debt. 
In  re  McCauley  (1900),  E.  Dist.  N.  Y.,  Thomas,  J.,  101  Fed.,  223;  4  A. 
B.  R.,  122;  2  N.  B.  N.,  1,089. 

Damages  for  breach  of  promise  to  marry  (vmaccompanied  by  seduc- 
tion) is  dischargeable  in  bankruptcy.  Finnegan  v.  Hall  (1901) ,  N.  Y. 
Sup.  Ct.,  Russell,  J.,   72  N.  Y.  S.,  347;  35  Misc.,  773;  6  A.  B.  R.,  648. 

Under  New  York  statute  judgment  for  criminal  conversation  is  not 
released  by  discharge  in  bankruptcy.  Colwell  v.  Tinker  (1902),  N.  Y. 
Ct.  App.,  Bartlett,  J.;  7  A.  B.  R.,  334. 

Discharge  must  always  be  pleaded  in  bar.  Collins  v.  McW alters  (1901,) 
Sup.  Ct.  N.  Y.,  Gildersleeve,  J.,  6  A.  B.  R.,  593. 

Judgment  for  breach  of  promise,  though  coupled  with  seduction,  is 
barred  by  discharge.  Distler  v.  McCoulay  (1901),  Sup.  Ct.  N.  Y.,  Wood- 
ward, J.;  73  N.  Y.  S.,  270;  66  App.  Div.  42;  7  A.  B.  R.,  138.  Revers- 
ing lower  court. 

Discharge  of  debtor  no  defense  to  an  action  against  a  sheriff  for  the 
escape  of  the  judgment  debtor.  Baer  v.  Grell  (1901),  Mimicipal  Court 
of  City  of  New  York,  Joseph,  J.;  6  A.  B.  R.,  428;  3  N.  B.  N.,  1,053. 


106       DEBTS  NOT  AFFECTED  BY  A  DISCHARGE.  [§l7a.(l) 

Discharge  does  not  aflfect  liens  on  exempt  property.  Evans  v.  Rounsa- 
ville  (1902),  Sup.  Ct.  Ga.,  Little,  J.,  8  A.  B.  R.,  236.  To  the  same  effect, 
Smith  V.  Zachry  (1902),  Sup.  Ct.  Ga.,  Little,  J.,  8  A.  B.  R.,  236. 

Judgment  for  money  on  breach  of  contract  vacated  by  discharge.  In 
re  Arkell  (1901),  N.  Y.  Sup.  Ct.,  Ingraham.  J.,  72  N.  Y.  S.,  555;  65  App. 
Div.,  130;  6  A.  B.  R.,  650. 

Discharge  bars  judgment  based  on  note,  although  it  is  claimed  the  note 
was  founded  on  fraud.  Hargadine-McKittrich  Dry  Goods  Co.  v.  Hudson 
et  al.  (1901),  U.  S.  Cir.  Ct.,  E.  Dist.  Mo.,  Rogers,  J.,  Ill  Fed.,  361;  6  A. 
B.  R.,  657. 

Discharge  on  second  petition  no  bar  to  debts  scheduled  under  the 
first.  In  re  Clafi  (1901),  Dist.  Mass.,  Lowell,  J.,  Ill  Fed.,  506;  7  A.  B. 
R.,  128. 

Trover  not  an  action  for  fraud.  Burnham  et  al.  v.  Pidcock  (1900),  N. 
Y.  Sup.  Ct.  McAdam,  J.,  68  N.  Y.  S.,  1,107;  58  App.  Div.  273;  2  A.  B. 
R.,  42. 

Action  by  creditor  after  discharge  alleging  among  other  things  one  ac- 
count to  which  the  discharge  would  be  a  bar,  the  answer  of  the  dischare 
by  the  bankrupt  was  good  as  to  the  one  account,  although  other  accounts 
showed  embezzlement  to  which  the  discharge  was  no  bar.  Watertown 
Carriage  Co.  v.  Hall  (1901),  Sup.  Ct.  N.  Y.,  Smith,  J.,  7  A.  B.  R.,  716. 

Discharge  no  bar  to  claims  on  replevin  bond  being  too  contingent  to 
be  provable  debt.  Clemmons  v.  Brinn  (1901),  Sup.  Ct.  N.  Y.,  McAdam, 
J.,  7  A.  B.  R.,  714. 

A  statement  made  to  a  mercantile  agency  for  the  ptirpose  of  securing 
credit,  if  relied  on  and  fraudulent,  has  precisely  the  same  effect  as  though 
it  had  been  made  in  person  by  the  debtor  to  a  creditor  and  relied  on  by 
him.  In  re  Russell  &  Birkett  (1901),  N.  Dist.  N.  Y.,  Hawley,  R.,  5  A.  B. 
k.,  608. 

Debt  dischargeable  due  from  retention  of  money  by  bankrupt  from 
sale  of  goods.  Knott  et  al.  v.  Putnam  (1901),  Dist.  Vt.,  Wheeler,  J.,  107 
Fed.,  907;  6  A.  B.  R.  80. 

Bankruptcy  court  will  determine  as  to  the  fiduciary  character  of  the 
debt,  irrespective  of  decision  of  state  courts.  Knott  v.  Putnam  (1901) 
Dist.  Vt.,  Wheeler,  J.,  107  Fed.,  907;  6  A.  B.  S.  80. 

(1)  [Taxes  excepted.]  Are  due  as  a  tax  levied  by  the 
United  States,  the  State,  county,  district,  or  municipaHty 
in  which  he  resides ; 

Taxes  assessed  against  exempt  property  should  be  paid  in  full  out  of 


§l7a.(2)]     DEBTS  NOT  AFFECTED  BY  A  DISCHARGE.  107 

funds  in  the  hands  of  the  trustee.     In  re  Baker  (1899) ,  E.  Dist.  Tex.,  Hur- 
ley, R.,  1  A.  B.  R.,  526;  1  N.  B.  N.,  547. 

(2)  [Judgments  in  actions  for  frauds.]  Are  *  liabilities  * 
(judgments  in  actions)  for  (frauds,  or)  obtaining  property 
by  false  pretenses  or  false  representations,  or  for  willful  and 
tnalicious  injuries  to  the  person  or  property  of  another,  *or 
for  alimony  due  or  to  become  due,  or  for  maintenance  or 
support  of  wife  or  child,  or  for  seduction  of  an  unmarried 
female,  or  for  criminal  conversation;* 

As  amended  by  Act  of  1903,  Sec.  5  of  amendment,  page,  post.  Amendment  omits 
matter  between  brackets  and  adds  matter  between  stars. 

Discharge  releases  a  debt  where  money  was  received  by  mistake 
Western  Cold  Storage  Co.  v.  Hurd  (1902),  W.  Dist.  Mo.,  Philips,  J.;  8  A. 
B.   R.,  633. 

Discharge  can  not  be  pleaded  in  defense  to  action  of  trover.  Berry 
V.  Jackson  (1902),  Sup.  Ct.  Ga.,  Ltmipkin,  J.;  8  A.  B.  R.,  485. 

Judgment  based  on  fraud  will  not  be  cancelled  on  discharge  of  the 
debtor  in  bankruptcy.  Stevens  v.  Meyers  (1902),  Sup.  Ct.  N.  Y.,  In- 
graham,  J.,  72  App.  Div.  128;  76  N.  Y.  Supp.,  332;  8  A.  B.  R.,  496. 

A  voluntary  conveyance  by  bankrupt  of  lands  does  not  necessarily 
nvolve  a  present  interest  which  should  be  scheduled — such  interest  must 
be  shown  to  bar  discharge.  In  re  Countryman  (1903) ,  N.  Dist. la.,  Shiras, 
J.,  119  Fed.,  639. 

Form  of  a  debt  is  not  material,  being  merged  in  the  judgment  which 
is  only  to  be  considered  in  actions  of  tort,  and  if  not  in  form  of  tort  would 
be  barred  by  the  discharge.  In  re  Rhutassel  (1899),  N.  Dist.  la.,  Shiras, 
J.,  96  Fed.,  597;  2  A.  B.  R.,  697;  1  N.  B.  N.,  572. 

Commingling  of  bankrupt's  fimds  with  estate  of  which  bankrupt  is 
administrator,  will  bar  a  discharge  until  funds  are  separated.  In  re  Wal- 
ther  (1899),  E.  Dist.  N.  Y.,  Thomas,  J.,  95  Fed.,  941;  2  A.  B.  R.,  702. 

Plea  of  discharge  in  bankruptcy  is  rendered  inoperative  by  showing 
that  the  debt  was  created  by  the  fraud  of  the  bankrupt.  In  re  Thomas 
(1899),  S.  Dist.  la.,  Woolson,  J.,  92  Fed.,  912;  1  A.  B.  R.,  515;  1  N.  B.  N., 
329. 

Debts  created  by  misappropriation  are  not  released  by  discharge  in 
bankruptcy,  nor  are  they  entitled  to  priority.  Clafiin  Co.  v.  Eason,  Trus- 
tee (1899),  E.Dist.  Tex..  White,  R.,  2  A.  B.  R.,  263;  1  N.  B.  N.,  360. 

A  debt  created  by  fraud  is  not  merged  in  the  judgment  to  such  an  ex- 
tent that  its  nature  and  origin  can  not  be  shown.     Packer  v.  Whittier 


108  DEBTS  NOT  AFFECTED  BY  A  DISCHARGE.    [§17a.(2) 

(1899),  C.  C.  A.,  1st  Cir.,  Webb,  J.,  91  Fed.,  1;  511  A.  B.  R.,  621;  1  N. 
B.  N..  240. 

A  judgment  for  criminal  conversation  is  a  judgment  for  ma- 
licious injury  and  not  barred  by  the  statute.  Colwell  v.  Tinker  (1901) 
N.  Y.  Sup.  Ct.,  Gildersleeve,  J.,  71  N.  Y.  S.,  152;  35  Misc.,  330;  6  A.  B. 
R.,  434;  62  N.  E.,  668;  169  N.  Y.,  531. 

Obligation  to  pay  rent  is  terminated  by  bankruptcy.  Bray  v.  Cobb 
(1900),  E.  Dist.  N.  C,  Pumell,  J.,  100  Fed.,  270;  3  A.  B.  R.,  788;  2  N. 
B.  N.,  586. 

Firm  debts  not  released  by  individual  petition.  In  re  Hartman,  N. 
Dist.  la.,  Shiras,  J.,  96  Fed.,  593;  3  A.  B.  R.,  65. 

To  the  same  effect  in  re  McFaun  (1899),  N.  Dist.  la.,  Shiras,  J.,  90 
Fed.,  592;  3  A.  B.  R.,  66. 

Debt  of  factor  for  goods  sold  for  principal  dischargeable  and  suit  en- 
joined. In  re  Basch  (1900),  S.  Dist.  N.  Y.,  Brown,  J.,  97  Fed.,  761; 
3  A.  B.  R.,  235;  2  N.  B.  N.,  122. 

Statute  of  limitations  governed  on  bankruptcy  proceedings  by  state 
law.  New  York  law  construed.  In  re  Lorillard  (1901),  C.  C.  A.,  2nd 
Cir.,  Lacombe,  J.,  108  Fed.,  591;  5  A.  B.  R.,  602. 

Known  debt  omitted  from  schedule  not  barred  by  discharge.  Tyrrel 
V.  Hammerstein  (1900),  Sup.  Ct.  N.  Y.,  McAdam,  J.;  6  A.  B.  R.,  430. 

Judgment  for  seduction  and  breach  of  promise  not  barred  by  discharge. 
Distler  v.  McCauley  (1901),  Sup.  Ct.  N.  Y.,  Dickey,  J.,  73  N.  Y.  S.,  270; 
66  App.  Div.,  42;  6  A.  B.  R.,  492. 

To  revive  a  debt  barred  by  discharge  the  promise  may  be  oral,  but 
it  must  be  clear  and  definite.  Smith  v.  Stansfield  (1901),  Sup.  Ct.  Minn., 
Lewis,  J.,  84  Minn.,  343;  87  N.  W.,  917;  7  A.  B.  R.,  498. 

Discharge  removes  the  legal  obligation  to  pay  the  debt,  but  leaves 
the  moral  obligation  and  the  old  debt  is  siifficient  consideration  for  a  new 
promise  which  may  be  oral.  Mutual,  &c.,  Assn.  v.  Beatty  (1899),  C.  C. 
A.,  9th  Cir.,  Morrow,  J.,  93  Fed.,  747;  2  A.  B.  R.,  244. 

Debts  not  affected  by  discharge  may  not  be  sued  on  until  after  dis- 
charge; in  the  interim  bankrupt  enjoined  from  collecting  commissions  as 
administrator  earned  after  adjudication  on  application  of  such  creditor. 
In  re  Rogers  (1899),  Dist.  Ky.,  Howard,  R.,  1  A.  B.  R.,  541;  1  N.  B.  N., 
211. 

Bankruptcy  proceedings  will  not  release  a  bankrupt  from  the  order  of 
the  state  court  compelling  him  to  support  his  minor  children.  In  re 
Hubbard  (1899),  N.  Dist.  111.,  Kohlsaat,  J.,  98  Fed.,  710;  3  A.  B.  R.,  528. 

General  discharge  does  not  affect  question  as  to  what  debts  are  affected 
by  it.  In  re  Tinker  (1900),  S.  Dist.  N.  Y.,  Brown,  99  Fed.,  79;  3  A- 
B.  R..  580;  2  N.  B.  N.  391. 


§17  a.  (2)]     DEBTS  NOT  AFFECTED  BY  A  DISCHARGE.  109 

Debts  not  dischargeable  by  bankruptcy;  only  so  determined  in  other 
forums  after  discharge.  In  re  Mussey  (1900),  Dist.  Mass.,  Lowell,  J., 
99  Fed.,  71;  3  A.  B.  R..  592;  2  N.  B.  N.,  113. 

The  right  to  discharge  not  the  effect  of  discharge  will  be  considered  by 
the  bankruptcy  court — fraud  used  in  this  section  means  moral  turpitude 
and  intentional  wrong — the  fact  that  certain  debts  would  not  be  barred 
no  ground  for  withholding  general  discharge.  In  re  Blumberg  (1899), 
E.  Dist.  Tenn.,  Clark,  J.,  94  Fed.,  476;  1  A.  B.  R.,  633;  1  N.  B.  N.,  258. 

Clause  two  reqviires  that  a  judgment  shotUd  have  been  rendered. 
Morse  &  Rogers  v.  Kaufman,  Sup.  Ct.  App.  Va.,Whittle,  J.  (1902),  4  Va. 
Sup.  Ct.  R.,  172;  40  S.  E.,  916;  7  A.  B.  R.,  549. 

Judgment  on  common  coimts  is  one  to  which  clatise  2  does  not  apply. 
Barnes  Mfg.  Co.  v.  Norden  (1902),  Sup.  Ct.  N.  Y.,  Dixon,  J.,  51  At.,  454; 
7  A.  B.  R.,  553. 

Discharge  no  bar  to  claim  against  bankrupt  banker  who  received  de- 
posits while  insolvent,  tmder  New  York  statute.  Frey  v.  Torrey,  Sup. 
Ct.  N.  Y.,  Laughlin,  J.  (1902),  75  N.  Y.  S.,  40;  70  App.  Div.,  166;  8  A. 
B.  R.,  196. 

Debt  not  barred  by  discharge  which  is  created  by  the  fraud  of  the 
bankrupt.  Law  of  1867  did  not  require  averment  of  the  scienter.  For- 
syth V.  Vehmeyer  (1900),  U.  S.  Sup.  Ct.,  Peckham,  J.,  177  U.  S.,  177; 
3  A.  B.  R.,  807;  2  N.  B.  N.,  1,142. 

New  promise  to  pay  debt  discharged  by  bankruptcy  must  be  definite. 
Thompkins  v.  Hazen  (1900),  N.  J.  Ct.  App.,  Bartlett,  J.,  5  A.  B.  R.,  62. 

Judgment  barred  where  fraud  is  the  gravamen  of  the  action.  An  ac- 
tion for  conversion  of  goods  not  essentially  one  of  fraud.  Burnham 
v.  Pidcock  (1900),  N.  Y.  Sup.  Ct.,  Rumsey,  J.,  68  N.  Y.  S.,  1,007;  58  App. 
Div.,  273;  5  A.  B.  R.,  590. 

Judgment  for  seduction  of  daughter  not  barred.  In  re  Freche  (1901), 
Dist.  N.  Y.,  Kirkpatrick,  J.,  109  Fed.,  620;  6  A.  B.  R.,  479. 

Failure  to  schedule  property  turned  over  to  wife  in  fraud  of  creditors 
will  bar  discharge.  In  re  Lafleche  (1901),  Dist.  Vt.,  Wheeler,  J.,  109 
Fed.,  307;  6  A.  B.  R.,  483. 

This  provision  applies  only  where  fraud  is  the  gravamen  of  the  action. 
The  sale  of  property  previously  sold  to  creditor  who  did  not  record  deed, 
does  not  exempt  from  discharge  on  ground  of  fraud.  Fraud  must  be 
proved.  Collins  v.  McWalters  (1901),  Sup.  Ct.  N.  Y.,  Gildersleeve,  J., 
72  N.  Y.  S.,  208;  35  Misc.,  648;  6  A.  B.  R.,  593. 

Fraud  need  not  be  apparent  from  the  judgment  itself — an  equity  suit 
based  on  the  fraud  of  the  defendants  will  not  be  affected  by  the  discharge. 
In  re  Bullis  (1902),  Sup.  Ct.  N.  Y.,  Springer,  J.,  73  N.  Y.  S.,  1,047;  68 
App.  Div.,  508;  7  A.  B.  R.,  238. 


110  DEBTS  NOT  AFFECTED  BY  A  DISCHARGE.    [§17a.(3) 

(3)  [Creditors  not  scheduled.]  Have  not  been  duly 
scheduled  in  time  for  proof  and  allowance,  with  the  name 
■'of  the  creditor  if  known  to  the  bankrupt,  unless  such  cred- 
itor had  notice  or  actual  knowledge  of  the  proceedings  in 
bankruptcy;  or 

Debt  not  barred  where  the  creditor  is  not  named  in  schedule.  Col- 
umbia Bank  V.  Birkett  (1901),  Sup.  Ct.  N.  Y.,  Clark,  J.,  73  N.  Y.  S.,  704; 
36  Misc.  Rep.,  391;  7  A.  B.  R.,  222. 

As  to  schedules  of  property  and  creditors  see  Sec.  7  (8)  ante. 

(4).  [Created  by  fraud  in  fiduciary  relation.]  Were 
created  by  his  fraud,  embezzlement,  misappropriation, 
or  defalcation  while  acting  as  an  officer  or  in  any  fiduciary 
capacity. 

The  fiduciary  capacity  must  be  that  of  an  expressed,  not  implied, 
trust — not  for  defalcation  of  mere  factor  or  agent.  Fraud  by  such  agent 
prevents  the  operation  of  the  statute  discharging  the  debt — trustee  under 
trust,  acts  under  express  trust."  Bracken  v.  Milner  (1900),  W.  Dist. 
Mo.,  Phillips,  J.,  104  Fed.,  522;  5  A.  B.  R.,  23. 

The  fiduciary  relation  is  one  existing  previously  to,  or  independently 
of  the  particular  transaction  out  of  which  the  debt  arose.  Bryant  v, 
Kinyon  (1901),  Sup.  Ct.  Mich.,  Hooker,  J.,  6  A.  B.  R.,  237. 

Judgment  against  a  corporation  on  accounting  on  a  misappropriation 
of  partnership  funds  is  not  a  debt  for  fraud  or  in  a  fiduciaiy  capacity. 
Gee  V.  Gee  (1901),  Sup.  Ct.  Minn.,  Lovely  J.,  84  Minn.,  384;  87  N.  W., 
1,116;  7  A.  B.  R.,  500. 

Clause  four  requires  that  the  bankrupt  must  have  been  an  officer  or 
acting  in  a  fiduciary  capacity.  Morse  &  Rogers  v.  Kaufman,  Sup.  Ct. 
App.,  Va.,  Whittle,  J.  (1901),  40  S.  E.,  916;  7  A.  B.  R.,  549. 

Discharge  does  not  relieve  from  debt  for  money  received  by  private 
banker  after  he  knew  he  was  insolvent.  Pridniore  v.  Toirey  (1902),  Sup. 
Ct.,  N.  Y.;  Gildersleeve,  J.,  38  N.  Y.  Misc.,  127. 

Money  received  on  embezzlement  by  an  agent  not  barred  by  discharge. 
Ruff  V.  Milner  (1901),  Ct.  App.  of  Mo.,  Bland,  J.,  92  Mo.  App.,  620. 

A  discharge  in  bankruptcy  is  analogous  in  its  effect  to  the  statute  of 
limitations — it  neither  pays  nor  discharges  the  debt  but  suspends  the 
right  of  action.  Wenham  v.  Matin  (1902),  111.  App.,  Waterman,  J., 
103  111.  App.,  609. 

Where  transferee  of  note  scheduled  as  belonging  to  maker  was  not 


§  17  a. (4)]    DEBTS  NOT  AFFECTED  BY  A  DISCHARGE.  Ill 

scheduled  but  had  notice  of  proceedings,  the  debt  was  barred.     Fider 
V.  Manning  (1899)  Sup.  Ct.  Minn.,  Canty,  J.,  78  Minn.,  309. 

Fiduciary  capacity  relates  to  technical  not  implied  trusts — an  ad- 
ministrator is  a  technical  trustee — interest  as  well  as  principal  embraced 
in  the  liability  which  is  not  discharged.  Johnson's  Admr.  v.  Parmerter 
(1901),  Sup.  Ct.  Vt.,  Rowell,  J.,  52  Atl.,  73. 

Petition  in  state  court  for  leave  to  file  supplemental  answer,  setting 
up  discharge  in  bankruptcy  denied  for  insufficiency,  failing  to  set  out 
that  claim  was  scheduled,  etc.  Balk  v.  Harris  (1902),  Sup.  Ct.  N.  C, 
Furches,  J.,  41  S.  E.,  940. 

Discharge  does  not  affect  liens  on  property  it  only  relieves  the  debtor 
from  the  obUgation  to  pay.  Evans  v.  Staale  (1903),  Sup.  Ct.  Minn., 
Start,  J.,  92  N.  W.,  951. 

Knowledge  of  pending  proceeding  by  an  unscheduled  creditor  bars 
his  claim.  Zimmerman  v.  Ketchum  (1903),  Sup.  Ct.  Kan.,  Pollock,  J., 
71  Pac,  264. 

Discharge  does  not  affect  lien  on  property.  It  is  only  personal  to  the 
bankrupt.  Paxton  v.  Scott  (1902),  Sup.  Ct.  Neb.,  92  N.  W.,  611;  Phil- 
mon  V.  Marshall  (1902),  Sup.  Ct.  Ga.,  Cobb,  J.,  43  S.  E.  48;  McCall  v. 
Hening  (1902),  Sup.  Ct.  Ga.,  Little,  J.,  42  S.  E.  468;  Holland  v.  Cunliff 
(1902),  Ct.  App.  Mo.,  Barclay,  J.,  69  S.  W.,  737. 

Alimony  not  a  provable  debt  within  the  meaning  of  the  bankruptcy 
act.  Wetty  v.  Wetty  (1900),  lU.  Ct.  of  App.,  1st  Dist.,  Windes,  J.,  96  111. 
App.,  141;  Sargent  v.  Sargent  (1901),  Ohio  Cir.  Ct.,  Phillips,  J.,  8  Ohio 
N.  P.,  238;  11  Ohio,  Dec,  S.  C.  P.,  218;  Arrington  v.  Arrington  (1902), 
Sup.  Ct.  N.  C,  Fuches,  J.,  42  S.  E..  554;  Barclay  v.  Barclay  (1900),  Sup. 
Ct.  111.,  Phillips,  J.,  184  111.,  375;  Wetty  v.  Wetty  (1902),  Magruder,  J., 
Sup.  Ct.  111.,  195  111.,  335. 

Discharge  in  bankruptcy  of  one  of  the  parties  to  a  smt  covering  the 
debt  in  controversy  has  the  same  effect  as  when  one  of  three  or  more 
obligors  has  died.  Seyrnour  v.  Richardson,  etc.,  Co.  (1902),  Ct.  App.  111., 
Freeman,  J.,  103  111.  App.,  625. 

Discharge  in  bankruptcy  only  available  by  property  pleading  it.  Lane 
v.  Holcomh,  et  al.  (1903),  Sup.  Ct.  Mass.,  Knowlton,  J.,  65  N.  E.,  794. 

Scheduling  creditor  as  of  unknown  place  of  residence  does  not  constitute 
such  fraud  as  to  bar  the  debt  even  when  it  is  shown  that  bankrupt  called 
at  the  creditor's  residence  two  years  prior  to  proceedings.  In  re  Mallner 
(1902),  Sup.  Ct.  N.  Y.,  Patterson,  J.,  75  N.  Y.  App.  Div.,  441. 

Discharge  in  bankruptcy  no  proof  of  insolvency  at  the  time  of  adju- 
dication. Wetmore  v.  Wetmore  (1899),  Sup.  Ct.  N.  Y.,  O'Brien,  J.,  44 
N,  Y.  App.  Div.,  220. 


112  DEBTS  NOT  AFFECTED  BY  A  DISCHARGE.  [§  17  a.  (4) 

A  discharge  in  bankruptcy  does  not  purge  one  from  contempt  of  court 
in  taking  money  in  defiance  of  an  injunction.  In  re  Meggett  (1900) ,  Sup. 
Ct.  Wis.,  Dodge,  J.,  105  Wis.,  291. 

Discharge  in  bankruptcy  no  defence  to  an  action  based  on  defendant's 
fraud  or  other  misconduct  in  a  fiduciary  capacity.  Gerner  v.  Yates  (1900) , 
Sup.  Ct.  Neb.,  SulUvan,  J.,  61  Neb.,  100. 

Debt  not  discharged  where  schedule  gives  creditor's  name  incorrectly, 
Lisum  V.  Kraus  (1901),  Sup.  Ct.  N.  Y.,  Hascoll,  J.,  35  N.  Y..  Misc.,  376. 

Certified  copy  of  adjudication  competent  evidence.  Rosenjeld  v. 
Siegfried  (1901),  Ct.  App.  Mo.,  Bland,  J.,  91  Mo.  App.,  169. 

Judgment  in  favor  of  wife  for  alienation  of  her  husband's  affection  is 
not  dischargeable — as  it  is  wilful  and  malicious.  Leicester  v.  Hoadley 
(1903),  Sup.  Ct.  Kans.,  Cunningham,  J.,  71  Pac,  318. 


CHAPTER  IV. 
COURTS  AND  PROCEDURE. 


Sec.  18.    Process,  Pleadings  and 

Adjudication. 
a.     Service     of     petition — return 

— publication. 
h.      Time  to  plead  to  petition. 
c.      Verification  of  pleadings. 
d      Determining  issues  of  fact — 

Jury  trials. 
e.      Where  no  pleadings  filed. 
/.      Where  judge  absent  reference 

to  referee. 
g.      Hearing  on  voluntary  petition 
Sec.  19.     Jury  Trials. 

a.  When  jury  may  be  demanded 
— waiver. 

b.  Attendance  of  jury — certify- 
ing case  to  other  court. 

c.  Laws   as   to   jury   trials   ap- 
plicable. 

Sec.    20.     Oaths,    Affirmations. 
a.  ]    Who  may  administer. 

(1)  Referees. 

(2)  Officers  authorized  to  admin- 
ister. 

(3)  Diplomatic   or  consular  offi- 
cers. 

h.     Affirmations. 
Sec.  21.     Evidence. 

a.  Compulsory  attendance  of  wit- 
nesses. 

b.  Depositions — right    to    take. 

c.  Notice  of  taking  depositions. 

d.  Certified  copies  as  evidence. 

e.  Copy  of  order  approving  trus- 
tee's bond. 

/.      Certified  copy  of  orders. 

g.      Evidence    of    revesting    title 

in  bankrupt. 
Sec.   22.     References  of  Cases 

AFTER  Adjudication. 

a.  Judge  may  refer  cause. 

(1)  General  or  special  reference. 

(2)  To  any  referee  within  the  jur- 
isdiction. 

b.  Transfer  of  case  to  different 
referee. 

Sec.  23.     Jurisdiction  of  United 
States  and  state  Courts. 

a.  Circtiit     Courts. 

b.  Suits     by      trustees      where 
brought. 

c.  Concurrent  jurisdiction. 

Sec.  24.    Jurisdiction  of  Appel- 
late  Cotirts. 

113 


h. 
Sec 

a. 
(1) 
(2) 
(3) 


Courts    with    Appellate    jur- 
isdiction— Supreme    Court. 
Circuit  Courts  of  Appeals. 
25.     Appeals  and  "Writs  op 
Error. 

Appeals  may  be  taken. 
Judgement  on  adjudication. 
Judgment  on  discharge. 
Judgment  allowing  or  reject- 
ing claim.     Time  for  appeal — 
hearing. 

Appeal    to     Supreme     Cotirt 
from  Circuit  Court  of  Appeals 


(1)  Jiuisdictional  amount — ques- 
tion involved. 

(2)  Certification   of   question   by 
supreme  justice. 

c.  Bond  on  appeal  by  trustee. 

d.  Certificate  to  Supreme  Court 
by  other  courts. 

Sec.    26.     Arbitration    of    Con- 
troversies. 

a.  Trustees  may  submit. 

b.  Selection  of  arbitrators. 

c.  Findings. 

Sec.  27.     Compromises. 

a.     When  allowed. 
Sec.  28.     Designation  of  News- 
Papers. 

a.     To  publish  notices. 
Sec.  29.     Offenses. 

a.  Misappropriating    property — 
destroying  documents. 

b.  Ptmishment  by  imprisonment. 

(1)  Concealing  property. 

(2)  False  oath  or  accounts. 

(3)  False  claims. 

(4)  Receiving  property  from  the 
bankrupt. 

(5)  Extorting  money  or  property 

c.  Punishment  by  fine. 

(1)  Acting   as    referee   when   in- 
terested. 

(2)  Purchasing  property. 

(3)  Refusal  to  permit  inspection 
of  accounts  and  papers. 

d.  One  year  limitation. 

Sec.  30.     Rules,  Forms  and  Or- 
ders. 

a.     Supreme  Court  to  make  rules. 
Sec.  31.     Computation  of  Time. 

a.      How  time  computed. 
Sec.  32.    Transfer  of  Cases. 


114  process,  pleadings,  and  adjudications.     [§18a. 

Sec.  18.     Process,  Pleadings,  and  Adjudications. 

a  [Service  of  petition — return — publication.]  Upon  the 
filing  of  a  petition  for  involuntary  bankruptcy,  service 
thereof,  with  a  writ  of  subpoena,  shall  be  made  upon  the 
person  therein  named  as  defendant  in  the  same  manner 
that  service  of  such  process  is  now  had  upon  the  commence- 
ment of  a  stiit  in  equity  in  the  cotirts  of  the  United  States, 
except  that  it  shall  be  returnable  within  fifteen  days,  imless 
the  judge  shall  for  cause  fix  a  longer  time ;  but  in  case  per- 
sonal service  can  not  be  made,  then  notice  shall  be  given 
by  publication  in  the  same  manner  and  for  the  same  time 
as  provided  by  law  for  notice  by  publication  in  suits  in 
equity)  ,*[to  enforce  a  legal  or  equitable  lien*  in  courts  of 
the  United  States,*  except  that, unless  the  judge  shall  other- 
wise direct,  the  order  shall  be  published  not  more  than  once 
a  week  for  two  consecutive  weeks,  and  the  return  day  shall 
be  ten  days  after  the  last  publication  unless  the  judge  shall 
for  cause  fix  a  longer  time.* 

As  amended  by  Act  of  1893.  Sec.  6  of  Amendment,  page poat. 

Amendment  omits  matter  between  brackets  and  adds  matter  between  stars. 

Petition  defined,  Sec.  1  (20)  and  notes.  As  to  service  by  publication, 
see  United  States  Equity  Rule  94.  As  to  when  suit  deemed  to  be  com- 
menced, see  Sec.  67c  and  notes.  As  to  computation  of  time,  see  Sec. 
31  and  notes.  As  to  filing  petition,  see  Sec.  59c  and  notes;  see  also  as  to 
other  creditors  joining  in  petition,  Sec.  59/.  As  to  form  of  Subpoena, 
see  Form  No.  5  and  notes.  As  to  designation  of  newspapers  for  publica- 
tion, see  Sec.  28  and  notes. 

General  Order  XXXVII  makes  equity  rules  prescribed  by  the  United 
States  Supreme  Court  control  in  the  matter  of  service  of  process.  Process 
shall  be  served  by  the  Marshal  by  delivering  a  copy  to  the  defendant  or 
some  adult  member  of  his  family.  United  States  Eqiiity  Rules,  11,  12, 
13,  14,  15,  16.  Process  must  issue  out  of  the  office  of  the  Clerk  and  be 
tested  by  the  seal  of  the  Clerk.     Gen.  Order  III. 

Petition  must  follow  forms.  Mahoney  v.  Ward  (1900),  E.  Dist.  N.  C, 
100  Fed.,  278;  3  A.  B.  R.,  770. 

Service  on  foreign  corporation  sufficient  if  it  follows  the  state  law. 
In  re  Magid-Hope  Silk  Mfg.  Co.  (1901),  Dist.  Mass.,  Lowell,  J..  110 
Fed.,  352;  6  A.  B.  R..  610. 


§18b.]      PROCESS,  PLEADINGS,  AND  ADJUDICATIONS.  115 

Notice  by  publication  desirable  where  bankrupt  a  lunatic.  In  re 
Burka  (1901),  W.  Dist.  Tenn.,  Hammond,  J.,  107  Fed.,  674;  5  A.  B.  R., 
843. 

Adjudication  valid,  although  before  the  fifteen  days — creditor  coming 
afterwards,  but  in  due  season,  may  plead — only  a  creditor  may  so  move 
to  vacate  adjudication.  In  re  Coltunbia  Real  Estate  Co.  (1900),  Dist. 
Ind.,  Baker,  J.,  101  Fed.,  965;  4  A.  B.  R.,  411. 

Failure  to  get  subpoena  served  on  bankrupt  in  six  months  does  not 
deprive  the  court  of  jvirisdiction.  In  re  Stein  (1901),  C.  C.  A.,  2nd  Cir. 
105  Fed.,  749;  5  A.  B.  R.,  288. 

Equity  practice  governs  where  statute  is  not  specific.  In  re  Columbia 
Real  Estate  Co.  (1902),  C.  C.  A.,  7th  Cir.,  Seaman,  J.,  112  Fed.,  643;  7 
A.  B.  R.,  441. 

Jurisdiction  not  lost  by  delay  in  service  of  subpoena.  In  re  Freesch- 
berg  (1902),  S.  Dist.  N.  Y.,  Wise,  R.,  8  A.  B.  R..  607. 

Objection  to  discharge  is  a  pleading  and  should  be  sworn  to  and  signed 
by  the  objectar . — if  done  by  attorney,  reasons  for  should  appear. — 
Defect  may  be  waived  by  bankrupt  failing  to  raise  point.  In  re  Baem- 
coflE  (1902),  E.  Dist.  Pa.,  McPherson,  J,  9  A.  B.  R.,  133. 

h  [Time  to  plead  to  petition.]  The  bankrupt,  or  any 
creditor,  may  appear  and  plead  to  the  petition  within  (ten) 
*five*  days  after  the  return  day,  or  within  such  ftirther  time 
as  the  court  may  allow. 

Amended  by  Act  of  1893,  Sec.  6  of  "Amendment,  page post. 

Amendment  omits  matter  between  brackets  and  adds  matter  between  stars. 
Denial  of  bankruptcy  shovdd  follow  Form  6.     Compare  with  the  United 
States  Equity  Rule  17. 

Time  for  bankrupt  to  plead  may  not  be  extended  by  consent  of  peti- 
tioning creditors.  In  re  Simonson  (1899),  Dist.  Ky.,  Evans,  J.,  92  Fed., 
904;  1  A.  B.  R.,  197;  1  N.  B.  N.,  230. 

Denial  of  insolvency  not  confined  to  any  particxilar  form.  In  re  Page 
N.  Dist.  Ohio,  Ricks,  J.,  99  Fed.,  538;  3  A.  B.  R.,  679;  2  N.  B.  N.,  110. 

Formal  defects  of  petition  including  improper  verification  waived  by 
answer.  Leidigh,  etc.,  Co.  v.  Stengel  (1899),  C.  C.  A.,  6th  Cir.,  Taft,  J., 
95  Fed.,  637;  2  A.  B.  R.,  383;  1  N.  B.  N.,  296. 

A  petition  that  contains  no  specific  allegations  is  defective.  Defect 
is  waived  by  joining  issue  and  going  to  trial.  In  re  Cliffe  (1899) ,  E.  Dist. 
Pa.,  McPherson,  J.,  97  Fed.,  540;  2  A.  B.  R.,  317;  1  N.  B.  N.,  509. 


116  PROCESS,  PLEADINGS,  AND  ADJUDICATIONS.       [§18c. 

Denial  shotdd  follow  official  form  6.  In  re  Ogles  (1899),  W.  Dist. 
Tenn.,  Hammond,  J.,  93  Fed.,  426;  1  A.  B.  R.,  671;  1  N.  B.  N.,  400. 

Original  petition  being  dismissed  an  amended  petition  not  allowed 
as  a  substitute.  In  re  Hyde  &  Gload  Mfg.  Co.  (1900),  E.  Dist.  N.  Y., 
Thomas,  J.,  103  Fed.,  617;  4  A.  B.  R.,  602;  2  N.  B.  N.,  1,122. 

Time  to  plead  cannot  be  extended  by  agreement  among  creditors. 
Simonson  v.  Sinsheimer  (1901),  C.  C.  A.,  6th  Cir.,  Taft,  J.,  100  Fed., 
426;  5  A.  B.  R.,  537. 

Official  form  No.  6  should  be  followed  in  the  answer.  Amendment  of 
defective  answer.  Mather  et  al.  v.  Coe,  Powers  &  Co.  (1899),  N.  Dist. 
Ohio,  Ricks,  J.,  92  Fed.,  333;  1  A.  B.  R.,  504. 

Sufficiency  of  answer  cannot  be  raised  by  demurrer;  it  can  only  be 
raised  by  setting  the  case  for  hearing  upon  the  bill  and  answer.  Goldman, 
Beckman,  Smith  &  Co.  v.  Smith  (1899),  93  Fed.,  182;  1  A.  B.  R.,  266. 

Where  defending  creditor  files  his  answer  setting  up  solvency  and  the 
case  was  submitted  on  the  pleadings  without  proofs  taken,  the  answer 
is  conclusive — petitioning  creditors  wishing  to  contest  a  question  raised 
by  the  answer  should  put  in  a  replication  and  go  to  trial  before  adjudica- 
tion. In  re  Taylor  (1900),  C.  C.  A.,  7th  Cir.,  Bunn,  J.,  102  Fed.,  728; 
4  A.  B.  R.,  515. 

Answering  waives  demurrer  even  though  the  answer  expressly  asserts 
an  intention  not  to  waive  it.  Green  River  Deposit  Bank  v.  Craig  Bros. 
(1901),  West.  Dist.  Ky.,  Evans,  J.,  110  Fed.,  137;  6  A.  B.  R.,  381. 

Petition  for  review  will  not  be  dismissed  for  want  of  necessary  parties, 
where  the  same  parties  are  before  the  coiut  that  were  in  the  court  below. 
In  re  Utt  (1901),  C.  C.  A.,  7th  Cir.,  Woods,  J.,  105  Fed.,  754;  5  A.  B.  R.. 
383. 

c    [Verification  of  Pleadings.]    All  pleadings  setting  up 

matters  of  fact  shall  be  verified  under  oath. 

As  to  who  may  administer  oaths  and  affirmations,  Sec.  20  and  notes. 
Oath  includes  affirmation.     Sec.  1  (17). 

Verification  of  petition  shovdd  show  venue.  The  attorney  of  peti- 
tioner should  not  be  the  notary.  In  re  Bnunelkamp  (1899),  N  Dist. 
N.  Y.,  Stone,  R.;  2  A.  B.  R.,  318;  1  N.  B.  N.,  360. 

Objection  to  verification  of  petition  comes  too  late  after  answer  by 
bankrupt.  In  re  Simonson,  Dist.  Ky.,  Evans,  J.,  (1899)  92  Fed.,  904; 
1  A.  B.  R.,  197;  1  N.  B.  N.,  230. 

Oath  administered  by  attorney,  who  subsequently  appears  as  attorney 
of  record  for  bankrupt,  does  not  invalidate  the  petition.  In  re  Kindt 
(1900),  S.  Dist.  la.,  98  Fed.,  867;  3  A.  B.  R.,  443;  2  N.  B.  N.,  306, 


|lSde.]    PROCESS,  PLEADINGS,  AND  ADJUDICATIONS.  117 

Verification  of  specifications  of  objections  to  discharge  necessary.  In 
re  Brown  (1901),  C.  C.  A.,  5th  Cir.,  112  Fed.,  49;  7  A.  B.  R.,  252. 

No  formal  affidavit  of  verification  is  prescribed,  it  is  sufficient  if 
verified — verification  by  a  corporation.  In  re  Bellah  (1902),  Dist.  of 
Del.,  Bradford,  J.,  116  Fed.,  69;  8  A.  B.  R.,  310. 

Verification  should  be  by  petitioner  not  by  the  attorney — if  facts  more 
fully  within  the  knowledge  of  the  attorney  it  may  be  made  by  him.  In 
re  Nelson  (1899),  W.  Dist.  Wis.,  Bunn,  J.,  98  Fed.,  76;  1  A.  B.  R.,  63, 

Defect  in  verification  of  petition  is  waived  by  answering  to  the  merits. 
In  re  Herzikopf  (1902),  S.  Dist.  Cal.,  Wellborn,  J.,  118  Fed.,  101;  9  A. 
B.  R.,  90. 

Attorney  may  verify  involvmtary  petition  where  it  appears  that  he  has 
the  knowledge.     In  re  Hunt  (1902),  N.  Dist.  la.,  Shiras,  J.,  118  Fed.,  282. 

d  [Determining  issues  of  fact — Jury  trials.]  If  the  bank- 
rupt, or  any  of  his  creditors,  shall  appear,  within  the  time 
limited,  and  controvert  the  facts  alleged  in  the  petition,  the 
judge  shall  determine,  as  soon  as  may  be,  the  issues  presented 
by  the  pleadings,  without  the  intervention  of  a  jury,  except 
in  cases  where  a  jury  trial  is  given  by  this  Act,  and  makes 
the  adjudication  or  dismiss  the  petition. 

See  ante  a  and  6  and  notes.  As  to  when  jury  trial  may  be  demanded, 
see  Sec.  19  and  notes.  Adjudication  defined,  Sec.  1  (2).  For  forms  of 
adjudication,  see  Forms  11  and  12.  As  to  costs  in  contested  adjudica- 
tions, see  Gen.  Ord.  XXXIV 

A  creditor  may  raise  the  jurisdictional  question  of  bankrupt  being  in 
excepted  class  (a  farmer) ;  default  of  the  bankrupt  not  eqmvalent  to  a 
voltmtary  petition.  In  re  Taylor  (1900),  C.  C.  A.,  Brown,  J.,  102  Fed.' 
728;  4  A.  B.  R.,  515. 

Guardian  ad  litem  will  be  appointed  for  a  lunatic  bankrupt — eqtiity 
practice  controls.  In  re  Burka  (1901),  W.  Dist.  Tenn.,  Hammond,  J., 
107  Fed.,  674;  5  A.  B.  R.,  843. 

Jurisdictional  question  must  be  taken  to  be  waived  if  not  raised 
promptly.  In  re  Mason  (1900),  W.  Dist.  N.  C,  Ewart,  J.,  99  Fed.,  266; 
3  A.  B.  R.,  599. 

e  [Where  no  pleadings  filed.]  If  on  the  last  day  within 
which  pleadings  may  be  filed  none  are  filed  by  the  bankrupt 
or  any  of  his  creditors,  the  judge  shall  on  the  next  day,  if 


118  PROCESS,  PLEADINGS,  AND  ADJUDICATIONS.        [§18f. 

present,  or  as  soon  thereafter  as  practicable,  make  the 
adjudication  or  dismiss  the  petition. 

See  a,  b,  c,  d,  ante,  under  this  section  and  notes  thereunder.  For  forms 
of  adjudication,  see  Forms  11  and  12. 

Adjudication  in  different  districts — answer  in  one  default  in  another 
In  re  Elmira  Steele  Co.  (1901),  W.  Dist.  N.  Y.,  109  Fed.,  456;  5  A.  B, 
R.,  484. 

An  involtmtary  adjudication  of  bankruptcy  may  not  be  made  before, 
the  expiration  of  the  time  allowed.  Day  v.  Beck  &  Gregg  Hardware  Co. 
(1902),  C.  C.  A.,  5th  Cir.,  Shelby,  J.,  114  Fed.,  834;  8  A.  B.  R.,  175. 

Adjudication  of  corporation  by  default  where  petition  alleges  prefer- 
ence while  insolvent  is  res  adjudicata  to  all  creditors  on  all  such  facts  in- 
cluding date  of  insolvency.  In  re  American  Brewing  Co.  (1902),  C.  C.  A., 
7th  Cir.,  112  Fed.,  752;  7  A.  B.  R.,  463. 

Adjudication  set  aside.  In  re  Maples  (1901),  Dist.  Mont.,  Knowles, 
J.,  105  Fed.,  919;  5  A.  B.  R.,  426. 

Adjudication  may  be  vacated  on  proper  showing.  In  re  Ives  (1902) . 
C.  C.  A.,  6th  Cir.,  Wanty,  J.,  113  Fed.,  911;  7  A.  B.  R.,  692. 

/    [Where  judge  absent  reference  to  referee.]    If   the 

judge  is  absent  from  the  district,  or  the  division  of  the  dis- 
trict in  which  the  petition  is  pending,  on  the  next  day  after 
the  last  day  on  which  pleadings  may  be  filed,  and  none  have 
been  filed  by  the  bankrupt  or  any  of  his  creditors,  the  clerk 
shall  forthwith  refer  the  case  to  the  referee. 

As  to  computation  of  time,  see  Sec.  31  and  notes.  See  General  Order 
XII  as  to  duties  of  referees.  For  form  of  reference  in  absence  of  the  judge, 
see  form  No.  15. 

This  section  provides  for  reference  by  clerk  of  voltmtary  cases  in  ab- 
sence of  judge.  In  partnership  cases,  filed  by  one  partner,  clerk  may  like- 
wise refer  it  to  referee  who  will  proceed  under  Rule  XII  tmtil  remaining 
partner  appears  and  contests,  when  it  goes  back  to  the  judge — see  draft 
of  order.  In  re  Murray,  Dist.  la.,  Shiras,  J.,  96  Fed.,  600;  3  A.  B.  R., 
601;  1  N.  B.  N.,  570. 

The  clerk  cannot  send  a  case  of  involuntary  bankruptcy  to  the  referee 
for  adjudication,  except  in  cases  wherein  no  issue  is  made  by  the  bankrupt 
or  any  creditor.  In  re  L.  Htmabert  &  Co.  (1900),  N.  Dist.  la.,  Shiras, 
J.,  100  Fed.,  439;  4  A.  B.  R.,  76. 

A  deputy  clerk  cannot  make  an  order  of  reference  in  bankruptcy. 


§19a.]  JURY  TRIALS.  llO 

Bray  et  al.  v.  Cohh  (1898),  E.  Dist.  N.  C  .,  Purnell,  J.,  91  Fed.,  102;  1  A. 
B.  R.,  153 

g  [Hearing  on  voluntary  petition.]  Upon  the  filing  of  a 
voluntary  petition  the  judge  shall  hear  the  petition  and 
make  the  adjudication  or  dismiss  the  petition.  If  the  judge 
is  absent  from  the  district,  or  the  division  of  the  district  in 
which  the  petition  is  filed  at  the  time  of  the  filing,  the  clerk 
shall  forthwith  refer  the  case  to  the  referee. 

See  notes  o,  h,  c,  d,  e  and  /,  tinder  this  section. 

As  to  form  of  adjudication,  see  Forms  No.  11  and  12.  As  to  duties  of 
referee  on  reference,  see  Gen.  Ord.  XII.  For  order  of  reference  in  judge's 
absence,  see  form  No.  15.  "Judge"  does  not  include  referee.  Sec.  1 
(16).     "Adjudication"  defined.  Section  1  (2)  ante. 

Parties  not  before  the  coiirt  not  affected  by  decree  of  adjudication. 
Nensiadter  v.  Chicago  Dry  Goods  Co.  (1899),  Dist.  Wash.,  Handford,  J., 
96  Fed.,  830;  3  A.  B.  R.,  96;  2  N.  B.  N.,  552. 

The  practice  of  sending  petitions  directly  to  the  judge  is  improper — 
petitions  shovdd  be  filed  with  the  clerk.  In  re  Sykes  (1901),  W.  Dist. 
Tenn.,  Hammond,  J.,  106  Fed..  669;  6  A.  B.  R.,  264. 

After  involuntary  petition  is  filed  and  before  action  thereon,  bank- 
rupt may  file  voluntary  petition  on  which  adjudication  may  be  entered — 
creditor's  petition  to  be  held  to  protect  costs  or  other  rights.  In  re 
Stegar  (1902)  N.  Dist.  Ala.,  Jones  J.,  113  Fed.,  978;  7  A.  B.  R.,  665. 

Where  voltmtary  petition  filed  after  involtmtary  petition,  notice  should 
be  given  creditors  and  subsequent  action  should  depend  on  the  best  in- 
terest of  the  estate.  In  re  D-wyer  (1902),  Dist.  North  Da.,  Amidon,  J. 
112  Fed.,  777;  7  A.  B.  R.,  532. 

Sec.  19.    Jury  Trials. 

a  [Wlien  jury  may  be  demanded.]  A  person  against 
whom  an  involuntary  petition  has  been  filed  shall  be  entitled 
to  have  a  trial  by  jury,  in  respect  to  the  question  of  his 
insolvency,  except  as  herein  otherwise  provided,  and  any 
act  of  bankruptcy  alleged  in  such  petition  to  have  been 
committed,  upon  filing  a  written  application  therefor  at  or 
before  the  time  within  which  an  answer  may  be  filed.  If 
such  application  is  not  filed  within  such  time,  a  trial  by 
jury  shall  be  deemed  to  have  been  waived. 


120  JURY  TRIALS.  [§l9b. 

As  to  time  for  filing  answers,  see  Sec.  18b.  For  form  of  order  for  jury 
trial,  see  Form  No.  7. 

Time  within  which  jury  may  be  asked  is  mandatory.  Bray  v.  Cobb 
(1899),  E.  Dist.  N.  C,  Pumell,  J.,  91  Fed.,  102;  1  A.  B.  R.,  153;  1  N.  B. 
N.,  209. 

Claims  of  creditors  do  not  involve  jury  trial — proceedings  are  equitable. 
In  re  Christensen  (1900),  N.  Dist.  la.,  Shiras,  J.,  101  Fed.,  802;  4  A.  B. 
R.,99;2N.  B.  N.,670. 

Jvuy  trial  when  demanded  is  a  matter  of  right — is  a  trial  at  common 
law  reviewable  only  on  a  writ  of  error — error  must  be  presented  by  bill 
of  exceptions  as  the  proceeding  only  passes  on  error  and  not  of  fact.  El- 
liot V.  Toeppner  (1902),  Sup.  Ct.  U.  S.,  Fuller,  J.;  9  A.  B.  R.,  50. 

Bankrupt  entitled  to  a  jury  trial  on  the  question  of  whether  he  has 
made  a  general  assignment  or  not.  Day  v.  Beck  &  Gregg  Hardware  Co. 
(1902),  C.  C.  A.,  5th  Cir.,  Shelby,  J.,  114  Fed.,  834;  8  A.  B.  R.,  175. 

Trial  by  jury  matter  of  right  and  cannot  be  denied  if  seasonably  de- 
manded. Duncan  v.  Landis  (1901),  C.  C.  A.,  3rd  Cir.,  Gray,  J.,  106  Fed., 
839;5A.  B.R.,649. 

This  section  does  not  confer  right  of  jury  trial  in  bankruptcy  proceed- 
ings. Calling  the  jury  is  discretionary  with  the  court.  In  re  Rude 
(1900),  Dist.  Ky.,  Evans,  J.,  101  Fed.,  805;  4  A.  B.  R.,  319;  2  N.  B.  N., 
493. 

Jury  trial  should  be  allowed  creditors  on  question  of  solvency,  where 
their  claims  are  attacked  for  preferences.  In  re  Linton  (1902),  E.  Dist. 
Pa.,  Hoffman,  R.,  7  A.  B.  R.,  676. 

Bankrupt's  right  to  trial  by  jury  on  issue  of  act  of  bankruptcy  in- 
violable. Day  V.  Bech  &  Gregg  Hardware  Co.  (1902),  C.  C.  A.,  5th  Cir., 
Shelby,  J.,  114  Fed.,  834;  8  A.  B.  R.,  175. 

h    [Attendance  of  jury — certifying  case  to  other  court.] 

If  a  jury  is  not  in  attendance  upon  the  court,  one  may  be 
specially  summoned  for  the  trial,  or  the  case  may  be  post- 
poned, or,  if  the  case  is  pending  in  one  of  the  district  courts 
within  the  jurisdiction  of  a  circuit  court  of  the  United  States, 
it  may  be  certified  for  trial  to  the  circuit  coiut  sitting  at 
the  same  place,  or  by  consent  of  parties  when  sitting  at  any 
other  place  in  the  same  district,  if  such  circuit  court  has 
or  is  to  have  a  jury  first  in  attendance. 


§20ab.]  OATHS,  AFFIRMATIONS.  121 

c  [Laws  as  to  jury  trials  applicable.]  The  right  to  sub- 
mit matters  in  controversy,  or  an  alleged  offense  under  this 
Act,  to  a  jury  shall  be  determined  and  enjoyed,  except  as 
provided  by  this  Act,  according  to  the  United  States  laws 
now  in  force  or  such  as  may  be  hereafter  enacted  in  relation 
to  trials  by  jury. 

As  to  trials  by  jury  in  United  States  Courts,  see  Sections  800-821, 
Revised  Statutes  United  States.  Also  supplement  to  Revised  Statutes 
of  United  States,  page  270. 

See  b  and  notes  ante.  See  Section  VI  Amendment  to  the  United 
States  Constitution. 

Sec.  20.     Oaths,  Affirmations. 

a  [Who  may  administer  oaths.]  Oaths  required  by  this 
Act,  except  upon  hearings  in  court,  may  be  administered  by 

The  attorney  of  the  petitioner  should  not  be  the  notary  who  adminis- 
ters the  oath.  In  re  Brumelkamp  (1899),  N.  Dist.  N.  Y.,  Coxe,  J.,  95 
Fed.,  814;  2  A.  B.  R.,  318;  1  N.  B.  N.,  360;  In  re  Kindt  (1900),  S.Dist. 
la.,  Shiras,  J.,  98  Fed.,  403;  4  A.  B.  R.,  148. 

(1)  referees; 

(2)  officers  authorized  to  administer  oaths  in  proceedings 
before  the  courts  of  the  United  States,  or  under  the  laws  of 
the  State  where  the  same  are  to  be  taken ;  and 

(3)  diplomatic  or  consular  officers  of  the  United  States  in 

any  foreign  country. 

A  power  of  attorney  authorizing  proxies  to  vote  at  creditors'  meetings 
may  be  executed  before  the  constdar  or  diplomatic  officer  of  the  United 
States  in  a  foreign  coimtry.  In  re  Sugenheimer  (1899),  S.  Dist.  N.  Y., 
Brown,  J.,  91  Fed.,  744;  1  A.  B.  R.,  425;  1  N.  B.  N.,  59. 

h  [Afltanations.]  Any  person  conscientiously  opposed 
to  taking  an  oath  may,  in  lieu  thereof,  affirm.  Any  person 
who  shall  affirm  falsely  shall  be  punished  as  for  the  making 
of  a  false  oath. 

For  punishment  for  false  oath,  see  Sec.  29b  (2)  and  notes. 


122  EVIDENCE.  [§21  a. 

Sec.   21.     Evidence. 

a  [Compulsory  attendance  of  witness.]  A  court  of  bank- 
ruptcy may,  upon  application  of  any  officer,  bankrupt,  or 
creditor,  by  order  require  any  designated  person,  including 
the  bankrupt,*  and  his  wife,*  (who  is  a  competent  witness 
under  the  laws  of  the  State  in  which  the  proceedings  are 
pending),  to  appear  in  court  or  before  a  referee  or  the  judge 
of  any  State  court,  to  be  examined  concerning  the  acts, 
conduct,  or  property  of  a  bankrupt  whose  estate  is  in 
process  of   administration  under  this  Act : 

^Provided,  that  the  wife  may  be  examined  only  touching 
business  transacted  by  her  or  to  which  she  is  a  party,  and  to 
determine  the  fact  whether  she  has  transacted  or  been  a 
party  to  any  business  of  the  bankrupt.* 

As  amended  by  Act  7,  1903,  Sec.  7  of  Amendment  ,  page post. 

Amendment  omits  matter  between  brackets  and  adds  matter  between  stars. 
As  to  examination  of  bankrupts  see  Sec.  7  (9)  and  notes.     See  also 
U.  S.  Rev.  S.  5087. 

See  d,  post,  and  notes. 

Witness  living  more  than  one  hundred  miles  from  place  of  hearing 
can  not  be  compelled  to  attend  by  subpoena.  In  re  Hemstreet  (1902), 
N.  Dist.  la.,  Shiras,  J.,  8  A.  B.  R.,  760. 

Third  parties  who  are  examined  during  proceedings  are  not  as  a  matter 
of  strict  legal  right  entitled  to  be  represented  by  counsel.  In  re  Howard 
N.  Dist.  Cal.,  De  Haven,  J.,  95  Fed.,  415;  2  A.  B.  R.,  582;  1  N.  B.  N., 
488. 

Wife  of  bankrupt  may  not  be  compelled  to  testify.  In  re  Fowler 
(1899),  W.  Dist.  Wis.,  Bunn,  J.,  93  Fed.,  417;  1  A.  B.  R.,  555;  1  N.  B. 
N.,  215. 

Referee  in  bankruptcy  may  require  any  designated  person  who  is  com- 
petent witness  under  the  laws  of  the  State  to  appear  and  be  examined 
concerning  the  acts,  conduct  and  property  of  a  bankrupt — referee  may 
examine  trustee  in  insolvency  proceedings  concerning  disposition  of 
assets.  In  re  Pursell  (1902),  Dist.  of  Conn.,  Piatt,  J.,  114  Fed.,  371;  8 
A.  B.  R.,  96. 

Competency  of  the  witness  is  for  the  court — if  witness  claims  pro- 
fessional   privilege  court  may    examine   him    as    to  relation.     Peoples 


§21  a.]  EVIDENCE.  123 

Bank  of  Buffalov.  Broivn  (1902),  C.   C.  A.,  3rd  Cir.,  Dallas,  J.,  112  Fed., 
652;   7  A.  B.  R.,  475. 

Examination  of  witnesses,  who  have  close  business  relations  with 
bankrupt,  should  be  very  broad.  And  objections  to  its  validity  should 
not  be  strictly  allowed.  In  re  Foerst  (1899),  S.  Dist.N.  Y.,  Brown,  J., 
93  Fed.,  190;  1  A.  B.  R.,  259. 

Other  witnesses  may  not  be  examined  touching  matters  not  relating  to 
the  bankrupt's  affairs.  In  re  Carley  (1901),  Dist.  Ky.,  Evans,  J.,  106 
Fed.,  862;  5  A.  B.  R.,  554. 

Examination  under  this  section  is  for  the  benefit  of  trustee  in  protec- 
tion and  preservation  of  the  estate.  Notice  to  the  bankrupt  not  necessary, 
nor  has  he  right  to  participate  therein.  In  re  Cobb  (1901),  Dist.  Mass., 
Farmer,  R.,  7  A.  B.  R.,  104. 

Whether  a  question  asked  a  witness  is  proper  is  for  the  court,  not  the 
witness,  to  determine — if  professional  secrets  are  claimed  it  is  for  the  cotirt 
to  determine  by  preliminary  inquiries  whether  such  relation  exists  and 
whether  the  reason  is  good.  Peoples  Bank  ef  Buffalo  v.  Brown  (1902), 
C.  C.  A.,  3rd  Cir.,  Dallas,  J.,  112  Fed.,  652;  7  A.  B.  R.,  475. 

Wife  of  bankrupt  is  incompetent  witness  under  law  of  State  of  Washing- 
ton. In  re  Jefferson  (1899),  Dist.  Wash.,  Handford,  J.,  96  Fed.,  826; 
3  A.  B.  R.,  174;  1  N.  B.  N.,  288. 

Wife  of  bankrupt  held  not  competent  witness  for  examination  in 
Wisconsin.  In  re  Mayer  (1899),  E.  Dist.  Wis.,  Seaman,  J.,  97  Fed.,  328; 
3  A.  B.  R.,  222;  2  N.  B.  N.,  257. 

Questions  asked  bankrupt  must  relate  only  to  bankrupts  present 
assets.     In  re  White  (1900),  S.  Dist.  Ohio,  Mack,  R.,  2  N.  B.  N.,  536. 

Wife  not  competent  witness  in  Missouri.  In  re  Cohn  (1900),  E.  Dist. 
Mo.,  Adams,  J.,  104  Fed.,  328;  5  A.  B.  R.,  16. 

Examination  can  only  extend  to  acts  of  bankrupt  or  acts  of  third 
persons,  so  interwoven  with  acts  of  bankrupt  as  to  make  them  virtually 
the  same  by  reason  of  commimity  of  interest.  In  re  Carley  (1902), 
Dist.  Ky.,  Evans,  J.,  106  Fed.,  862;  5  A.  B.  R.,  554. 

Large  latitude  is  allowed  in  the  examination  of  persons  closely  con- 
nected with  the  bankrupt  in  business  dealing.  In  re  Horgan  &  Slattery 
(1899),  98  Fed.,  414;  3  A.  B.  R.,  253. 

Bankrupt  cannot  be  compelled  to  answer  criminating  questions.  In 
re  Nachman  (1902),  Dist.  S.  C,  Brawley,  J.,  114  Fed.,  995;  8  A.  B.  R.,  180. 

Order  for  examination  may  be  made  on  the  simple  application  or  de- 
mand of  a  creditor  or  interested  party — examination  of  third  persons  is 
to  afford  full  information  touching  bankrupt's  estate.  In  re  Fixen  & 
Co.  (1899),  S.  Dist.  Cal.,  Wellborn,  J.,  96  Fed.,  748;  2  A.  B.  R.,  822. 

Bankrupt  required  to  attend  whenever  reasonably  reqtiired  by  credi- 


124  EVIDENCE.  [§21  bed. 

tors.     In  re  Mellen  (1899),    S.  Dist.  N.  Y.,  Brown,  J.,  97  Fed.,  326;  3 
A.  B.  R.,  226. 

b  [Depositions— right  to  take.]  The  right  to  take  depo- 
sitions in  proceedings  under  this  Act  shall  be  determined 
and  enjoyed  according  to  the  United  States  laws  now 
in  force,  or  such  as  may  be  hereafter  enacted  relating  to  the 
taking  of  depositions,  except  as  herein  provided. 

Depositions  of  a  witness  living  more  than  a  hiindred  miles  from  the 
place  of  trial,  or  who  is  about  to  leave  the  district,  or  is  old  and  infirm, 
may  be  taken  before  a  judge  of  any  United  States  court,  or  commissioner 
of  the  United  States,  Clerk  of  a  Circtiit  or  District  court.  Chancellor, 
Justice  or  Judge  of  a  Supreme  or  Superior  cotirt.  Mayor  of  a  City,  Judge 
of  a  County  court  or  court  of  common  pleas,  or  any  Notary  Public,  not 
attorney,  in  the  case.  Revised  Statute  of  the  United  States,  Sec.  863 
and  867.  State  laws  as  to  taking  depositions  may  be  followed.  2  Sup. 
R.  S.  ofU.  S.,p.  4. 

Examination  commission  allowed  in  district  other  than  the  one  in 
which  petition  filed — practice  under  U.  S.  statute.  In  re  Carley  (1901), 
Dist.  Ky.,  Evans,  J.,  106  Fed.,  862;  5  A.  B.  R.,  554. 

c  [Notice  of  talcing  depositions.]  Notice  of  the  taking 
of  depositions  shall  be  filed  with  the  referee  in  every  case. 
When  depositions  are  to  be  taken  in  opposition  to  the  al- 
lowance of  a  claim  notice  shall  also  be  served  upon  the 
claimant,  and  when  in  opposition  to  a  discharge  notice  shall 
also  be  served  upon  the  bankrupt. 

As  to  allowance  of  claims,  see  Sec.  57c.  As  to  what  depositions  to 
prove  debts  shall  contain,  see  General  Order  XXI  (1) . 

d  [Certified  copies  as  evidence.]  Certified  copies  of  pro- 
ceedings before  a  referee,  or  of  papers,  when  issued  by  the 
clerk  or  referee,  shall  be  admitted  as  evidence  v/ith  like 
force  and  effect  as  certified  copies  of  the  records  of  district 
courts  of  the  United  States  are  now  or  may  hereafter  be 
admitted  as  evidence. 

As  to  evidence,  see  Sec.  21  and  notes;  see  also  as  to  evidence.  Rev. 
St.  of  U.  S.,  Sec.  4,992,  5,119. 

Certified  copy  of  record  showing  petition  adjudication  and  appoint- 


§22  a.]     REFERENCE  OF  CASES  AFTER  ADJUDICATION.  125 

ment  and  qualification  of  trustee  authenticated  by  certificate  of  referee 
admissible  in  evidence  in  suit  by  trustee  to  set  aside  conveyance.  Sprallin 
V.  Colson  Bros.  (1902),  Sup.  Ct.  Miss.,  Tennel,  J.,  80  Miss.,  278. 

e  [Copy  of  order  approving  trustees  bond.]  A  certified 
copy  of  the  order  approving  the  bond  of  a  trustee  shall 
constitute  conclusive  evidence  of  the  vesting  in  him  of  the 
title  to  the  property  of  the  bankrupt,  and  if  recorded  shall 
impart  the  same  notice  that  a  deed  from  the  bankrupt  to 
the  trustee  if  recorded  would  have  imparted  had  not  bank- 
ruptcy proceedings  intervened. 

As  to  form  of  order  approving  trustee's  bond,  see  Form  No.  17.  As 
to  time  title  vests  in  trustee,  see  Sec.  70. 

/  [Certified  copy  of  orders — evidence.]  A  certified  copy 
of  an  order  confirming  or  setting  aside  a  composition,  or 
granting  or  setting  aside  a  discharge,  not  revoked,  shall  be 
evidence  of  the  jurisdiction  of  the  court,  the  regularity  of  the 
proceedings,  and  of  the  fact  that  the  order  was  made. 

As  to  evidence,  see  Sec.  21  and  notes;  also  notes  to  a,b,c,  d  and  e  of 
this  section. 

g    [Evidence  of  revesting  of  title  in  the  bankrupt.]    A 

certified  copy  of  an  order  confirming  a  composition  shall 
constitute  evidence  of  the  revesting  of  the  title  of  his  prop- 
erty in  the  bankrupt,  and  if  recorded  shall  impart  the  same 
notice  that  a  deed  from  the  trustee  to  the  bankrupt  if  re- 
corded would  impart. 

Confirmation  of  composition  revests  title  in  the  bankrupt.  Sec.  70f 
and  notes. 

Sec.  22.     Reference  of  Cases  after  Adjudication. 

a  [Judge  may  refer  cause.]  After  a  person  has  been  ad- 
judged a  bankrupt  the  judge  may  cause  the  trustee  to  pro- 
ceed with  the  administration  of  the  estate,  or  refer  it 

As  to  order  of  reference,  see  Form  14.  As  to  what  the  order  of  ref- 
erence shall  contain,  see  Gen.  Ord.  XII.     Proceedings  after  reference  to 


126  STATE  AND  FEDERAL  COURTS.— JURISDICTION.    [§23 a. 

be  before  referee  unless  required  by  act  to  be  before  judge,  Gen.  Ord. 
XXII.  As  to  powers  and  duties  of  referees,  see  Sec.  39;  also  Gen.  Ord. 
XXXV. 

(1)  [General  or  Special  Reference.]  Generally  to  the 
referee  or  specially  with  only  limited  authority  to  act  in 
the  premises  or  to  consider  and  report  upon  specified  is- 
sues ;  or 

.  (2)     [To  any  referee  within   the  jurisdiction.]    To  any 

referee  within  the  territorial  jurisdiction  of  the  court,  if  the 
convenience  of  parties  in  interest  will  be  served  thereby,  or 
for  cause,  or  if  the  bankrupt  does  not  do  business,  reside,  or 
have  his  domicile  in  the  district. 

b    [Transfer  to  different  referee.]    The  judge  may,  at  any 

time,  for  the  convenience  of  parties  or  for  cause,  transfer  a 

case  from  one  referee  to  another. 

See  ante  Sec.  2  (19)  as  to  transfer  of  cases.  As  to  fees  in  case  of  ref- 
erence, see  Sec.  40b. 

Sec.  23.    Jurisdiction  of  United  States   and     State 
Courts. 

a  [Circuit  Courts,]  The  United  States  circuit  courts 
shall  have  jurisdiction  of  all  controversies  at  law  and  in 
equity,  as  distinguished  from  proceedings  in  bankruptcy, 
between  trustees  as  such  and  adverse  claimants  concerning 
the  property  acquired  or  claimed  by  the  trustees,  in  the 
same  manner  and  to  the  same  extent  only  as  though  bank- 
ruptcy proceedings  had  not  been  instituted  and  such  con- 
troversies had  been  between  the  bankrupts  and  such  ad- 
verse claimants. 

As  to  removal  of  causes  to  Circuit  Coiirt,  Sec.  638  Rev.  St.,  U.  S. ;  also 
1  Sup.  Rev.,  St.  611. 

As  to  jurisdiction  of  courts  of  bankruptcy,  see  Sec.  2.  As  to  suits  by 
and  against  bankrupts,  see  Sec.  11  and  notes.  As  to  suits  by  trustee  to 
recover  property  transferred,  Sec.  60b. 


§23b.]     STATE  AND  FEDERAL  COURTS. — ^JURISDICTION.  127 

Held,  United  States  Cotirts  have  jurisdiction  to  determine  validity  of 
assignments — construes  clause  to  be  one  relating  to  the  jurisdiction  of  the 
United  States  Circuit  Courts  and  not  applicable  to  the  District  Courts, 
and  not  impairing  the  effect  of  Chapler  II,  ante.  In  re  Sievers  (1899), 
Adams,  J.,  E.  Dist.  Mo.,  91  Fed.,  366;  1  A.  B.  R.,  117;  1  N.  B.  N.,  67. 

Contra — District  court  no  jurisdiction  in  replevin  where  bankrupts 
and  defendant  are  citizens  of  same  state.  Mitchell  v.  McClure  (1899) , 
W.  Dist.  Pa.,  Buffington,  J.,  91  Fed.,  621;  1  A.  B.  R.,  53;  1  N.B.N.,138. 

Circuit  Covirt  of  the  United  States  has  no  jurisdiction  of  a  sviit  by  a 
trustee  to  set  aside  conveyance  by  bankrupt  in  fraud  of  creditors  where 
the  parties  are  outside  of  the  State.  Goodier  v.  Barnes  (1899),  N.  Dist. 
N.  Y.,  Coxe,  J.,  94  Fed.,  798;  2  A.  B.  R.,  328;  1  N.  B.  N.,  383. 

After  adjudication  trustee  must  be  made  a  party  to  a  subsequent  pro- 
ceeding for  foreclosure.  Mills  v.  Kiernan  (1900) ,  Sup.  Ct.  N.  Y.,  Birchoff, 
J.,  1  N.  B.  N.,  410. 

h  [Suits  by  trustee — where  brought.]  Suits  by  the 
trustee  shall  only  be  brought  or  prosecuted  in  the  courts 
where  the  bankrupt,  whose  estate  is  being  administered  by 
such  trustee,  might  have  brought  or  prosecuted  them  if 
proceedings  in  bankruptcy  had  not  been  instituted,  unless 
by  consent  of  the  proposed  defendant*  except  suits  for  the 
recovery  of  property  under  Section  sixty,  subdivision  b,  and 
section  sixty-seven,  subdivision  e.  c* 

Amended  by  Act  of  1903.     Section  8  of  amendment  page       -post. 
Amendment  adds  matter  between  stars. 

As  to  trustees  bringing  sviits,  see  Sec.  11  and  notes.  Suit  by  trustee 
may  be  prosecuted  to  set  aside  a  preference,  60b. 

The  Supreme  Court  of  the  United  States  in  discussing  this  section 
settled  the  question  of  the  jurisdiction  of  the  district  courts  in  suits  by 
the  trustee  against  third  parties — following  the  notes  of  these  cases  are 
the  notes  of  sundry  courts  many  of  them  preceding  those  decisions  in 
point  of  time. 

(The  amendment  of  1903  will  be  noted  supra) 

District  court  no  jurisdiction,  except  by  consent  of  suit  by  trustee 
against  third  person  to  collect  assets  or  set  aside  preferences.  Bardes  v. 
First  National  Bank  ef  Hawarden  (1900),  U.  S.,  Sup.  Ct.,  Gray,  J.,  175 
U.  S.,  526;  4  A.  B.  R.,  163;  2  N.  B.  N.,  725. 

Wall  v.Cox  (1901),  U.  S.  Sup.  Ct.,  Gray,  J..  181  U.  S..  244;    5  A.  B. 


128  STATE  AND  FEDERAL  COURTS. — JURISDICTION.   [§23b. 

R.,  727.     Mitchell  v.  McClure  (1900),   U.  S.  Sup.  Ct.,  178  U.  S.,  539;   4 
A.  B.  R.,  177.     Hicks  v.  Knost  (1900),  U.  S.  Sup.  Ct.,  178  U.  S.,  541;   4 

A.  B.  R.,  178;   Mueller  v.    Nugent  (1902),    Sup.  Ct.  U.  S.,   Fuller,  J., 
184  U.  S.,  1. 

An  assignee  for  the  benefit  of  creditors  in  the  State  court  has  the  right 
to  have  his  claims  for  services  and  attorneys' fees  adjudicated  in  the 
State  covut — bankruptcy  court  has  no  jurisdiction  to  adjudicate  the 
merits  of  his  claim  tmless  by  his  consent  and  then  only  by  plenary  suit. 
Louisville  Trust  Co.  v.  Cominger  (1902),  Sup.  Ct.  of  U.  S.,  Fuller,  J.,  184 
U.  S.,  18;  7  A.  B.  R.,  421;  affirming  Sinsheimer  v.  Simonson  (1901),  C. 
C.  A..  6th  Cir.,  Severens,  J.,  107  Fed.,  898;  5  A.  B.  R.,  537. 

Statute  of  Hmitations  of  the  state  applies  as  to  creditor's  bill  by  trustee 
This  section  does  not  apply  to  creditors  bill  brought  by  trustee.  Lehman 
v.  Crosby  (1900),  S.  Dist.  N.  Y.,  Brown,  J.,  99  Fed.,  542;  3  A.  B.  R.,  662; 
1  N.  B.  N.,  451. 

This  section  is  a  limitation  on  Circviit  courts  of  the  United  States 
and  not  on  District  coiuls.  Cox  v.  Wall  et  al.  (1900),  W.  Dist.  N.  C. 
Ewart,  J.,  99  Fed.,  546;  3  A.  B.  R.,  664;  2  N.  B.  N.,  572. 

Bill  by  trustee  to  set  aside  fraudulent  transfer  of  personalty  is  proper 
procedure.  Cox  v.  Wall  el  al.  (1900),  W.  Dist.  N.  C,  Ewart,  J.,  99  Fed., 
546;  3  A.  B.  R.,  664;  2  N.  B.  N.,  572. 

Supreme  Court  of  N.  Y.  has  jurisdiction  to  entertain  suit  by  trustee  to 
set  aside  fraudulent  conveyance.  Silberstein  v.  Stahl  et  al.  (1900),  N. 
Y.  Sup.  Ct.,  Russell,  J.;  4  A.  B.  R.,  626. 

Jurisdiction  of  Circuit  court  in  suit  where  trustee  is  party  entertained. 
Bank  v.  Iron  Co.  (1899),  N.  Dist.  Ga.,  Newman,  J.,  102  Fed.,  755;  3  A. 

B.  R.,  582;  99  Fed.,  82. 

Jiuisdiction  of  District  court  is  not  restricted  by  this  section  and  bill 
to  set  aside  fraudulent  transfer  will  be  entertained.  Norcross  v.  Nathan 
(1900),  Dist.  Nevada,  Hawley,  J.,  99  Fed.,  414;  3  A.  B.  R.,  613;  2  N.  B. 
N.,   405. 

Subdivision  b  of  this  section  does  not  divest  the  District  Court  of  jur- 
isdiction. Carter  v.  Hobb  et  al.  (1899),  Dist.  Ind.,  Baker,  J.,  92  Fed., 
594;  1  A.  B.  R.,  215;  1  N.  B.  N.,  191. 

Section  23b  does  not  deprive  District  court  of  jurisdiction  of  suits 
by  trustee  to  set  aside  preferences.  Murray  v.  Beal  (1899),  Dist.  Utah. 
Marshall,  J.,  97  Fed.,  567;  3  A.  B.  R.,  284;  2  N.  B.  N.,  164. 

Where  property  is  in  litigation  in  State  Court  parties  thereto  coming 
into  district  subject  themselves  to  order  therein.     In  re  Rik.;r  (1901), 

C.  C.  A.,  2nd  Cir.,  107  Fed.,  96;  5  A.  B.  R.,  720. 

A  bill  by  a  trustee  to  set  aside  a  fraudvdent  cdbveyance  is  cognizable 


§23b.]    STATE  AND  FEDERAL  COURTS. — JURISDICTION.  129 

in  the  District  court.     Carter  v.  Hobbs  (1899),  Dist.  Ind.,  Baker,  J.,  92 
Fed.,  594;  1  A.  B.  R.,  215;  1  N.  B.  N.,  191. 

The  District  court  has  jurisdiction  over  mortgages  to  inquire  into  their 
validity  without  the  consent  of  the  mortgagee.  Carter  v.  Hobbs  (1899), 
Dist.  Ind.,  Baker,  J.,  92  Fed.,  594;  1  A.  B.  R.,  215;  1  N.  B.  N.,  191. 

The  District  court  cannot  entertain  jurisdiction  of  suit  by  trustee  to 
set  aside  conveyance.  Burnett  v.  Morris  Mercantile  Co.  (1899),  Dist. 
Ore.,  Bellinger,  J.,  91  Fed.,  365;  1  A.  B.  R.,  229;  1  N.  B.  N.,  240. 

Courts  of  bankruptcy  have  no  jurisdiction  of  suits  by  trustee  against 
third  persons  to  collect  money  due  the  bankrupt.  Sec.  23  limits  Sec.  2. 
Hicks  v.  Knest  (1899),  S.  Dist.  Ohio,  Thompson,  J.,  94  Fed.,  625;  2  A.  B. 
R.,  153;  1  N.  B.  N.,  336. 

Assignment  in  state  court  before  bankruptcy  petition  and  subsequent 
sale  by  assignee  cannot  be  attacked  by  summary  proceedings  in  bank- 
ruptcy— chancery  action  necessary.  In  re  Abraham  (1899),  C.  C.  A., 
5th  Cir.,  McCormick,  J.,  93  Fed.,  767;  2  A.  B.  R.,  266;  1  N.  B.  N.,  281. 

District  court  no  jurisdiction  of  suit  by  trustee  to  set  aside  fraudulent 
transfer.  Perkins  v.  McCauley  et  al.  (1899),  S.  Dist.  Cal.,  Wellborn, 
J.,  98  Fed.,  286;  3  A.  B.  R.,  445. 

Contra,  Louisville  v.  Trust  Comingor  (1899),  Dist.  Ky.,  Evans,"  J.,  98 
Fed.,  456;  3  A.  B.  R.,  450. 

No  jurisdiction  in  District  court  where  third  person  holds  ""property 
of  bankrupt  under  fraudulent  transfer.  In  re  Sheinbaum  (1901),  S.  Dist. 
N.  Y.,  Brown,  J.,  107  Fed.,  247;  5  A.  B.  R.,  187. 

Equity  will  follow  fund  created  by  wrongfvd  conversion  of  stocks 
held  by  bankrupt  as  broker.  Hutchinson  v.  Leroy  (1902),  C  C.A.,  1st. 
Cir.,  Putnam,  J.,  115  Fed.,  937;  8  A.  B.  R.,  20. 

No  jurisdiction  in  State  Court  to  entertain  bill  in  equity  to  preserve 
assets  until  the  bankruptcy  law  will  be  invoked.  Ideal  Clothing  Co.  v. 
Hazel  (1901),  Sup.  Ct.,  Mich.;  6  A.  B.  R.,  265;  3  N.  B.  N.,  630. 

State  Court  no  jurisidction  of  suit  againt  trustee  in  bankruptcy  for 
possession  of  property,  held  by  him.  Turrentine  v.  Blackwood  (1900), 
Ala.  Sup.  Ct.,  Harralson,  J.,  28  So.,  95;  4  A.  B.  R.,  338. 

State  Court  having  obtained  jurisdiction  by  foreclosure  before  bank- 
ruptcy can  retain  it  to  the  end.  In  re  Gerdes  (1900),  So.  Dist.  Ohio, 
Thompson,  J.,  102  Fed.,  318;  4  A.  B.  R.,  346;  2  N.  B.  N.,  131. 

Section  23b  does  not  deprive  District  Court  of  suits  by  trustee  to  set 
aside  preferences.  Murray  v.  Beal  (1899),  Marshall,  J.,  97  Fed.,  567; 
3  A.  B.  R.,  284;  2  N.  B.  N.,  164. 

Equitable  replevin  allowed  on  rescission  of  contract  of  sale  for  fraud- 


130  STATE  AND  FEDERAL  COURTS.— JURISDICTION.   [§23b. 

In  re  Weil  (1901),  S.  Dist.  N.  Y.,  Adams,  J.,  Ill  Fed.,  897;  7  A.  B.  R. 
90. 

Permission  may  be  given  mortgagee  to  make  trustee  defendant 
In  re  San.  Gabriel  S.  Co.  (1901),  C.  C.  A.,  9th  Cir.,  Ill  Fed.,  892;  7  A 
B.    R.,    206. 

District  Court  has  no  jurisdiction  to  set  aside  a  conveyance  between 
a  husband  and  wife  on  petition  of  creditors — remedy  is  by  trustee  in 
State  Court.  In  re  Griffith  (1899),  E.  Dist.  Tenn.,  Grayson,  R.;  1  N.  B. 
N.,    645. 

Finding  as  to  title  of  property  is  res  adjudicata  until  reversed  and 
should  not  be  re-opened  by  the  cotirt  which  made  it.  In  re  Lemmon  & 
Gale  Co.  (1901),  C.  C.  A.,  6th  Cir.,  Day,  J.,  112  Fed.,  296;  7  A.  B.  R.,  291. 

Jurisdiction  not  waived  if  want  of  not  raised  till  filing  of  second  amen- 
ded petition  in  suit  by  trustee.  In  re  Hemby ,  Hutchinson  Pub.  Co.  (1900) 
N.  Dist.  111.,  Kohlsaat,  J..  105  Fed.,  909;  5  A.  B.  R.,  569. 

Jurisdiction  having  been  given  by  consent  can  not  be  revoked — con- 
struction of  validity  of  chattel  mortgage.  In  re  Durham  (1902),  Dist- 
Md.,  Morris,  J.,  114  Fed.,  750;  8  A.  B.  R.,  115 

Jurisdiction  of  United  States  District  Court  in  bankruptcy  paramount 
to  that  of  State  Covu"t  over  estate  being  administered  in  insolvency  pro- 
ceedings. Comity  can  not  confer  jurisdiction.  In  re  Macon  Lvunber 
Co.  (1901),  S.  Dist.  Ga.,  Spear,  J.,  112  Fed.,  323;  7  A.  B.  R.,  66. 

District  Court  no  jvirisdiction  in  suit  to  set  aside  conveyance  by  bank- 
rupt which  is  alleged  to  be  fraudulent.  In  re  Carter  (1899),  S.  Dist. 
Ga.,  Myrick,  R.,  1  A.  B.  R.,  160;  1  N.  B.  N.,  162. 

Mere  interest  of  trustee  in  results  of  pending  litigation  in  the  State 
Court,  no  ground  for  staying  action,  or  transferring  same  to  United  States 
court.  In  re  Greater  American  Exposition  (1900),  C.  C.  A.,  8th Cir., 
Thayer,  J.;  4  A.  B.  R.,  486. 

The  District  Court  has  no  jiuisdiction  to  collect  a  preferential  payment 
made  to  a  creditor.  In  re  Goldberg  (1899),  Dist.  Utah,  Baldwin,  R., 
1  A.  B.  R.,  385;  1  N.  B.  N..  266. 

Bankruptcy  court  no  jurisdiction  to  determine  by  simimary  proceed- 
ing a  controversy  between  the  trustee  as  such  and  an  adverse  claimant 
concerning  property  claipied  by  the  trustee.  In  re  Fowler  (1899) ,  Dist. 
Conn.  Banks,  R.,  93  Fed.,  417;  1  A.  B.  R.,  637;  1  N.  B.  N.,  215. 

Bankruptcy  court  no  power  to  compel  court  to  reopen  a  case  which 
proceeded  after  bankruptcy  to  suit  on  a  bail  bond  against  the  surety 
only.  In  re  Franklin  (1901),  Dist.  Mass.,  Lowell,  J.,  106  Fed.,  666;  6 
A  B.  R.,  285. 

State  law  governs  application  of  trustee  to  intervene  in  suit  in  State 


■  §23b.]    STATE  AND  FEDERAL  COURTS. — JURISDICTION.  131 

court.     Bank  of  Comtnerce  v.  Elliott  (1901),  Sup.  Ct.  Wis.,  Marshall,  J., 
109  Wis.,  648;  6  A.  B.  R.,  409. 

When  court  will  adjudicate  claim  to  exempt  property — liens  on  prop- 
erty set  aside  as  exempt  must  be  adjudicated  in  other  courts.  In  re 
Little  (1901),  N.  Dist.  la.,  Shiras,  J.,  110  Fed.,  621;  6  A.  B.  R.,  681. 

Title  of  third  person,  although  a  daughter  of  bankrupt,  can  only  be 
tested  in  plenary  suit  by  trustee,  and  not  by  stmmiary  process.  In  re 
Cohn  (1899),  S.  Dist.  N.  Y.,  Brown,  J.,  98  Fed.,  75;  3  A.  B.  R.,  421; 
2  N.  B.  N.,  299. 

Jurisdiction  of  a  State  Court  which  has  appointed  a  receiver  of  a  firm 
is  not  to  be  assailed  in  a  court  of  bankruptcy  in  subsequent  proceedings — 
no  order  will  be  made  on  the  receiver  to  ttim  over  the  assets — tmstee  must 
apply  to  state  court  for  such  an  order.  In  re  Price  &  Co.  (1899) ,  S.  Dist, 
N.  Y.,  Brown,  J.,  92  Fed.,  987;  1  A.  B.  R.,  606;  1  N.  B.  N.,131. 

District  court  no  jurisdiction  to  sue  third  party  for  debt  due  bankrupt- 
cy estate.  In  re  Goldberg  (1899),  Dist.  Utah,  Baldwin,  R.;  1  A.  B.  R.,  385; 
1  N.  B.  N.,  256. 

Trustee  shotdd  obtain  consent  of  court  before  bringing  suit.  In  re 
Mersman  (1901),  W.  Dist.  N.  Y.,  Hotchkiss,  R.,  7  A.  B.  R.,  46. 

Creditor  who  has  voluntarily  Utigated  in  District  court  validity  of 
transfer  by  bankrupt,  cannot  afterwards  deny  jurisdiction  of  the  court. 
Phillips  v.  Turner  (1902),  C.  C.  A.,  5th  Cir.,  114  Fed.,  726;  8  A.  B.  R.,  171. 

Court  of  bankruptcy  no  power  to  determine  the  merits  of  a  controversy 
where  there  is  real  claim  in  fact  even  though  fraudtdent.  In  re  Michie 
(1902),  Dist.  Mass.,  Lowell,  J.,  116  Fed.,  749;  8  A.  B.  R..  734. 

Corporation  to  whom  a  debtor  transferred  all  his  property,  adjudged 
bankrupt — District  court  no  jurisdiction  to  entertain  plenary  sixit  in 
equity  to  determine  the  vaUdity  of  the  transfer.  Real  Estate  Trust  Co. 
v.  Thompson  (1902),  E.  Dist.  Pa.,  McPherson,  J.,  112  Fed.,  945;  7  A.  B. 
R.,  520. 

Suit  by  trustee  to  set  aside  fraudulent  conveyance  brought  in  state 
court.  Sheldon  v.  Parker  (1902) ,  Sup.  Ct.  Neb.,  Duffie,  J.,  92  N.  W.,  923; 
Skillin  V.  Maihrunn  (1902),  Sup.  Ct.  N.  Y.,  O'Brien,  J.,  78  N.  Y.  Supp., 
436. 

Trustee  may  bring  the  action  any  time  within  two  years  to  set  aside 
fraudulent  conveyance.  Schreck  v.  Hanlon  (1902),  Sup.  Ct.  Neb.,  Duffie, 
J.,  92  N.  W.,  625;  Myers  v.  Hart  (1901),  C.  C.  Ohio,  Cook.  J.,  22  Ohio,  C. 
C,  427;  Lyon  v.  Clark  (1900),  Sup.  Ct.,  Mich.  Moore,  J.,  124  Mich.,  100. 

Vacation  of  judgment  against  bankrupt  not  granted  trustee  as  he  had 
adequate  remedy  by  action  to  recover  the  property.  Gage  v.  Bates  Mach. 
Co.  (1902),  Sup    Ct.  N.  H.,  Walker,  J.,  52  Atl.,  457. 


132  JURISDICTION  OF  APPELLATE  COURTS.  [§24a. 

State  Courts  have  concurrent  jurisdiction  with  federal  courts  of  an 
action  of  trover  to  determine  title  to  goods  taken  by  trustee.  Fruda 
V.  Osgood  (1901),  Sup.  Ct.  N.  H.,  Blodget,  J.,  51  Atl.,  663. 

Trustee  to  prosecute  suits  in  State  courts  or  in  the  U.  S.  Circuit  Court 
where  diversity  of  citizenship  exists.  Robinson  v.  White  (1899),  Dist. 
Ind.,  Baker,  J.,  97  Fed.,  33;  Bindseil  v.  Coshion  (1900),  Sup.  Ct.  N.  J., 
60  N.  J.  Eq.,  116;  Lyon  v.  Clark  (1900),  Sup.  Ct.  Mich.,  124  Mich.,  100; 
Nye  v.  Hart  (1901),  12  Ohio  Cir.  Dec,  419;  Jones  v.  Schermerhorn  (1900), 
63  N.  Y.  App.  Div.,  143;  French  v.  R.  Pets.  Co.  (1900),  81  Minn.,  341. 

Where  property  in  hands  of  the  trustee,  the  bankruptcy  court  has 
jurisdiction  on  full  hearing  to  determine  the  question  of  validity  and 
amount  of  a  mortgage  lien  thereon.  In  re  Kellogg  (1902) ,  W.  Dist.  N. 
Y.,  Hazel,  J.,  113  Fed.,  120;  7  A.  B.  R.,  623. 

Claimant  of  lien  on  property  in  lawful  possession  of  trustee  must 
submit  to  jurisdiction  of  bankruptcy  court,  where  it  comes  in  and  files 
petition  submitting  to  the  jurisdiction.  In  re  Durham  (1902),  Dist.  Md., 
Morris,  J.,   114  Fed.,  750;  8  A.  B.  R.,  115. 

c  [Concurrent  jurisdiction  of  District  and  Circuit  Courts.] 

The  United  States  circuit  courts  shall  have  concurrent  juris- 
diction with  the  courts  of  bankruptcy,  within  their  respective 
territorial  limits,  of  the  offenses  enumerated  in  this  Act. 
As  to  offenses  under  Act,  see  Sec.  29  and  notes. 

This  is  limited  strictly  to  offenses  and  does  not  extend  to  civil  suits. 
Goodier  v.  Barnes  (1899),  N.  Dist.  N.  Y.,  Coxe,  J.,  94  Fed.,  798;  2  A.  B. 
R.,  328. 

Sec.   24.    Jurisdiction  of  Appellate  Courts. 

a    [Courts  witti  appellate  jurisdiction    Supreme  Court.] 

The  Supreme  Court  of  the  United  States,  the  circuit  courts 
of  appeals  of  the  United  States,  and  the  supreme  courts  of 
the  Territories,  in  vacation  in  chambers  and  during  their 
respective  terms,  as  now  or  as  they  may  be  hereafter  held, 
are  hereby  invested  with  appellate  jurisdiction  of  contro- 
versies arising  in  bankruptcy  proceedings  from  the  courts 
of  bankruptcy  from  which  they  have  appellate  jurisdiction 
in  other  cases.  The  Supreme  Court  of  the  United  States 
shall  exercise  a  like  jurisdiction  from  courts  of  bankruptcy 


§24b.]  JURISDICTION  OF  APPELLATE  COURTS,  133 

not  within  any  organized  circuit  of  the  United  States  and 
from  the  supreme  cotirt  of  the  District  of  Columbia. 

See  post  Sec.  24b.  As  to  procedure  on  appeals,  see  Gen.  Order 
XXXVI  post,  and  notes.  See  Sec.  25  for  orders  from  which  appeals  will 
lie. 

For  procedure  in  appeals  to  the  Supreme  Court  of  United  States,  see 
Rev.  Stat,  of  U.  S.,  Sec.  687  to  611;  see  also  2  Sup.  R.  S.  U.  S.,  79,  209. 
541.  For  proceedings  on  appeals  in  Circuit  Courts  of  Appeals,  see  1 
Sup.  Rev.  S.  U.  S.,  910;  also  2  Sup.  Rev.  St.  U.  S.,  542. 

No  appeal  lies  directly  to  the  Supreme  Court  of  the  United  States 
from  a  judgment  dismissing  an  involuntary  petition  entered  upon  the 
finding  of  a  jury  that  the  alleged  bankrupt  was  a  farmer.  First  Nat. 
Bank  of  Denver  et  al.  v.  Klug  (1902),  Sup.  Ct.  U.  S.,  Fuller,  J.,  186  U.  S., 
203;  8  A.  B.  R.,  12. 

In  order  that  an  appeal  may  lie  imder  this  section  in  cases  not  enumer- 
ated in  Sec.  25,  it  must  be  a  final  order  or  decree  order  within  the  mean- 
ing of  the  Act  creating  the  Circiiit  Court  of  Appeals.  In  re  Columbia 
Real  Estate  Co.  (1902),  C.  C.  A.,  7th  Cir.,  Seaman,  J.,  112  Fed.,  643;  7 
A.  B.  R.,  441. 

h  [Circuit  Courts  of  Appeals.]  The  several  circuit  courts 
of  appeal  shall  have  jurisdiction  in  equity,  either  inter- 
locutory or  final,  to  superintend  and  revise  in  matter  of  law 
the  proceedings  of  the  several  inferior  courts  of  bankruptcy 
within  their  jurisdiction.  Such  power  shall  be  exercised  on 
due  notice  and  petition  by  any  party  aggrieved. 

See  as  to  appeals,  Sec.  25  and  notes;  also  as  to  procedure,  Gen.  Ord, 
XXXVI.     See  notes  to  a  ante. 

Held,  that  jvirisdiction  is  by  original  petition  to  review  matters  of  law 
only.  In  re  Rouse,  Hazard  Co.  (1899),  C.  C.  A.,  7th  Cir.,  91  Fed.,  96. 
1  A.  B.  R.,  234;  1  N.  B.  N.,  75. 

The  Circuit  Court  of  Appeals  only  revises  the  action  of  the  District 
Court  in  matters  of  law.  In  re  Purvine  (1899) ,  C.  C.  A.,  5th  Cir.,  Newman. 
J.,  96  Fed.,  192;  2  A.  B.  R.,  787. 

This  section  is  governed  by  25a.  In  re  Good  (1900),  C.  C.  A.,  8th  Cir. 
Thayer,  J.,  99  Fed.,  389;  3  A.  B.  R.,  605; 

This  section  relates  only  to  questions  of  law  and  not  of  fact.  In  re 
Whitener  (1900),  C.  C.  A.,  5th  Cir.,  Pardee,  J.,  105  Fed.,  180;  5  A.  B. 
R..  198. 


134  JURISDICTION  OF  APPELLATE  COURTS.  [§24b. 

Petition  for  review  does  not  authorize  review  of  questions  of  fact.  In 
re  Rosser  (1900),  C.  C.  A.,  8th  Cir.,  Sandbom,  J.,  101  Fed.,  562;  4  A.  B. 
R.,  153. 

No  time  limit  for  petition  for  review.  In  re  New  York  Economical 
Printing  Co.  (1901),  C.  C.  A.,  2nd  Cir.,  Putnam,  J.,  106  Fed.,  839;  5  A. 
B.  R.,  697. 

Petition  for  review  does  not  have  the  effect  of  appeal  or  writ  of  error 
in  removing  the  cause.  In  re  Orman  (1901),  C.  C.  A.,  5th  Cir.,  107  Fed., 
101;   5.   A  B.   R.,   698. 

Only  party  aggrieved  by  adverse  decision  can  be  heard  on  appeal  there- 
from. Bank  of  Com.  v.  Elliott  (1901),  Sup.  Ct.  Wis.,  Marshall,  J.,  109 
Wis.,  648;  6  A.  B.  R.,  409. 

Jurisdiction  extends  to  review  of  law  not  facts,  and  is  not  on  appeal 
but  by  petition.  Courier  Journal  Job.  P.  Co.  v.  Scharfer-Meyer-Print- 
ing  Co.  101  Fed.,  699;  4  A.  B.  R.,  183. 

Petition  for  review  may  be  filed  inside  of  six  months — questions  of  law 
may  be  raised  by  petition  for  review  of  facts  by  appellee.  In  re  Wor- 
cester County  (1900),  C.  C.  A.,  1st  Cir.,  102  Fed.,  808;  4  A.  B.  R.,  496. 

Petition  for  review  to  court  of  appeals  not  allowed  in  cases  between 
trustee  and  third  persons — such  cases  must  be  brought  up  by  appeal 
or  writ  of  error  under  Clause  a.  In  re  Jacobs  (1900),  C.  C.  A,,  8th  Cir. 
Thayer,  J.,  99  Fed.,  539;  3  A.  B.  R.,  671. 

Distinction  between  petition  for  review  and  appeal — the  former  only 
applies  to  law  questions,  the  latter  both  to  the  law  and  the  facts.  In  re 
Richards  (1899),  C.  C.  A.,  7th  Cir.,  Jenkins,  J.,  96  Fed.,  935;  3  A.  B.  R. 
145;   2   N.   B.   N.,   38. 

Compare  in  re  Rouse,  Hazard  &  Co.  1  A.  B.  R.,  231  and  in  re  Purvine 
(1899),  2  A.  B.  R.,  787;  see  ante  this  section. 

Bankruptcy  court  is  not  required  to  make  a  statement  of  facts  for  pur- 
pose of  appeal.  In  re  Meyers  (1900),  S.  Dist.  N.  Y.,  Brown,  J.,  105  Fed., 
353;  5  A.  B.  R.,  4. 

The  practice  on  appeal  to  Appellate  Court  is  by  writ  of  error  where  a 
jury  trial  has  been  had,  or  act  of  bankruptcy  not  shown  by  suffering  a 
judgment.  Some  act  of  acquiescence  necessary  to  be  shown.  Duncan 
et  at.  v.  Landis  (1901),  C.  C.  A.,  3rd  Cir.,  Gray,  J.,  106  Fed.,  839;  5  A.  B. 
R.,  649. 

Creditor  appealing  from  the  allowance  of  a  claim,  when  trustee  refuses 
to  so  appeal.  McDaniel  v.  Strand  (1901),  C.  C.  A.,  4th  Cir.,  Simonton, 
J.,  106  Fed.,  486;  5  A.  B.  R.,  685. 

Order  of  dismissal  of  involuntary  petition  may  under  this  section  be 


§25  a.]  APPEALS  AND  WRITS  OF  ERROR.  135 

set  aside  as  regtilations  affecting  appeals  do  not  apply.  In  re  Jamison 
Mercantile  Co.  (1902),  5th  Cir.,  McCormick,  J.,  112  Fed.,  966;  7  A.  B. 
R.,   588. 

Appeal  lies  directly  from  District  court  to  the  Supreme  court  in  bank- 
ruptcy proceedings.  First  Nat.  Bank  v.  Klug  (1902),  Sup.  Ct.  United 
States,  Fuller,  J.,  186  U.  S.,  203;  8  A.  B.  R.,  12. 

Sec.  25.    Appeals  and  writs  of  Error. 

a  [When  appeals  may  be  taken.]  That  appeals,  as  in 
equity  cases,  may  be  taken  in  bankruptcy  proceedings  from 
the  courts  of  bankruptcy  to  the  circuit  court  of  appeals  of 
the  United  States,  and  to  the  supreme  court  of  the  Terri- 
tories, in  the  following  cases,  to  wit, 

(1)  [Judgment  on  adjudication.]  From  a  judgment 
adjudging  or  refusing  to  adjudge  the  defendant  a  bankrupt; 

(2)  [Judgment  on  discharge.]  From  a  judgment  grant- 
ing or  denying  a  discharge ;  and 

(3)  [Ju^ment  on  claim.]  From  a  judgment  allowing  or 
rejecting  a  debt  or  claim  of  five  himdred  dollars  or  over. 
Such  appeal  shall  be  taken  within  ten  days  after  the  judg- 
ment appealed  from  has  been  rendered,  and  may  be  heard 
and  determined  by  the  appellate  court  in  term  or  vacation, 
as  the  case  may  be. 

Held,  the  jurisdiction  of  Appellate  court  includes  questions  of  law 
and  of  fact  on  appeal  taken  in  ten  days.  Petition  for  review  covers 
questions  of  law  only.  In  re  Rouse,  Hazard  Co.  (1899),  C.  C.  A.,  7th 
Cir.,  91  Fed.,  96;  1  A.  B.  R.,  234;  1  N.  B.  N..  75. 

A  petition  for  review  and  not  an  appeal,  the  proper  method  of  taking 
case  to  covirt  of  appeals  where  court  issued  summary  order  determining 
title  to  property.  In  re  Abraham  (1899),  C.  C.  A.,  5th  Cir.,  McCormick, 
J.,  93  Fed.,  767;  2  A.  B.  R.,  266;  1  N.  B.  N.,  281. 

This  section  applies  to  appeal  from  adjudication  which  must  be  taken 
within  ten  days.  In  re  Good  (1900),  C.  C.  A.,  8th  Cir.,  Thayer,  J.,  99 
Fed.,  389;  3  A.  B.  R.,  605. 

No  appeal  having  been  taken  in  ten  days  after  decree  court  can  allow 
petition  for  rehearing,  so  as  to  open  up  time  for  appeal.     In  re  Wright 


136  APPEALS  AND  WRITS  OF  ERROR.  [§25  a. 

(1899),  Dist.  Mass.,  Lowell,  J.,  96  Fed.,  820;  3  A.  B.  R.,  184;  1  N.  B.  N., 
428. 

Appeal  to  Circuit  court  of  Appeals  on  the  question  of  allowance  of 
attorneys'  fees  for  over  $500.  In  re  Curtis  (1900),  C.  C.  A.,  7th  Cir., 
Jenkins,;.,  100  Fed.,  784;  4  A.  B.  R.,  17. 

Under  this  section  law  and  fact  are  both  reviewable.  Courier  Journal 
P.  Co.  V.  Scharfer-Meyer-Printing  Co.,  C.  C.  A.,  6th  Cir.,  101  Fed.,  699; 
4  A.  B.  R.,  183. 

No  appeal  lies  to  the  Supreme  court  of  the  territory  for  amount  under 
$500.     In  re  Stumpf  (1900),  Sup.  Okla.,  Burrell,  J.,  4  A.  B.  R.,  267. 

Creditor  no  right  of  appeal  from  allowance  of  claims  except  through 
the  trustee.  District  court  may  order  trustee  to  make  appeal.  Chat- 
field  V.  O'Dwyer  (1900),  C.  C.  A.,  8th  Cir.,  101  Fed.,  797;  4  A.  B.  R.,  313- 

Appeal  must  be  perfected  in  ten  days  in  the  lower  court.  Norcross 
V.  Nave  &  McCord  Mer.  Co.  (1900),  C.  C.  A.,  8th  Cir.,  101  Fed.,  796;  4 
A.  B.  R.,  317. 

Time  limit  for  appeals  does  not  apply  to  suits  outside  of  the  bank- 
ruptcy proceedings  to  recover  assets.  Silence  gives  consent  to  jurisdic- 
tion. It  is  too  late  to  object  in  the  Appellate  Court.  Boonville  Nat, 
Bank  V.  Balkey  (1901),  C.  C.  A.,  7th  Cir.,  Jenkins,  J.,  107  Fed.,  891;  6 
A.   B.    R.,    13. 

The  decisions  of  the  federal  court  of  appeals  in  a  district  embracing 
Indiana  construing  a  federal  statute  must  be  regarded  as  of  controlling 
authority  in  a  bankruptcy  proceeding — discussion  of  federal  court  as  to 
insolvency.  Severin  v.  Robinson  (1901),  App.  Ct.  Ind.,  Wiley,  J.,  27 
Ind.  App.,  65. 

No  appeal  from  interlocutory  order  reviewing  ruling  of  the  referee, 
refusing  to  compel  the  bankrupt  to  produce  the  books  for  examination. 
Goodman  v.  Brunner  (1901),  C.  C.  A.,  5th  Cir.,  Pardee,  J.,  109  Fed.,  481; 
6  A.  B.  R.,  470. 

Order  sustaining  demurrer  to  petition  to  vacate  order  of  adjudication 
filed  by  creditors  in  voluntary  proceedings,  is  not  appealable  vmder  this 
section,  but  reviewable  under  Section  24.  Creditor  can  not  file  petition 
asking  that  a  voluntary  adjudication  be  set  aside.  In  re  Ives  (1902), 
C.  C.  A.,  6th  Cir.,  Ill  Fed.,  495;  7  A.  B.  R.,  692. 

Where  a  matter  of  law  is  solely  involved,  petition  for  review  and  not 
appeal  will  be  allowed.  Hutchinson  v.  Leroy  (1902),  C.  C.  A,  1st  Cir. 
Putnam,  J.,  115  Fed.,  937;  8  A.  B.  R.,  20. 

No  alteration  in  the  order  of  the  court  of  appeals  can  be  made  in  Dis- 
trict court.     No  terms  of  court  in  District  court  as  to  all  interlocutory 


§25b.]  APPEALS  AND  WRITS  OF  ERROR.  137 

orders  in  bankruptcy.  In  re  Henschel  (1902),  S.  Dist.  N.  Y.,  Adams,  J., 
114  Fed.,  968;  8  A.  B.  R.,  201. 

Only  trustee  can  appeal  from  allowance  of  claim.  Foreman  v.  Bur- 
leigh et  al.  (1901),  C.  C.  A.,  5th   Cir  ,    Putnam,  J.,  109  Fed.,  489;  6  A. 

B.  R.,  230. 

Appeal  from  allowance  of  claim  may  be  taken  by  any  one  in  interest. 
In  re   Roche  (1900),  C.  C.  A.,  5th  Cir.,  101  Fed.,    956;  4  A.  B.  R.,  369. 

The  word  "claim"  means  any  money  demand.     In  re  Whitener  (1901), 

C.  C.  A.,  5th  Cir.,  105  Fed.,  180;  5  A.  B.  R.,  198. 

Bankrupt  has  no  right  of  appeal  from  order  refusing  approval  of  com- 
position where  trustee  only  has  opposed  the  approval.  Ross  v.  Saunders, 
C.  C.  A.,  1st  Cir.,  Putnam,  J.,  5  A.  B.  R.,  350. 

h  [Appeal  to  Supreme  Court  from  Circuit  Court  of 
Appeals.]  From  any  final  decision  of  a  court  of  appeals, 
allowing  or  rejecting  a  claim  under  this  Act,  an  appeal  may- 
be had  under  such  rules  and  within  such  time  as  may  be 
prescribed  by  the  Supreme  Court  of  the  United  States,  in 
the  following  cases  and  no  other: 

As  to  appeals  and  the  procedure  prescribed  by  the  Supreme  Court, 
see  Gen.  Ord.  XXXVI.      See  Act  of  1891  creating  Circuit  Court  of  Ap- . 
peals,  1  Sup.  Rev.  S.  U.  S.,  p.  901. 

1.  [Jurisdictional  amount — question  involved.]  Where 
the  amoimt  in  controversy  exceeds  the  sum  of  two  thousand 
dollars,  and  the  question  involved  is  one  which  might  have 
been  taken  on  appeal  or  writ  of  error  from  the  highest  court 
of  a  State  to  the  Supreme  Court  of  the  United  States ;  or 

As  to  cases  from  State  Court  to  United  States  Supreme  Court,  see  Rev. 
St.  U.  S.,  Sec.  698-705. 

2.  [Certificate  of  question  by    Supreme  Court  Justice.] 

Where  some  Justice  of  the  Supreme  Court  of  the  United 
States  shall  certify  that  in  his  opinion  the  determination  of 
the  question  or  questions  involved  in  the  allowance  or  re- 
jection of  such  claim  is  essential  to  a  uniform  construction 
of  this  Act  throughout  the  United  States. 


13S  APPEALS  AND  WRITS  OF  ERROR.  [§25cd. 

c.  [Tnistee  oot  required  to  give  bond.]  Trustees  shall 
not  be  required  to  give  bond  when  they  take  appeals  or  sue 
out  writs  of  error. 

d  [Certificate  to  Supreme  Court  by  other  courts.]  Con- 
troversies may  be  certified  to  the  Supreme  Court  of  the  United 
States  from  other  courts  of  the  United  States,  and  the  former 
court  may  exercise  jurisdiction  thereof  and  issue  writs  of 
certiorari  pursuant  to  the  provisions  of  the  United  States 
laws  now  in  force  or  such  as  may  be  hereafter  enacted. 

Sec.  5.  That  appeals  or  writs  of  error  may  be  taken  from  the  district 
courts  or  from  the  existing  circuit  courts  direct  to  the  supreme  coiui;  in 
the  following  cases: 

In  any  case  in  which  the  jurisdiction  of  the  court  is  in  issue;  in  such 
cases  the  question  of  jurisdiction  alone  shall  be  certified  to  the  supreme 
covul;  from  the  court  below  for  decision. 

From    the  final  sentences  and  decrees  in  prize  causes. 

In  cases  of  conviction  of  a  capital  or  otherwise  infamous  crime. 

In  any  case  that  involves  the  construction  or  application  of  the  con- 
stitution of  the  United  States. 

In  any  case  in  which  the  constitutionality  of  any  law  of  the  United 
States,  or  the  validity  or  construction  of  any  treaty  made  imder  its  au- 
thority, is  drawn  in  question. 

In  any  case  in  which  the  constitution  or  law  of  a  state  is  claimed 
to  be  in  contravention  of  the  constitution  of  the  United  States. 

Nothing  in  this  act  shall  affect  the  jurisdiction  of  the  supreme  court 
in  cases  appealed  from  the  highest  court  of  a  state,  nor  the  construction 
of  the  statute  providing  for  review  of  such  cases.  Act  of  1891,  1  Supp 
Rev.  St.,  U.  S.,  901. 

Certificate  of  questions  from  District  to  Supreme  Court  controlled  by 
Section  5  Judiciary  Act  of  1891.  Final  judgment  must  precede  certifi- 
cate. Bardesv.  First  Nat.  Bank  of  Hawarden,  U.  S.  Sup.  Ct.,  Fuller,  J., 
175  U.  S..  526;  3  A.  B.  R.,  680;  2  N.  B.  N.,  75. 

See  ante,  note  to  Sec.  24,  practice  in  petition  for  review.  In  re  Rich- 
ards (1899),  C.  C.  A.,  7th  Cir.,  96  Fed.,  935;  3  A.  B.  R.,  145;  2  N.  B.  N.,  38. 

See  the  case  in  re  Newberry  (1899),  W.  Dist.  Mich.,  Severans,  J..  97 
Fed.,  24;  3  A.  B.  R.,  158;  2  N.  B.  N.,  56. 


§§  26,  27,  28]  ARBITRATION  OF   CONTROVERSIES.  1S0 

Sec.  26.    Arbitration  of  Controversies. 

a    [Trustee  may  submit  to  arbitration.]  The  trustee  may, 

pursuant  to  the  direction  of  the  court,  submit  to  arbitration 

any  controversy  arising  in  the  settlement  of  the  estate. 

As  to  arbitration  and  what  the  application  should  show  see  Gen.  Ord. 
XXXIII. 

b  [Selection  of  arbitrators.]  Three  arbitrators  shall  be 
chosen  by  mutual  consent,  or  one  by  the  trustee,  one  by  the 
other  party  to  the  controversy,  and  the  third  by  the  two 
so  chosen,  or  if  they  fail  to  agree  in  five  days  after  their 
appointment  the  court  shall  appoint  the  third  arbitrator. 

See  as  to  arbitration  Gen.  Ord.  XXXIII. 

c  [Effect  of  findings.]  The  written  findings  of  the  arbi- 
trators, or  a  majority  of  them,  as  to  the  issues  presented, 
may  be  filed  in  court  axid  shall  have  like  force  and  effect  as 
the  verdict  of  a  jury. 

As  to  procedure  in  arbitration  see  Gen.  Ord.  XXXIII. 

Arbitrators  must  be  appointed  in  the  manner  prescribed  by  the  statute. 
Court  may  review  findings.  In  re  McLam  (1899),  Dist.  Vt.,  Wheeler,  J., 
97  Fed.,  922;  3  A.  B.  R.,  245. 

Sec.  27.     Compromises. 

a  [When  allowed.]  The  trustee  may,  with  the  approval 
of  the  court,  compromise  any  controversy  arising  in  the 
administration  of  the  estate  upon  such  terms  as  he  may  deem 
for  the  best  interests  of  the  estate. 

Creditors  must  receive  notice  of  compromises,  Sec.  58a  (7). 

Sec  28.     Designation  of  Newspapers. 

a  [To  publish  notices.]  Courts  of  bankruptcy  shall  by  or- 
der designate  a  newspaper  published  within  their  respective 
territorial  districts,  and  in  the  county  in  which  the  bankrupt 
resides  or  the  major  part  of  his  property  is  situated,  in  which 


140  OFFENSES.  [§29ab. 

notices  required  to  be  published  by  this  Act  and  orders 
which  the  coiirt  may  direct  to  be  pubHshed  shall  be  inserted. 
Any  court  may  in  a  particular  case,  for  the  convenience  of 
parties  in  interest,  designate  some  additional  newspaper 
in  which  notices  and  orders  in  such  case  shall  be  published. 
As  to  what  notices  mtist  be  published  see  Sec.  58. 

Sec.  29.     Offenses. 

a    [Misappropriating   property — destroying    documents.] 

A  person  shall  be  punished,  by  imprisonment  for  a  period 
not  to  exceed  five  years,  upon  conviction  of  the  offense  of 
having  knowingly  and  fraudulently  appropriated  to  his  own 
use,  embezzled,  spent,  or  imlawfuUy  transferred  any  prop- 
erty or  secreted  or  destroyed  any  docimient  belonging  to  a 
bankrupt  estate  which  came  into  his  charge  as  trustee. 

A  trustee  cannot  be  compelled  to  incriminate  himself.  In  re  Smith 
(1902),  S.  Dist.  N.  Y.,  Adams,  J.,  112  Fed.,  609;  7  A.  B.  R.,  213. 

h  [Punishment  by  imprisonment.]  A  person  shall  be 
punished,  by  imprisonment  for  a  period  not  to  exceed  two 
years,  upon  conviction  of  the  offense  of  having  knowingly 
and  fraudulently 

(1)  [Concealing  property.]  Concealed  while  a  bankrupt, 
or  after  his  discharge,  from  his  trustee  any  of  the  property 
belonging  to  his  estate  in  bankruptcy;  or 

See  notes  under  Sec.  3. 

Concealment  of  property  must  be  shown  by  existence  of  property  in 
the  bankrupt,  or  held  in  trust  for  him.  In  re  Cornell  (1899),  S.  Dist. 
N.  Y.,  Brown,  J.,  97  Fed.,  29;  3  A.  B.  R.,  172. 

Withholding  money  received  after  filing  the  petition  is  not  conceal- 
ment— it  does  not  belong  to  the  estate  in  bankruptcy.  In  re  Polakoff 
(1899),  N.  Dist.  N.Y.,  Hotchkiss,  R.,  1  A.  B.  R.,  358;  1  N.  B.  N.,  232. 

Bankrupt  attorney  omitting  to  schedule  contingent  fees  unearned  is 
not  guilty  of  fraudulent  concealment.  In  re  McAdam  (1899) ,  S.  Dist. 
N.  Y.,  Brown,  J.,  98  Fed.,  409;  3  A.  B.  R.,  417;  2  N.  B.  N.,  256. 


§29C.]  OFFENSES.  141 

(2)  [False  oath  or  account.]  Made  a  false  oath  or 
account  in,  or  in  relation  to,  any  proceeding  in  bankruptcy ; 

As  to  oaths,  see  Sec.  20. 

Reqviirement  for  indictment  for  perjury  under  this  section.  Barilett 
V.  United  States  (1901),  C.  C.  A.,  9th  Cir.,  Gilbert,  J.,  106  Fed.,  884;  5 

A.  B.  R.,  678. 

There  must  be  allegations  of  fraudulent  intent — it  must  be  specific 
and  definite.     In  re  Wetmore  (1901),  W.  Dist.  N.  Y.,  Knight,  R.,  6  A. 

B.  R.,  703. 

(3)  [False  claims.]  Presented  under  oath  any  false 
claim  for  proof  against  the  estate  of  a  bankrupt,  or  used  any 
such  claim  in  composition  personally  or  by  agent,  proxy, 
or  attorney,  or  as  agent,  proxy,  or  attorney ;  or 

As  to  proof  of  claim,  see  Sec.  57  and  Gen.  Ord.  XXI. 

(4)  [Received  property  from  bankrupt.]  Received  any 
material  amount  of  property  from  a  bankrupt  after  the 
filing  of  the  petition,  with  intent  to  defeat  this  Act ;   or 

(5)  [Extorted  money  or  property.]  Extorted  or  at- 
tempted to  extort  any  money  or  property  from  any  person 
as  a  consideration  for  acting  or  forbearing  to  act  in  bank- 
ruptcy proceedings. 

c  [Punishment  by  fine.]  A  person  shall  be  ptmished  by 
fine,  not  to  exceed  five  hundred  dollars,  and  forfeit  his  office, 
and  the  same  shall  thereupon  become  vacant,  upon  con- 
viction of  the  offense  of  having  knowingly 

(1)  [Acting  as  referee  when  interested.]  Acted  as  a 
referee  in  a  case  in  which  he  is  directly  or  indirectly  in- 
terested;  or 

As  to  referees,  see  Sees.  39  to  44. 

(2)  [Purchased  property  of  estate.]  Purchased,  while 
a  referee,  directly  or  indirectly,  any  property  of  the  estate  in 
bankruptcy  of  which  he  is  referee;   or 

As  to  when  a  case  is  before  a  referee,  see  Gen.  Ord.  XII. 


142  COMPUTATION  OF  TIME.  [§§30a,31a. 

(3)  [Refusal  to  pennit  inspection  of  accounts  and 
papers.]  Refused,  while  a  referee  or  trustee,  to  permit  a 
reasonable  opportunity  for  the  inspection  of  the  accounts 
relating  to  the  affairs  of,  and  the  papers  and  records  of, 
estates  in  his  charge  by  parties  in  interest  when  directed 
by  the  court  so  to  do. 

As  to  accounts  of  trustee,  see  Gen.  Ord.  XXVI.  Accounts  of  trustees, 
Gen.  Ord.  XVII. 

d  [One  year  limitation.]  A  person  shall  not  be  prose- 
cuted for  any  offense  arising  under  this  Act  unless  the  in- 
dictment is  found  or  the  information  is  filed  in  court  with- 
in one  year  after  the  commission  of  the  offense. 

Sec.  30.     Rules,  Forms,  and  Orders. 

a  [Supreme  Court  to  make.]  All  necessary  rules,  forms, 
and  orders  as  to  procedure  and  for  carrying  this  Act  into 
force  and  effect  shall  be  prescribed,  and  may  be  amended 
from  time  to  time,  by  the  Supreme  Court  of  the  United 
States. 

See  Gen.  Ord.  XXXVIII  as  to  forms. 

The  general  orders  are  obligatory  and  binding  upon  courts  of  bank- 
ruptcy. They  confer  rights  as  well  as  prescribe  rules  of  practice,  and  must 
be  followed.  In  re  Scott  (1900),  E.  Dist.  N.  C,  Pumell,  J.,  99  Fed.,  404; 
3  A.  B.  R.,  625;  2  N.  B.  N.,  440. 

Sec  31.    Computation  of  Time. 

a    [How  time  computed.]    Whenever  time  is  enumerated 

by  days  in  this  Act,  or  in  any  proceeding  in  bankruptcy,  the 

nvmiber  of  days  shall  be  computed  by  excluding  the   first 

and  including  the  last  unless  the  last  fall  on  a  Sunday  or 

holiday,  in  which  event  the  day  last  included  shall  be  the  next 

day  thereafter  which  is  not  a  Sunday  or  a   legal  holiday. 

In  computation  of  time  with  regard  to  the  four  months*  limitation, 
exclude  the  day  when  the  act  of  bankruptcy  was  committed  and  include 


§32  a.]  TRANSFER  OF  CASES.  143 

the  day  when  the  petition  was  filed.     In  re  Stevenson  (1899),  Dist,  Del., 
Bradford,  J.,  94  Fed.,  110;  2  A.  B.  R.,  66;  1  N.  B.  N.,  313. 

Fotir  ivSl  months  after  the  act  of  bankruptcy  must  be  allowed  for 
filing  the  petition.  In  re  Tonawanda  Street  Planing  Mill  Co.  (1901),  W. 
Dist.  N.  Y.,  Hotchkiss,  R.,  6  A.  B.  R.,  38. 

Computation  of  time — attachment  brought  September  9th,  and  bank- 
ruptcy January  9th,  is  within  the  four  months  and  dissolved  by  bank- 
ruptcy. Jones  V.  Stevens  (1901),  Sup.  Ct.  Maine,  Wiswell,  J.,  48  Atl., 
170;  5  A.  B.  R.,  571. 

Sec.  32.    Transfer  of  Cases. 

a  In  the  event  petitions  are  filed  against  the  same  person, 
or  against  different  members  of  a  partnership,  in  different 
courts  of  bankruptcy  each  of  which  has  jurisdiction,  the 
cases  shall  be  transferred,  by  order  of  the  courts  relinquishing 
jurisdiction,  to  and  be  consolidated  by  the  one  of  such 
courts  which  can  proceed  with  the  same  for  the  greatest 
convenience  of  parties  in  interest. 

For  transfer  of  cases,  see  General  Order  VI;  also  ante  Sec.  2  Sub.  (19). 

Transfer  will  be  made  where  it  operates  for  greater  convenience  of 
creditors.  In  re  Sears  (1901),  W.  Dist.  N.  Y.,  Hazel,  J.,  112  Fed.,  58; 
7  A.  B.  R.,  279. 


CHAPTER  V. 
Officers,  their  Duties  and  Compensation. 


Sec.    33.  Creation    of    Two 

Offices. 
a.     Referee  and  trustee. 
Sec.  34.    Appointment,  Removal 
and  Districts  of    Ref- 
erees. 
a.      Duties  of  Courts. 

(1)  Appoint  and  remove  referees. 

(2)  Drstricts  of  referees. 

Sec.  35.    Qualifications  of  Ref- 
erees. 
a.      Who  eligible. 

(1)  Competent. 

(2)  Not  office  holders. 

(3)  Not  related  to  judges. 

(4)  Residents  of  districts. 

Sec.  36.    Oaths     of     office     of 

Referees. 
a.     Same  oath  as  judge. 
Sec.  37.    Number  of  Referees. 
a.     Sufficient  number  to  transact 

business. 
Sec.  38.    Jurisdiction     of     Ref- 
erees. 
a.     Jurisdiction  in  districts. 

(1)  Consider  petitions. 

(2)  Administer  oaths,  etc. 

(3)  Take  possession  of  property. 

(4)  Pei-form     certain     duties     of 
court. 

(5)  Authorize  employment  of 
stenographers. 

Sec.  39.    Duties  of  Referees. 
a.     Duties. 

(1)  Declare  divid^ids. 

(2)  Examine  schedules  and  lists. 

(3)  Furnish  information. 

(4)  Give  notices. 

(5       Make  up  records. 

(6)  Prepare  schedules  and  lists. 

(7)  Prescrv'e    and    transmit    rec- 
ords. 

(8)  Transmit  papers  to  clerks. 

(9)  Preserve  evidence. 

(4)  Disburse  money. 

(5)  Furnish  information. 

(6)  Keep  accotmts. 

144 


(10)  Obtain  papers, 
b.      Acts  prohibited. 

(1)  Act  where  interested. 

(2)  Practice  as  attorney. 

(3)  Purchase  from  estate. 

Sec  40.     Compensation  of  Ref- 
erees. 

a.  Fees  and  commissions. 

b.  Division  between  two  referees. 

c.  Where  reference  revoked. 
Sec  41.    Contempts  before  Ref- 
erees. 

a.  Prohibited  acts. 

(1)  Disobey  orders. 

(2)  Misbehave  during  hearing. 

(3)  Withhold  documents. 

(4)  Refuse  to  appear  for  examina- 

tion. 

b.  Contempt    proceeaings — pen- 
alty. 

Sec  42.    Records  of  Referees. 
o.      Manner  of  keeping. 

b.  Books  and  papers. 

c.  Become  part  of  court  records. 
Sec  43.    Referee's  Absence  or 

Disability. 
a.     Filling  vacancy. 
Sec  44.    Appointment  of  Trust- 
tees. 
a.     Creditors    appoint — when 

court  appoints. 
Sec  45.  Qualifications  of  Trus- 
tees. 
a.     Who  may  be  trustees. 

(1)  Individuals. 

(2)  Corporations. 

Sec  46.    Death  or  Removal  of 
Trustees. 

a.     Suit  not  to  abate. 
Sec  47.    Duties  op  Trustees. 

a.     Duties. 

(1)  Account  and  pay  over. 

(2)  Turn  property  into  money — 
close  estates. 

(3)  Deposit  money. 

h.     Fihng    of    bonds — suit    upon 
bonds. 


§§  33a,  34a.]      appointment  of  referees. 


145 


(7)  Make  detailed  statements. 

(8)  Make  final  reports. 

(9)  Pay  dividends. 

(10)  Report  condition  of  estates. 

(11)  Set  apart  exemptions. 

b.  Concurrence    of   two    out    of 
three. 

c.  Trustee  to  file  certified  copy 
of  adjudication. 

Sec.  48.    Compensation  of  Trus- 
tees. 

a.  Fees  and  commissions. 

b.  Where  more  than  one  trustee. 

c.  Compensation  withheld. 
Sec.  49.    Accounts    and    Papers 

OF  Trustees. 
a.     Must  be  open  to  inspection. 
Sec.  50.    Bonds  of  Referees  and 
Trustees. 

a.  Referee's  bonds. 

b.  Trustee's  bonds. 

c.  Creditors    fixing    amount    of 
trustees'  bond. 

d.  Sureties'  quaUfication. 

e.  Two  sureties. 

/.      Value  of  property  of  sureties. 
\  g.     Corporations  as  sureties. 


t.      Trustees 'personal  liability. 

i.      Joint  trustees. 

K.     Vacancy   by   failure   to   give 

bond. 
/.      Limitation  of  suits  on  referees' 

bonds. 
in.    Limitation  of  suits  on  trustees 

bonds. 
Sec.  51.    Duties  of  Clerks. 

Duties. 

Account  for  fees. 

Collect  fees. 

Deliver  papers. 

Pay    referee's    and    trustee's 

fee. 
Sec.  52.    Compensation  of 

Clerks  and  Marshals. 

Clerk's  filing  fee. 

Marshal's  fee. 

53.  Duties    of    Attorney- 
General. 

Collect  and  report  statistics  of 
cases. 

54.  Statistics  of  Bank- 
ruptcy Proceedings. 

Officers  to  furnish  information 
to  attorney-general. 


a. 
(1) 
(2) 
(3) 
(4) 


a. 

b. 

Sec 


Sec. 


Sec.  33.     Creation  of  Two  offices. 

a    [Referee  and    trustee.]    The  ofi&ces  of  referee  and 

trustee  are  hereby  created. 

No  official  or  general  trustee  to  be  created.  General  order  XIV.  For 
qualifications  of  trustee  see  Post,  Sec.  45.  Cotirt  may  order  that  no 
trustee  be  appointed  in  no  asset  cases.     Sec.  45  and  notes. 

Sec.    34.     Appointment,    Removal,    and    Districts   op 

Referees. 

a  [Duties  of  Court.]  Courts  of  bankruptcy  shall,  within 
the  territorial  limits  of  which  they  respectively  have  juris- 
diction, 


(1)  [Appoint  and  remove  referees.]  Appoint  referees, 
each  for  a  term  of  two  years,  and  may,  in  their  discretion, 
remove  them  because  their  services  are  not  needed  or  for 
other  cause ;  and 

As  to  jurisdiction  of  courts  of  bankruptcy  see  Chapter  H.     For  analo- 


146       *  QUALIFICATIONS   OF  REFEREES.  [§35a. 

gous  provisions  under  act  1800  see  Sec.  2  of  that  act  post.  See,  also,  Sec. 
5  of  act  of  1841  and  Sec.  3.  Act  of  1867. 

Special  referee  shotdd  not  be  appointed  with  consent  of  parties.  Bray 
et  al.  V.  Cobb  (1899),  E.  Dist.  N.  C,  Pumell,  J.,  1  A.  B.  R.,  153;  1  N.  B. 
N.,  209;  91  Fed.,  102. 

(2)  [Districts  of  referees.]  Designate,  and  from  time 
to  time  change,  the  limits  of  the  districts  of  referees,  so  that 
each  county,  where  the  services  of  a  referee  are  needed, 
may  constitute  at  least  one  district. 

As  to  jurisdiction  of  referees,  see  Sec.  38  and  notes. 

Sec.  35.     Qualifications  of  Referees. 

a  [Who  eligible.]  Individuals  shall  not  be  eligible  to 
appointment  as  referees  unless  they  are  respectively 

(1)  [Competent.]  Competent  to  perform  the  duties  of 
that  office. 

As  to  duties  of  referees  see  Sec.  39. 

(2)  [Not  office  holder.]  Not  holdmg  any  office  of  profit 
or  emolimient  under  the  laws  of  the  United  States  or  of 
any  state  other  than  commissioners  of  deeds,  justices  of  the 
peace,  masters  in  chancery,  or  notaries  public ; 

(3)  [Not  related  to  judges.]  Not  related  by  consanguin- 
ity or  affinity,  within  the  third  degree  as  determined  by 
the  common  law,  to  any  of  the  judges  of  the  courts  of  bank- 
ruptcy or  circuit  courts  of  the  United  States,  or  of  the  justices 
or  judges  of  the  appellate  courts  of  the  districts  wherein 
they  may  be  appointed;  and 

(4)  [Residents  of  district.]  Residents  of,  or  have  their 
offices  in,  the  territorial  districts  for  which  they  are  to  be 
appointed. 

For  similar  provisions  of  act  of  1867,  see  Sec.  5  of  that  act. 


§§36,37,38.]      jurisdiction  of  referees.  147 

Sec.  36.    Oaths  of  Office  of  Referees. 

a  [Same  oath  as  judge.]  Referees  shall  take  the  same 
oath  of  office  as  that  prescribed  for  judges  of  the  United 
States  courts. 

As  to  form  of  oath  see  Revised  Statutes  United  States  Sec.  1756-1757. 
See,  also,  forms  No.  16  and  17. 

Sec.  37.     Number  of  Referees. 

a  [SuflBcient  number  to  transact  business.]  Such  num- 
ber of  referees  shall  be  appointed  as  may  be  necessary  to 
assist  in  expeditiously  transacting  the  bankruptcy  business 
pending  in  the  various  courts  of  bankruptcy. 

See,  ante  Sec.  33,  34  and  35. 

Sec.  38.    Jurisdiction  of  Referees. 

a  [Jurisdiction  in  districts.]  Referees  respectively  are 
hereby  invested,  subject  always  to  a  review  by  the  Judge, 
within  the  limits  of  their  districts  as  established  from  time 
to  time,  with  jurisdiction  to 

(1)  [Consider  petitions.]  Consider  all  petitions  refer- 
red to  them  by  the  clerks  and  make  the  adjudications  or 
dismiss  the  petitions ; 

Referee  may  in  his  discretion  order  amendments  to  be  made  to  the 
petition  and  schedule  of  a  voluntary  bankrupt,  and  may  refuse  to  call 
a  first  meeting  of  creditors  vmtil  the  amendments  are  made.  In  re 
Brumelkamp  (1899),  N.  Dist.  N.  Y.,  95  Fed.,  814;  2  A.  B.  R.,  318. 

Adjudication  must  be  by  judge,  imless  he  is  absent  from  the  district. 
Sec.  18  g  and  f  reference  after  adjudication  Sec.  22  ante. 

(2)  [Administer  oaths  etc.]  Exercise  powers  vested  in 
courts  of  bankruptcy  for  the  administering  of  oaths  to  and 
the  examination  of  persons  as  witnesses  and  for  requiring 
the  production  of  documents  in  proceedings  before  them, 
except  the  power  of  commitment ; 


148  JURISDICTION  OF  REFEREES.  [§38. 

As  to  oaths  ond  aflSrmations  see  section  20  ante. 

(3)  [Take  possession  of  property.]    Exercise  the  powers 

of  the  judge  for  the  taking  possession  and  releasing  of  the 

property  of  the  bankrupt  in  the  event  of  the  issuance  by  the 

clerk  of  a  certificate  showing  the  absence  of  a  judge  from 

the  judicial  district,  or  the  division  of  the  district,  or  his 

sickness,  or  inability  to  act ; 

Referee  may  issue  an  injunction  restraining  interference  with  bank- 
rupt's property  and  appoint  a  receiver  of  the  same.  7»  re  Abrahamson  & 
Bretstein  (1899),  N.  Dist.  N.  Y.,  Moss.  R.,  1  A.  B.  R.,  44;  1  N.  B.  N.,  23. 

The  referee  has  power  to  cite  bankrupt  to  show  cause  why  property 
should  not  be  surrendered  to  the  trustee.  In  re  Oliver  (1899),  N.  Dist. 
Cal.,  DeHaven,  J.,  96  Fed.,  85;  2  A.  B.  R.,  783;  1  N.  B.  N.,  229. 

Referee  may  restrain  the  collection  of  judgments  obtained  in  the  state 
court.  In  re  Northrop  (1899),  N.  Dist.  N.  Y.,  Hotchkiss,  R.,  1  A.  B.  R., 
427. 

Referee  has  power  to  order  sale  of  property  free  from  incumbrances. 
In  re  Sanborn  (1899),  Dist.  Vt.,  Wheeler,  J.,  96  Fed.,  551;  3  A.  B.  R.,  54. 

The  referee  has  power  to  make  a  summary  order  on  nile  to  show  cause 
why  agent  of  bankrupt  should  not  surrender  property  of  the  estate. 
Mueller  v.  Nugent  (1902),  Sup.  Ct.  U.  S.,  Fuller,  J.,  184  U.  S.  1;  7  A.  B. 
R.,  224. 

Jurisdiction  of  referee  sufficient  to  order  sale  of  property.  In  re  Styer 
(1899),  E.  Dist.  Pa.,  McPherson,  J.,  98  Fed.,  290;  3  A.  B.  R.,  424;  2  N. 
B.  N.,  205. 

See  In  re  McDufE  (1900),  C.  C.  A.,  5th  Cir.,  Pardee,  J.,  101  Fed.,  241; 
4  A.  B.  R.,  110. 

(4)  [Perform  certain  duties  of  court.]  Perform  such 
part  of  the  duties,  except  as  to  questions  arising  out  of 
the  applications  of  bankrupts  for  compositions  or  dis- 
charges, as  are  by  this  Act  conferred  on  courts  of  bankruptcy 
and  as  shall  be  prescribed  by  rules  or  orders  of  the  courts 
of  bankruptcy  of  their  respective  districts,  except  as  herein 
otherwise  provided;  and 

Referee  has  no  jurisdiction  to  find  that  debt  is  provable  whether 
created  by  fraud  or  not.  He  must  allow  or  disallow.  In  re  Lazarovic 
(1898),  Dist.  Kan.,  Corey,  R.,  1  A.  B.  R.,  476. 


§39  a.]  DUTIES  OF    REFEREES.  14^ 

Referee  has  jurisdiction  to  issue  injunction  restraining  a  creditor 
from  selling  property  seized  under  a  writ  of  detinue  and  to  order  the  prop- 
erty turned  over  to  the  trustee.  In  re  Huddleston  (1899),  N.  Dist.  Ala 
Turner,  R.,  1  A.  B.  R.,  572;  1  N.  B.  N.,  214. 

Referee  has  jurisdiction  to  enjoin  sale  of  bankrupt's  real  estate  in  state 
court.  In  re  Sabine  (1899),  N.  Dist.  N.  Y.,  Hotchkiss,  R.,  1  A.  B.  R., 
315;  1  N.  B.N.,45. 

Referee  has  jurisdiction  to  entertain  motion  for  dismissal  of  proceed- 
jngs  after  reference.  In  re  Scott  (1902),  Dist.  Mass.,  Olmstead,  R.,  7 
A.  B.  R.,  35. 

Mandatory  injunction  should  not  issue  without  notice  to  all  parties. 
Preliminary  injtmction  shotdd  first  issue  with  a  rule  to  show  cause.  In 
re  Tune  (1902),  N.  Dist.  Ala.,  Jones,  J.  115  Fed.,  906;  8  A.  B.  R.,  285. 

(5)  [Authorize  the  employment  of  stenographers.]  Upon 
the  application  of  the  trustee  during  the  examination  of  the 
bankrupts,  or  other  proceedings,  authorize  the  employment 
of  stenographers  at  the  expense  of  the  estates  at  a  compensa- 
tion not  to  exceed  ten  cents  per  folio  for  reporting  and 
transcribing  the  proceedings. 

No  authority  to  employ  stenographers,  except  under  this  section. 
Such  fee  may  be  taxed  against  successful  party  in  contest  between  claim- 
ant and  trustee,  as  part  of  the  necessar>^  expenses  of  estate.  In  re  Todd 
(1901),  S.  Dist.  N.  Y.,  Brown,  J..  109  Fed.,  265;  6  A.  B.  R..  88. 

Sec.  39.     Duties  of  Referees. 

a    [Duties,]     Referees  shall 
See  Gen.  Ord.  XII  and  XVI. 

(1)  [Declare  dividends.]  Declare  dividends  and  pre- 
pare and  deliver  to  trustees  dividend  sheets  showing  the  divi- 
dends declared  and  to  whom  payable; 

As  to  the  declaration  and  payment  of  dividends,  see  Sec.  65  and  notes 
post.     As  to  duties  of  referees  in  general,  see  Gen.  Order  XII  post. 

(2)  [Examine  all  schedules  and  lists.]  Examine  all 
schedules  of  property  and  lists  of  creditors  filed  by  bank- 
rupts and  cause  such  as  are  incomplete  or  defective  to  be 
amended ; 


150  DUTIES  OP  REFEREES.  [§39a. 

As  to  what  schedules  to  contain  and  duty  of  bankrupt  to  file,  see  Sec, 
7  (8).  As  to  manner  of  drawing  schedules,  see  Gen.  Ord.  V.  Duty  of 
petitioning  creditor  to  file,  Gen.  Ord.  IX.  As  to  amendment  of  schedules, 
see  Gen.  Ord.  XI  post. 

Duty  of  referee  to  examine  schedules.  No  abbreviation  of  names  or 
addresses  not  in  common  use  tolerated.  In  re  Mackay  &  Co.  (1899) ,  N. 
Dist.  N.  Y.,  Collier,  R.,  1  A.  B.  R..  593. 

(3)  [Furnish  infonnation.]  Furnish  such  information 
concerning  the  estates  in  process  of  administration  before 
them  as  may  be  requested  by  the  parties  in  interest ; 

Referee  cannot  refuse  parties  in  interest  a  reasonable  opportunity 
to  inspect  accotmts,  papers  and  records  relating  to  a  bankrupt's  estate 
Sec.  47  (5)  post. 

(4)  [Give  notice.]  Give  notices  to  creditors  as  herein 
provided ; 

As  to  notices  to  creditors,  see  Sec.  58  and  notes  post. 

(5)  [Make  up  records.]  Make  up  records  embodying  the 
evidence,  or  the  substance  thereof,  as  agreed  upon  by  the 
parties  in  all  contested  matters  arising  before  them,  when- 
ever requested  to  do  so  by  either  of  the  parties  thereto,  to- 
gether with  their  findings  therein,  and  transmit  them  to 
the  judges; 

Referee  to  transmit  names  of  creditors  and  proven  claims  to  clerk. 
Gen.  Order  XXIV  post.     See  form  of  list,  Form  No.  40  post. 

On  appeal  to  Court  of  Appeals,  complaint  of  incomplete  record  not 
sustained  when  shown  that  case  proceeded  from  referee  on  his  certificate 
and  summary  of  the  evidence.  Cunningham  v.  Bank  (1900),  C.  C.  A., 
6th  Cir.,  Lurton,  j],  101  Fed.,  977;  4  A.  B.  R.,  192;  2  N.B.  N.,  589. 

Referee's  finding  of  fact  on  petition  for  discharge  will  not  be  reversed, 
except  upon  clear  and  convincing  proof  of  error.  In  re  Covington  (1901), 
W.  Dist.  N.  C,  PumeU,  J.,  110  Fed.,  143;  6  A.  B.  R.,  373. 

Referee's  finding  of  fact  will  not  be  disturbed  unless  manifestly  er- 
roneous. In  re  Stout  (1900),  W.  Dist.  M.,  Phillips,  J.,  109  Fed.,  794; 
6A.  B.  R.,605. 

(6)  [Prepare  scliedules  and  list.]     Prepare  and  file  the 


§39b.]  DUTIES  OF   REFEREES.  151 

schedules  of  property  and  lists  of  creditors  required  to  be 
filed  by  the  bankrupts,  or  cause  the  same  to  be  done,  when 
the  bankrupts  fail,  refuse,  or  neglect  to  do  so ; 

As  to  duty  of  bankrupt  to  file,  see  Sec.  7  (8)  and  notes.  As  to  prepara- 
tion of  schedules  in  involuntary  cases,  see  Sec.  Gen.  Order  IX. 

(7)  [Preserve  and  transmit  records.]  Safely  keep,  per- 
fect, and  transmit  to  the  clerks  the  records,  herein  required 
to  be  kept  by  them,  when  the  cases  are  concluded ; 

See  ante  (5)  and  notes. 

(8)  [Transmit  papers  to  clerk.]  Transmit  to  the  clerks 
such  papers  as  may  be  on  file  before  them  whenever  the 
same  are  needed  in  any  proceedings  in  courts,  and  in  like 
manner  secure  the  return  of  such  papers  after  they  have 
been  used,  or,  if  it  be  impracticable  to  transmit  the  original 
papers,  transmit  certified  copies  thereof  by  mail ; 

As  to  duties  of  referees,  see  Gen.  Ord.  XII;  see  also  ante  (6)  and  (7). 

(9)  [Preserve  Evidence.]  Upon  application  of  any  party 
in  interest,  preserve  the  evidence  taken  or  the  substance 
thereof  as  agreed  upon  by  the  parties  before  them  when  a 
stenographer  is  not  in  attendance ;  and 

As  to  taking  of  testimony,  see  Gen.  Ord.  XXII.  As  to  evidence,  see 
Sec.  21  and  notes.     As  to  jurisdiction  of  referee,  see  Sec.  38a  (2)  and  notes. 

(10)  [Obtain  papers.]  Whenever  their  respective  offices 
are  in  the  same  cities  or  towns  where  the  courts  of  bank- 
ruptcy convene,  call  upon  and  receive  from  the  clerks  all 
papers  filed  in  courts  of  bankruptcy  which  have  been  re- 
ferred to  them. 

As  to  filing  of  papers,  see  Gen.  Ord.  II. 

b    [Acts  proliibited.]     Referees  shall  not 

(1)  [Act  wlien  interested.]  Act  in  cases  in  which  they 
are  directly  or  indirectly  interested; 


152  COMPENSATION  OP  REFEREES.  [§40a. 

Referee  not  disqualified  because  a  debtor  of  the  bankrupt.  Bray  v. 
Cobb  (1899),  E.  Dist.  N.  C,  Pumell,  J.,  91  Fed.,  102;  1  A.  B.  R.,  153;  1 
N.  B.  N.,  209. 

(2)  [Practice  as  attorney.]  Practice  as  attorneys  and 
coiinselors  at  law  in  any  bankruptcy  proceedings ;  or 

(3)  [Purchase  from  estate.]  Purchase,  directly  or  in- 
directly, any  property  of  an  estate  in  bankruptcy. 

Duties  of  referee  prescribed.  Gen.  Order  XII.  Duty  or  referee  to 
notify  trustee  of  his  appointment.     Gen.  Order  XVI. 

Sec.  40.     Compensation  of  Referees. 

a  [Fees  and  commissions.]  Referees  shall  receive  as  full 
compensation  for  their  services,  payable  after  they  are 
rendered,  a  fee  of  *fifteen*  (ten)  dollars  deposited  with  the 
clerk  at  the  time  the  petition  is  filed  in  each  case,  except 
when  a  fee  is  not  required  from  a  volimtary  bankrupt, 
♦and  twenty-five  cents  for  every  proof  of  claim  filed  for 
allowance,  to  be  paid  from  the  estate,  if  any,  as  a  part  of  the 
cost  of  administration,*  and  from  estates  which  have  been 
administered  before  them  one  per  centum  commissions  on 
♦all  moneys  disbursed  to  creditors  by  the  trustee,*  (sums 
to  be  paid  as  dividends  and  commissions)  or  one-half  of  one 
per  centum  on  the  amoimt  to  be  paid  to  creditors  upon  the 
confirmation  of  a  composition. 

As  amended  by  Act  of  1903 — See  Amended,  page  ,  post.  Matter  omitted  in 
amendment  embraced  between  brackets — additional  matter  found  between  stars. 

As  to  limitation  of  compensation  of  referees  and  trustees  see  Sec.  72 
post. 

See  notes  on  compensation  of  trustee,  see  Sec.  48a. 

As  to  compensation  of  Referees,  see  Gen.  Order  XXXV.     Sub.  (2). 

Referees  entitled  to  commissions  on  amounts  paid  unsecured  creditors. 
In  re  Coffin  (1899),  E.  Dist.  Tex.,  Dillard,  R.,  2  A.  B.  R.,  344;  1  N.  B.  N., 
507. 

Payment  pro  tanto  on  a  secured  claim  by  the  trustee  does  not  entitle 


§40b.]  COMPENSATION  OF  REFEREES.  153 

the  referee  to  an  allowance  on  commissions.  In  re  Fort  Wayne  Electric 
Corporation  (1899),  Dist.  Ind.,  Baker,  J.,  94  Fed.,  109;  1.  A.  B.  R.,  706; 
1  N.  B.  R.,  356. 

Commission  should  be  allowed  on  money  paid  out  as  commissions. 
In  re  Sabine  (1899),  N.  Dist.  N.  Y.,  Hotchkiss,  R.,  1  A.  B.  R.,  322;  1  N. 
B.  N.,  45. 

No  commissions  allowed  on  payments  entitled  to  priority. 

No  commission  on  secured  claims,  unless  security  submitted  to  bank- 
rupt court. 

No  commissions  payable  on  prior  or  secured  claims — discussion  [^of 
word  "dividend."  In  re  Fielding  (1899),  W.  Dist.  Mo.,  Philips,  J.,  96 
Fed.,  800;  3  A.  B.  R.,  135;  2  N.  B.  N.,  735. 

Commissions  not  confined  to  dividends  paid  unsecured  creditors  but 
allowed  on  amounts  paid  secured  creditors.  Dividend  defined.  In  re 
Barber  (1899),  Dist.  Minn.,  Lochren  J.,  97  Fed.,  547;  3  A.  B.  R.,  306;  1  N. 
B.  N.,  559. 

This  section  is  vmconstitutional  because  the  referee's  commission  is 
affected  by  its  judicial  decision.  In  re  Gardner  (1900) ,  E.  Dist.  Va.,  Wad- 
dill,  J.,  103  Fed.,  922;  4  A.  B.  R.,  421;  1  N.  B.  N.,  189. 

Referee  may  not  make  extra  charges  for  hearing  claims,  preparing 
dividend  sheets — his  commissions  are  to  be  paid  only  on  sums  available 
for  payment  of  dividends  and  commissions.  In  re  Barker  (1901) ,  N.  Dist. 
la.,  Shiras,  J.,  Ill  Fed.,  501;  7  A.  B.  R.,  132. 

Referee's  compensation  limited  to  amount  prescribed  in  the  Act.  In 
re  Pierce  (1901),  Dist.  Colo.,  Hallett,  J.,  Ill  Fed.,  516;  6  A.  B.  R.,  747. 

Referee  may  charge  for  stationary,  publishing  notices,  etc..  Not  for 
his  own  ser\'ices  in  copying  petition  for  discharge,  though  he  may  charge 
for  what  such  work  costs  him.  In  re  Dixon  (1902),  N.  Dist.  Cal.,  De 
Haven,  J.,  114  Fed.,  675;  8  A.  B.  R.,  145. 

Court  has  power  to  refer  the  question  of  the  application  for  discharge 
to  a  referee  in  the  capacity  of  special  master  and  not  as  referee  in  bank- 
ruptcy, and  as  this  is  not  among  the  enumerated  duties  of  the  referee,  he 
is  entitled  to  reasonable  allowance  therefor  vmaffected  by  the  fact  that  he 
also  holds  the  office  of  referee.  Fellows  et  al.  v.  FreudentJial  (1900),  C.  C. 
A.,  7th  Cir.,  Seaman,  J.,  102  Fed.,  731;  4  A.  B.  R.,  490;  2  N.  B.  N.,  97. 

Referee  allowed  reasonable  compensation  where  services  outside  the 
ordinary  scope  of  his  duties.  In  re  Todd  (1901),  S.  Dist.  N.  Y.,  Brown, 
J.,  109  Fed.,  265;  6  A.  B.  R.,  88. 

b  [Division  between  referees.]  Whenever  a  case  is 
transferred  from  one  referee  to  another  the  judge  shall  de- 


154  CONTEMPTS  BEFORE  REFEREES.        [§4la. 

termine  the  proportion   in  which  the  fee  and  commissions 
therefor  shall  be  divided  between  the  referees. 
As  to  transfer  of  reference,  see  Sec.  22  (b)  and  notes,  ante. 

c  [Where  reference  revoked.]  In  the  event  of  the  refer- 
ence of  a  case  being  revoked  before  it  is  concluded,  and 
when  the  case  is  specially  referred,  the  judge  shall  determine 
what  part  of  the  fee  and  commissions  shall  be  paid  to  the 
referee. 

Sec.  41.     Contempts  before  Referees. 

a  [Prohibited  acts.]  A  person  shall  not,  in  proceedings 
before  a  referee, 

(1)  [Disobey  orders.]  Disobey  or  resist  any  lawful  order, 

process,  or  writ; 

For  analogous  provisions,  see  Act  of  1800,  Sees.  14  and  15;  also  Sees. 
4,  6  and  7  of  Act  of  1867,  post. 

Bankrupt  who  fails  to  account  for  money,  or  pay  over  committed  until 
he  accotmted  for  the  same.  In  re  Rosser  (1899),  E.  Dist.  Mo.,  Rogers,  J., 
96  Fed.,  305;  2  A.  B.  R.,  746;  1  N.  B.  N.,  469. 

Referee  has  power  to  order  bankrupt  to  turn  over  assets  and  on  bank- 
rupt's refusal  to  certify  the  same  to  the  judge  an  attachment  for  con- 
tempt may  issue.  In  re  Miller  (1900),  N.  Dist.  la.,  Shiras,  J.,  105  Fed., 
57;  5  A.  B.  R.,  184. 

(2)  [Misbehave  during  hearing.]  Misbehave  during  a 
hearing  or  so  near  the  place  thereof  as  to  obstruct  the  same ; 

As  to  when  and  where  hearings  had,  see  Gen.  Ord.  XII. 

(3)  [Witliholding  documents.]  Neglect  to  produce,  after 
having  been  ordered  to  do  so,  any  pertinent  document ;  or 

As  to  evidence,  see  Sec.  21a  and  notes. 

(4)  [Refuse  to  appear  for  examination.]  Refuse  to  ap- 
pear after  having  been  subpoenaed,  or,  upon  appearing, 
refuse  to  take  the  oath  as  a  witness,  or,  after  having  taken 


§42a.]  RECORDS  OF  REFEREES.  155 

the  oath,  refuse  to  be  examined  according  to  law :  Provided, 
That -no  person  shall  be  required  to  attend  as  a  witness  before 
a  referee  at  a  place  outside  of  the  State  of  his  residence,  and 
more  than  one  hundred  miles  from  such  place  of  residence, 
and  only  in  case  his  lawful  mileage  and  fee  for  one  day's 
attendance  shall  be  first  paid  or  tendered  to  him. 

See  Sec.  21  and  notes,  ante. 

Refusal  of  bankrupt  to  accovmt  for  assets  justifies  imprisonment  for 
contempt.  In  re  Rosser  (1899),  E.  Dist.  Mo.,  Rogers,  J.,  96  Fed.,  308; 
2  A.  B.  R..  746;  1  N.  B.  N.,  469. 

It  is  contempt  punishable  by  imprisonment  for  the  bankrupt  to  refuse 
to  turn  over  property  to  the  trustee.  In  re  Piirvine  (1899),  C.  C.  A.,  5th 
Cir.,  Newman,  J.,  96  Fed.,  192;  2  A.  B.  R.,  787 

Failure  to  accovmt  for  property  is  contempt  and  punishable  by  im- 
prisonment. In  re  DueU  (1899),  W.  Dist.,  Mo.  Phillips,  J.,  100  Fed.,  633; 
4  A.  B.  R.,  60. 

Referee  to  report  to  judge  the  expenses  in  each  case.  Gen.  Order 
XXVI.     Sec.  42  post. 

b  [Contempt  proceedings— penalty.]  The  referee  shall 
certify  the  facts  to  the  judge,  if  any  person  shall  do  any  of 
the  things  forbidden  in  this  section.  The  judge  shall  there- 
upon, in  a  summary  manner,  hear  the  evidence  as  to  the 
acts  complained  of,  and,  if  it  is  such  as  to  warrant  him  in 
so  doing,  punish  such  person  in  the  same  manner  and  to  the 
same  extent  as  for  a  contempt  committed  before  the  court 
of  bankruptcy,  or  commit  such  person  upon  the  same  con- 
ditions as  if  the  doing  of  the  forbidden  act  had  occurred 
with  reference  to  the  process  of,  or  in  the  presence  of,  the 
court. 

Bankruptcy  courts  have  jurisdiction  to  ptmish  for  contempt.  Sec. 
2  (16)  and  notes. 

Sec.  42.     Records  of  Referees. 

a  [Planner  of  keeping  records.]  The  records  of  all 
proceedings  in  each  case  before  a  referee  shall  be  kept  as 


156  APPOINTMENT  OF  TRUSTEES.        [§§43a,  44a. 

nearly  as  may  be  in  the  same  manner  as  records  are  now 
kept  in  equity  cases  in  circuit  courts  of  the  United  States. 

Records  to  be  transmitted  to  clerk  after  case  finished.  Sec.  39a  (7) 
Certified  copies  of  records  are  evidence.     Sec.  21d. 

h  [Books  and  papers.]  A  record  of  the  proceedings  in 
each  case  shall  be  kept  in  a  separate  book  or  books,  and 
shall,  together  with  the  papers  on  file  constitute  the  records 
of  the  case. 

c  [Become  part  of  court  records.]  The  book  or  books 
containing  a  record  of  the  proceedings  shall,  when  the  case 
is  concluded  before  the  referee,  be  certified  to  by  him,  and, 
together  with  such  papers  as  are  on  file  before  him,  be  trans- 
mitted to  the  court  of  bankruptcy  and  shall  there  remain 
as  a  part  of  the  records  of  the  court. 

As  to  duty  of  the  referee  to  transmit  records,  see  Sec.  39a  (7). 

Sec.  43.     Referee's  Absence  or  Disability. 

a  [Filling  vacancy.]  Whenever  the  office  of  a  referee 
is  vacant,  or  its  occupant  is  absent  or  disqualified  to  act, 
the  judge  may  act,  or  may  appoint  another  referee,  or 
another  referee  holding  an  appointment  under  the  same 
court  may,  by  order  of  the  judge,  temporarily  fill  the 
vacancy. 

As  to  appointment  of  referees,  see  Sec.  34  and  notes. 

On  disquaHfication  of  regular  referee,  judge  may  appoint  a  special 
referee,  and  this  without  regard  to  wishes  of  parties.  Owing  a  debt  to 
the  bankrupt  is  not  a  disqualification.  Bray  v.  Cobb  (1899),  E.  Div.  N. 
C,  Pumell,  J.,  91  Fed.,  102;  1  A.  B.  R.,  153;  1  N.  B.  N.,  209. 

Sec.  44.     Appointment  of  Trustees. 

a  [Creditors  appoint — when  court  appoint.]  The  cred- 
itors of  a  bankrupt  estate  shall,  at  their  first  meeting  after 
the  adjudication  or  after  a  vacancy  has  occurred  in  the 
office  of  trustee,  or  after  an  estate  has  been  reopened,  or 


§44a.]  APPOINTMENT  OF  TRUSTEES.  157 

after  a  composition  has  been  set  aside  or  a  discharge  revoked 
or  if  there  is  a  vacancy  in  the  office  of  trustee,  appoint  one 
trustee  or  three  trustees  of  such  estate.  If  the  creditors 
do  not  appoint  a  trustee  or  trustees  as  herein  provided,  the 
court  shall  do  so. 

Trustee  includes  all  the  trustees  of  an  estate.     Sec.  1  Sub.  (26)  'a«fe. 

As  to  who  appoints  trustee,  Sec.  2,  Sub.  (17)  ante. 

Creation  of  office,  see  ante,  Sec.  33.     See  also  Sections  46  and  47,  post. 

See  Sec.  55  as  to  meeting  of  creditors. 

An  undischarged  bankrupt  not  competent  to  serve  as  trustee  in  another 
estate.  In  re  Smith  (1899),  N.  Dist.  N.  Y.,  Hotchkiss,  R.,  1  A.  B.  R., 
38;  1  N.  B.  N.,  136. 

The  appointment  of  a  trustee  may  be  postponed  pending  an  offer 
of  a  composition.  In  re  Rung  Bros.  (1899),  N.  Dist.  N.  Y.,  Hotchkiss, 
R.,  2  A.  B.  R.,  620;  1  N.  B.  N.,  406. 

On  failure  of  creditor  to  appoint  trustee,  referee  may.  In  re  Kuffler 
(1899),  S.  Dist.  N.  Y.,  Brown,  J.,  97  Fed.,  187;  3  A.  B.  R.,  162;  2  N.  B. 
N.,29. 

Attorney  of  creditors  cannot  vote  for  trustee  without  special  authority. 
In  re  Blankfein  (1899),  S.  Dist.  N.  Y.,  Brown,  J.,  97  Fed.,  191;  3  A.  B. 
R..  165;  2  N.  B.  N.,  49. 

Trustee's  being  a  creditor  no  disqualification.  In  re  Lewensohn,  S. 
Dist.  N.  Y.,  Brown,  J.,  98  Fed.,  576;  3  A.  B.  R.,  299;  2  N.  B.  N.,  871. 

Referee  may  appoint  trustee  on  failure  of  creditors  to  select  one.~^/n 
re  Brooks  (1900),  E.  Dist.  Pa.,  McPherson,  J.,  100  Fed.,  432;  4  A.  B.  R., 
50;2N.  B.  N.,680. 

Referee  may  appoint  trustee  where  creditors  do  not  agree,  and  may 
exercise  his  discretion  in  so  doing.  In  re  Richards  (1900),  N.  Dist.  N.  Y., 
Coxe,  J.,  103  Fed.,  849;  4  A.  B.  R.,  631;  2  N.  B.  N.,  1,027. 

An  attorney  at  law  cannot  vote  the  claim  of  his  client  without  a  duly 
executed  power  of  attorney  for  that  purpose.  In  re  Scully  (1900) ,  R.,  108 
Fed.,  372;  5  A.  B.  R.,  716. 

Election  of  trustee  set  aside  where  it  appears  votes  were  procured  by 
collusion  with  the  bankrupt.  In  re  Henschel  (1901),  S.  Dist.  N.  Y.,  Wise, 
R.,  6  A.  B.  R.,  25. 

Under  some  circumstances  the  court  will  appoint  special  counsel  to 
advise  the  trustee.  In  re  Amett  (1901),  W.  Dist.  Tenn.,  Hammond,  J., 
112  Fed..  770;  7  A.  B.  R.,  522. 


158  DUTIES  OF  TRUSTEES.      [§§ 45a, 46a,  47a. 

At  the  election  of  a  trustee  it  is  the  duty  of  the  referee  to  refuse  votes 
of  claims  which  are  held  in  the  interest  of  the  bankrupt.  In  re  Dayville 
Woolen  Co.  (1902),  Dist.  Conn.,  Townsend,  J.,  114  Fed.,  674;  8  A.  B. 
R.,85. 

On  election  of  trustee  objections  to  claims  should  not  be  disregarded 
to  allow  creditors  to  vote — due  consideration  should  be  taken  of  the  ob- 
jections and  an  opportunity  given  to  contest  the  same  before  decision.  In 
re  Malino  (1902),  S.  Dist.  N.  Y.,  Adams,  J.,  8  A.  B.  R.,  205. 

Sec.  45.     Qualifications  of  Trustees. 
a    [Who  may  be  trustees,]    Trustees  may  be 

(1)  [Individuals.]  Individuals  who  are  respectively 
competent  to  perform  the  duties  of  that  office,  and  reside 
or  have  an  office  in  the  judicial  district  within  which  they  are 
appointed,  or 

(2)  [Corporations.]  Corporations  authorized  by  their 
charters  or  bylaw  to  act  in  such  capacity  and  having  an  office 
in  the  judicial  district  within  which  they  are  appointed. 

Sec.  46.     Death  or  Removal  of  Trustees. 

a  [Suit  not  to  abate.]  The  death  or  removal  of  a  trustee 
shall  not  abate  any  suit  or  proceeding  which  he  is  prosecuting 
or  defending  at  the  time  of  his  death  or  removal,  but  the 
same  may  be  proceeded  with  or  defended  by  his  joint  trustee 
or  successor  in  the  same  manner  as  though  the  same  had 
been  commenced  or  was  being  defended  by  such  joint  trustee 
alone  or  by  such  successor. 

Sec.  47.     Duties  of  Trustees. 

a    [Duties.]     Trustees  shall  respectively 

(1)  [Account  and  pay  over.]  Account  for  and  pay  over 
to  the  estates  under  their  control  all  interest  received  by 
them  upon  property  of  such  estates ; 


§47  a.]  DUTIES  OF   TRUSTEES.  159 

(2)  [Turn  property  into  money—close  estates.]  Collect 
and  reduce  to  money  the  property  of  the  estates  for  which 
they  are  trustees,  under  the  direction  of  the  court,  and  close 
up  the  estate  as  expeditiously  as  is  compatible  with  the  best 
interests  of  the  parties  in  interest ; 

As  to  suits  by  trustees,  see  Sec.  23b,  c,  d  and  Sec.  11 ;  see  also  Sec.  60c 
as  to  suits  to  set  aside  preferences. 

Title  to  bankrupt's  property  vests  in  trustee .     Sec.  70  and  notes. 

Costs  should  not  be  incurred  by  trustee  in  selling  mortgaged  property 
nor  should  he  accept  burdensome  property.  In  re  Cogley  (1901) ,  N.  Dist. 
la.,  Shiras,  J.,  107  Fed.,  73;  5  A.  B.  R.,  731. 

Trustee  not  liable  for  rent  of  premises  where  no  demand  made  by 
landlord.  In  re  Wiessner  (1902),  E.  Dist.  N.  Y.,  Thomas,  J.,  116  Fed., 
68;  8  A.  B.  R.,  415. 

Assignee  in  proceedings  prior  to  bankruptcy  who  was  allowed  to 
remain  in  possession  of  bankrupt's  property  during  several  months,  is  en- 
titled to  compensation  for  such  services.  In  re  Klein  &  Co.  (1902),  S. 
Dist.  N.  Y.,  Adams,  J.,  116  Fed.,  523;  8  A.  B.  R.,  559. 

Trustee  not  permitted  to  maintain  an  attachment  by  a  creditor  void- 
able under  the  act  to  attack  a  mortgage.  In  re  Moore  (1901),  Dist.  Vt. 
Wheeler,  J.,  107  Fed.,  264;  6  A.  B.  R.,  175. 

Trustees  duties  discussed  at  length — right  to  hire  counsel  and  com- 
mence actions  for  recovery  of  assets — practice  of  submitting  validity 
of  declaration  and  prospects  of  recovery  to  covut  for  instructions  con- 
demned in  that  case  largely  on  the  groimd  of  bad  faith.  In  re  Baber 
(1902),  E.  Dist.  Tenn.,  Hammond,  J.,  119  Fed.,  520. 

Duty  of  trustee  to  reftmd  money  paid  bankrupt  by  mutual  mistake. 
In  re  CoUisi,  W.  Dist.  Mich.,  Blair,  R.,  1  A.  B.  R.,  625. 

He  may  in  the  exercise  of  reasonable  judgment  employ  counsel.  In 
re  Abram  (1900),  E.  Dist.  Cal.,  DeHaven,  J.,  103  Fed.,  272;  4  A.  B.  R., 
675. 

Trustee's  counsel  must  not  represent  interests  adverse  to  the  general 
creditors.  In  re  Rtisch  (1900),  E.  Dist.  Wis.,  Seaman,  J.,  105  Fed.,  607; 
5A.  B.  R..  565. 

Trustee  should  pay  taxes.  In  re  Conhaim  (1900),  Dist.  Wash.,  Hand- 
ford,  J.,  100  Fed.,  268;  4  A.  B.  R.,  58;  2  N.  B.  N.,  148. 

(3)  [Deposit  money.]  Deposit  all  money  received  by 
them  in  one  of  the  designated  depositories ; 


160  DUTIES  OF  TRUSTEES.  [§47a. 

As  to  selection  of  depositories  for  money  by  court.     Sec.  61a. 

The  ftinds  should  be  deposited  to  the  credit  of  the  trustee  designa- 
ting the  estate.  In  re  Carr  (1902),  E.  Dist.  N.  C,  Pvimell,  J.,  116 
Fed.,  556;  9  A.  B.  R.,  58. 

(4)  [Disburse  money.]  Disburse  money  only  by  check 
or  draft  on  the  depositories  in  which  it  has  been  deposited ; 

Sees.  60,  61a. 

(5)  [Furnish  information.]  Furnish  such  information 
concerning  the  estates  of  which  they  are  trustees  and  their 
administration  as  may  be  requested  by  parties  in  interest; 

Accounts  are  open  to  inspection  of  all  parties  in  interest.     Sec.  49. 

(6)  [Keep  accounts.]    Keep  regular  accounts  showing 

all  amounts  received  and  from  what  sources  and  all  amounts 

expended  and  on  what  accounts ; 

See  Sec.  5d  and  notes  as  to  keeping  of  separate  accounts  relative  to 
partnership  and  individual  property. 

(7)  [Malie  detailed  statements.]  Lay  before  the  final 
meeting  of  the  creditors  detailed  statements  of  the  adminis- 
tration of  the  estates ; 

As  to  meetings  of  creditors,  see  Sec.  55.     See  Sec.  58a  (6). 

(8)  [Make  reports.]  Make  final  reports  and  file  final 
accounts  with  the  courts  fifteen  days  before  the  days  fixed 
for  the  final  meetings  of  the  creditors; 

As  to  notices  to  creditors,  see  Sec.  58a  (6) . 

(9)  [Pay  dividends.]  Pay  dividends  within  ten  days 
after  they  are  declared  by  the  referees ; 

See  Section  65  and  notes  as  to  the  declaration  and  pajmient  of  dividends. 

(10)  [Report  condition  of  estates.]  Report  to  the  courts, 
in  writing,  the  condition  of  the  estates  and  the  amounts 
of  money  on  hand,  and  such  other  details  as  may  be  re- 
quired by  the  courts,  within  the  first  month  after  their  ap- 


§47bc,]  DUTIES  OF  TRUSTEES.  161       ^ 

pointment  and  every  two  months  thereafter,  unless  other- 
wise ordered  by  the  courts ;  and 

(11)  [Set  apart  exemptions.]  Set  apart  the  bankrupt's 
exemptions  and  report  the  items  and  estimated  value  thereof 
to  the  court  as  soon  as  practicable  after  their  appointment. 

As  to  form  for  report  of  exempt  property,  see  Form  47.  As  to  exemf>- 
tion  of  bankrupt,  see  Sec.  6  and  notes  supra. 

Duty  of  trustee  to  set  aside  exemptions,  notwithstanding  bankrupt's 
fraudulent  concealment  of  property.  In  re  Peterson  (1899),  E.  Dist. 
Wis.,  Jones,  R.,  1  A.  B.  R.,  254;  1  N.  B.  N.,  215. 

Although  no  trustee  be  appointed  an  order  setting  aside  the  bank- 
rupt's exemptions  preserves  the  exemptions  to  the  bankrupt.  Smalley 
V.  Langenower  (1902),  Sup.  Ct..,  Wash.,  Fullerton,  J.,  70  Pac,  786. 

Exemptions  must  be  set  aside  by  trustee  and  no  one  can  act  in  his 
place.  In  re  Grimes  (1899),  W.  Dist.  N.  C,  Ewart,  J.,  96  Fed.,  529; 
2  A.  B.  R.,  730;  1  N.  B.  N.,  116. 

On  dispute  between  trustee  and  bankrupt  as  to  value  of  homestead 
exemptions,  it  should  be  sold  and  the  amount  paid  out  of  proceeds.  In  re 
Lynch  (1900),  S.  Dist.  Ga.,  Spear,  J.,  101  Fed.,  579;  4  A.  B.  R.,  262;  1 
N.  B.  N.,  182. 

Bankruptcy  court  has  exclusive  jurisdiction  to  determine  exemptions. 
Homestead  acquired  while  insolvent  from  proceeds  of  property  unpaid  for, 
not  allowable — burden  of  proving  solvency  at  time  of  purchase  on  the 
bankrupt.  McGahan  v.  Anderson  (1902),  C.  C.  A.,  4th  Cir.,  Jackson,  J., 
llSFed.,  115;7A.  B.  R.,641. 

h  [Concurrence  of  two  out  of  three.]  Whenever  three 
trustees  have  been  appointed  for  an  estate,  the  concurrence 
of  at  least  two  of  them  shall  be  necessary  to  the  validity  of 
their  every  act  concerning  the  administration  of  the  estate. 

See  Sees.  44  and  45. 

*c    [Trustee  to   file  certified  copy  of  adjudication.]    The 

trustee  shall,  within  thirty  days  after  adjudication,  file 
a  certified  copy  of  the  decree  of  adjudication  in  the  office 
where  conveyances  of  real  estate  are  recorded  in  every  coun- 
ty where  the  bankrupt  owns  real  estate  not  exempt  from 
execution,  and  pay  the  fee  for  such  filing,  and  he  shall  re- 


162  COMPENSATION  OF  TRUSTEES.  [§48a. 

ceive  a  compensation  of  fifty  cents  for  each  copy  so  filed, 
which,  together  with  the  fiHng  fee,  shall  be  paid  out  of  the 
estate  of  the  bankrupt  as  a  part  of  the  cost  and  disburse- 
ments of  the  proceedings.* 

As  amended  by  Act  of  1903.     See  amended,  page — post.     Additional  matter  found 
between  stars. 

As  to  duties  of  trustees,  see  Gen.  Order  XVII.  As  to  bonds  of  joint 
trustees,  see  Sec.  50j. 

Sec.  48.     Compensation  of  Trustees. 

a  [Fees  and  commissions.]  Trustees  shall  receive  (as 
full  compensation)  for  their  services,  payable  after  they 
are  rendered,  a  fee  of  five  dollars  deposited  with  the  clerk 
at  the  time  the  petition  is  filed  in  each  case,  except  when  a 
fee  is  not  required  from  a  voluntary  bankrupt,  and  from 
estates  which  they  have  administered,  such  commissions 
(on  sums  to  be  paid  as  dividends  and  commissions)  *on  all 
moneys  disbursed  by  them*  as  may  be  allowed  by  the  courts, 
not  to  exceed  (three)  *six*  per  centtmi  on  the  first  five 
(thousand)  *hundred*  dollars  or  less,  *four  per  centum  on 
moneys  in  excess  of  five  himdred  dollars  and  less  than 
fifteen  *htmdred  *dollars,  twopercentiun  on  moneys  in  ex- 
cess of  fifteen  hundred  dollars  and  less  than  ten  thousand 
dollars,*  (two  per  centum  on  the  second  five  thousand  dollars 
or  a  part  thereof)  and  one  per  centimi  on  (such  sums) 
*moneys*  in  excess  of  ten  thousand  dollars.  *And  in  case 
of  the  confirmation  of  a  composition  after  the  trustee  has 
qualified  the  court  may  allow  him,  as  compensation,  not  to 
exceed  one-half  of  one  per  centum  of  the  amount  to  be  paid 
the  creditors  on  such  composition.* 

As  to  compensation  of  trustees,  see  Gen.  Order  XXXV.  See  also 
notes  as  to  compensation  of  referees,  ante  Sec.' 40. 

As  amended  by  Act  of  1903.  See  Amendment  page  ,  post.  Matter 
found  in  Act  of  1898  and  omitted  in  Amendment  contained  between 
brackets-new  matter  found  between  stars.  See  Sec.  72  post,  as  tq 
\imitation  on  compensation  of  trustees  and  referees. 


§48a.]  COMPENSATION  OF   TRUSTEES.  163 

Trustee  is  entitled  to  commissions  on  amounts  paid  secured  creditors. 
In  re  Coffin  (1899),  E.  Dist.  Tenn.,  Dillard,  R.,  2  A.  B.  R.,  344;  1  N.  B. 
N.,  507. 

Commissions  payable  on  claims  having  priority.  In  re  Gerson,  E. 
Dist.  Pa.,  Mason,  R.,  2  A.  B.  R.,  352;  1  N.  B.  N.,  315. 

No  commission  payable  on  prior  or  secured  claims — discussion  of 
word  "dividend."  In  re  Fielding  (1899),  W.  Dist.  Mo.,  Phillips,  J.,  91 
Fed.,  800;  3  A.  B.  R.,  135;  2  N.  B.  N.,  735. 

Trustee  cannot  receive  Ivunp  sum  greater  than  his  commissions  of 
three  per  cent.,  nor  can  he  be  allowed  for  services  as  agent  prior  to  his  ap- 
pointment as  trustee.  In  re  Carolina  Cooperage  Co.  (1899),  E.  Dist. 
N.  C,  Pumell.,  J.,  96  Fed.,  950;  3  A.  B.  R.,  154;  1  N.  B.  N.,  534. 

No  fees  allowed  trustee  as  commissions  on  dividends  to  secured  creditors. 
In  re  Utt  (1901),  C.  C.  A.,  7th  Cir.,  Woods,  J.,  105  Fed.,  754;  5  A.  B. 
R.,  383. 

No  extra  compensation  allowed  trustee,  no  matter  how  valuable  his 
services.  In  re  Epstein  (1901),  W.Dist.  Ark.,  Trieber,  J.,  109  Fed.,  878; 
6  A.  B.  R.,  191. 

Sale  by  trustee  for  invoice  price — fact  that  bankrupt  had  purchased 
some  of  the  goods  originally  for  less  than  the  invoice  price  constitutes  no 
ground  for  rebate  to  purchaser.  Owens  v.  Bruce  (1901) ,  C.  C.  A.,  4th  Cir., 
Waddill,  J.,  109  Fed.,  72;  6  A.  B.  R.,  322. 

Trustee's  commissions  not  earned  where  the  creditor  after  commencing 
suit  in  trustee's  name,  compromised  the  same  and  assigned  the  claim  to 
a  friend  of  the  bankrupt  and  dismissed  the  suit.  In  re  Kaiser  (1902), 
Dist.  Mont.,  Knowles,  J.,  112  Fed.,  955;  8  A.  B.  R.,  108. 

Trustee  who  is  an  attorney  may  defend  in  person  suits  against  property 
in  his  hands,  and  will  be  allowed  the  same  compensation  as  he  would  if  he 
had  employed  other  competent  counsel.  In  re  Mitchell  (1899),  W.  Dist. 
Pa.,  Van  Wormer,  R.,  1  A.  B.  R.,  687;  1  N.  B.  N.,  264. 

Trustee  allowed  extra  fees  for  unusual  services  for  carrying  on  a  busi- 
ness. In  re  Plummer  (1899),  N.  Dist.  N.  Y.,  Hotchkiss,  R.,  3  A.  B.  R., 
320;  2  N.  B.  N.,  292. 

"Dividends  "  comprehends  payments  made  to  priority  and  secured  cred- 
itors, as  well  as  out  of  funds  passing  through  the  trustees  hands.  In  re 
Muhlhouser  Company  (1902),  N.  Dist.  O.,  Remington,  R.,  9  A.  B.  R.,  80. 

Fees  and  expenses  of  trustee  of  sale  of  mortgaged  property  should  be 
allowed  only  as  connected  with  the  sale — not  then  allowed  as  fees  incurred 
in  bankruptcy  proceeding.  In  re  Utt  (1901),  C.  C.  A.,  7th  Cir.,  Woods, 
J.,  105  Fed.,  754;  5  A.  B.  R.,  383. 


164  BONDS  OF  REFEREES  AND  TRUSTEES.  [§§49a,  50a 

b  [When  more  thao  one  trustee.]  In  the  event  of  an 
estate  being  administered  by  three  trustees  instead  of  one 
trustee  or  by  successive  trustees,  the  court  shall  apportion 
the  fees  and  commissions  between  them  according  to  the 
services  actually  rendered,  so  that  there  shall  not  be  paid 
to  trustees  for  the  administering  of  any  estate  a  greater 
amount  than  one  trustee  would  be  entitled  to. 

As  to  how  and  when  trustees  appointed,  see  Sec.  44. 

c  [Compensation  withheld.]  The  court  may,  in  its  dis- 
cretion, withhold  all  compensation  from  any  trustee  who 
has  been  removed  for  cause. 

See  Gen.  Qrd.XXXV  as  to  compensation; also  Sec. 48.  As  to  removal 
of  trustee,  see  Gen.  Ord.  XIII. 

Sec.  49.    Accounts  and  Papers  of  Trustees. 

a  [Must  be  open  to  inspection.]  The  accounts  and  papers 
of  trustees  shall  be  open  to  the  inspection  of  officers  and  all 
parties  in  interest.. 

On  accoimting  by  the  trustee,  it  is  the  duty  of  the  referee  to  examine 
the  details  of  the  trustee's  account.  In  re  Baginsky,  Michael  &  Co.  (1899) , 
E.  Dist.  La.,  Gurley,  R.,  2  A.  B.  R.,  243;  1  N.  B.  N.,  360. 

It  is  an  offense  vmder  this  act  for  a  referee  or  trustee  to  refuse  to  permit 
a  reasonable  opportimity  for  the  inspection  of  accounts  of  estates.  Sec. 
29c  (3). 

Sec.  50.  Bonds  of  Referees  and  Trustees. 

a  [Referees  bonds.]  Referees,  before  assimiing  the  duties 
of  their  offices,  and  within  such  time  as  the  district  courts 
of  the  United  States  having  jurisdiction  shall  prescribe, 
shall  respectively  qualify  by  entering  into  bond  to  the  United 
States  in  such  sum  as  shall  be  fixed  by  such  courts,  not  to 
exceed  five  thousand  dollars,  with  such  sureties  as  shall 
be  approved  by  such  courts,  conditioned  for  the  faithful 
performance  of  their  official  duties. 

As  to  form  of  bond  of  referee,  see  Form  No.  17. 


§50bcdef]  bonds  of  referees  and  trustees.  165 

One  surety  only  is  necessary  on  a  bond,  where  it  is  a  svirety  company. 
In  re  Max  Kalter  (1899),  E.  Dist.  Pa.,  Mason,  R.,  2  A.  B.  R.,  590;  1  N. 
B.  N.,  384. 

h    [Trustees'  bond.]     Trustees,  before  entering  upon  the 

performance  of  their  official  dutie^,  and  within  ten  days  after 

their  appointment,  or  within  such  further  time,  not  to  exceed 

five  days,  as  the  court  may  permit,  shall  respectively  qualify 

by  entering  into  bond  to  the  United  States,  with  such  sureties 

as  shall  be  approved  by  the  courts,  conditioned  for  the 

faithful  performance  of  their  official  duties. 

As  to  form  of  bond,  see  Form  No.  25.  Order  approving  trustee's 
bond,  see  form  No.  26. 

c  [Creditors  fixing  amount  of  trustees'  bond.]  The  cred- 
itors of  a  bankrupt  estate,  at  their  first  meeting  after  the 
adjudication,  or  after  a  vacancy  has  occurred  in  the  office  of 
trustee,  or  after  an  estate  has  been  reopened,  or  after  com- 
position has  been  set  aside  or  a  discharge  revoked,  if  there 
is  a  vacancy  in  the  office  of  trustee,  shall  fix  the  amoimt  of 
the  bond  of  the  trustee ;  they  may  at  any  time  increase  the 
amount  of  the  bond.  If  the  creditors  do  not  fix  the 
amount  of  the  bond  of  the  trustee  as  herein  provided  the 
court  shall  do  so. 

As  to  meeting  of  creditors.  Sec.  55.  Creditors  appoint  trustees,  see 
Sec.  44. 

d  [Sureties  qualification.]  The  court  shall  require  evi- 
dence as  to  the  actual  value  of  the  property  of  sureties. 

e  [Two  sureties  required.]  There  shall  be  at  least  two 
sureties  upon  each  bond. 

/  [Value  of  property  of  sureties.]  The  actual  value  of 
the  property  of  the  siu-eties,  over  and  above  their  liabilities 
and  exemptions,  on  each  bond  shall  equal  at  least  the 
amoimt  of  such  bond. 


166        BONDS  OF  REFEREES  AND  TRUSTEES.   [§50g-m. 

g  [Corporations  as  sureties.]  Corporations  organized  for 
the  purpose  of  becoming  sureties  upon  bonds,  or  authorized 
by  law  to  do  so,  may  be  accepted  as  sureties  upon  the  bonds 
of  referees  and  trustees  whenever  the  courts  are  satisfied 
that  the  rights  of  all  parties  in  interest  will  be  thereby  amply 
protected. 

h  [Filing  of  bonds — suit  on  bonds.]  Bonds  of  referees, 
trustees,  and  designated  depositories  shall  be  filed  of  record 
in  the  office  of  the  clerk  of  the  court  and  may  be  sued  upon 
in  the  name  of  the  United  States  for  the  use  of  any  person 
injured  by  a  breach  of  their  conditions. 

Trustee  may  bring  stiit  on  bond  of  former  trustee  in  District  Court. 
United  States  v.  Union  Surety  and  Guaranty  Co.  (1902),  S.  Dist.  N.  Y., 
Adams,  J.,  118  Fed.,  482;  9  A.  B.  R.,  114. 

i  [Trustees'  personal  liability.]  Trustees  shall  not  be 
liable,  personally  or  on  their  bonds,  to  the  United  States, 
for  any  penalties  or  forfeitures  incurred  by  the  bankrupts 
imder  this  act,  of  whose  estates  they  are  respectively 
trustees. 

/  [Joint  trustees.]  Joint  trustees  may  give  joint  or 
several  bonds. 

k  [Vacancy  by  failure  to  give  bond.]  If  any  referee  or 
trustee  shall  fail  to  give  bond,  as  herein  provided  and  within 
the  time  limited,  he  shall  be  deemed  to  have  declined  his 
appointment,  and  such  failtu"e  shall  create  a  vacancy  in  his 
office. 

/  [Limitation  of  suits  on  referees'  bonds.]  Suits  upon 
referees'  bonds  shall  not  be  brought  subsequent  to  two  years 
after  the  alleged  breach  of  the  bond. 

m  [Limitation  to  suits  on  trustees'  bonds.]  Suits  upon 
trustees'  bonds  shall  not  be  brought  subsequent  to  two  years 
after  the  estate  has  been  closed. 


§51  a.)  DUTIES  OF  CLERKS.  16*? 

Sec.  51.     Duties  of  Clerks. 
a     [Duties.]     Clerks  shall   respectively 

(1)  [Account  for  fees.]  Account  for,  as  for  other  fees 
received  by  them,  the  clerk's  fee  paid  in  each  case  and  such 
other  fees  as  may  be  received  for  certified  copies  of  records 
which  may  be  prepared  for  persons  other  than  officers ; 

(2)  [Collect  fees.]  Collect  the  fees  of  the  clerk,  referee, 
and  trustee  in  each  case  instituted  before  filing  the  petition 
except  the  petition  of  a  proposed  volimtary  bankrupt  which 
is  accompanied  by  an  affidavit  stating  that  the  petitioner 
is  without,  and  can  not  obtain,  the  money  with  which  to  pay 
such  fees ; 

See  Sec.  52  as  to  compensation  of  clerks. 

Petitioner  in  forma  pauperis  must  show  he  cannot  obtain  money  for 
costs — he  cannot  pay  his  counsel  and  then  make  the  affidavit.  In  re 
Collier  (1899),  W.  Dist.  Tenn.,  Hammond,  J.,  93  Fed.,  191;  1  A.  B.  R.; 
182;  1  N.  B.  N.,  257. 

In  pauper  cases  the  costs  of  the  bankrupt  are  not  a  charge  on  his 
exemptions — he  need  not  be  expected  to  borrow  the  costs.  ^Sellers,  et 
al  V.  Bell,  1899  Circuit  Ct.  of  Appeals,  5th.  Cir.  McCormick,  J.,  94  Fed., 
801;  2  A.  B.  R.,  529. 

One  fee  only  can  be  charged  a  partnership  petition.  In  re  Langslow 
et  al.  (1899),  N.  Dist.  N.  Y.,  Coxe,  J.,  98  Fed.  869;  1  A.  B.  R.,  258;  1  N. 
B.  N.,  232. 

Partnership  and  individual  petitions  may  be  joined,  and  one  fee  only 
charged  for  filing.  In  re  Gay,  (1899),  Dist.  N.  H.  Aldrich,  J.,  98,jFed., 
870;  3  A.  B.  R.,  529. 

The  statutory  fees  on  proper  affidavit  may  be  waived  by  the  clerk 
to  the  extent  of  filing  the  petition,  but  the  subsequent  proceedings  will 
not  ensue  until  those  fees  are  paid  by  the  bankrupt,  unless  from  pe- 
culiar circumstances  he  is  an  object  of  charity.  In  re  Anonymous 
(1899),  Dist.  Washington,  Handford,  J.,  2  A.  B.  R.,  527. 

The  costs  advanced  are  not  to  be  refunded  under  rule  10.  In  re 
Matthews  (1899),  S.  Dist.  la.,  Shiras,  J.,  97  Fed.  772;  3  A.  B.  R.,  265. 

Clerk  should  collect  filing  fees  separately  for  partnership  and  indi- 


168  COMPENSATION  OF  CLERKS  AND  MARSHALS.       [§52a. 

vidual  partners.     In  re  Harden  (1900),  E.  Dist.  N.  C,  Purnell,  J.,  101 
Fed.,  553;  4  A.  B.  R.,  31;  2  N.  B.  N.,  741. 

Poverty  affidavit  establishes  prima  facie  right  to  file  petition  without 
the  costs.  In  re  Levy  (1900),  E.  Dist.  Wis.,  Seaman,  J.,  101  Fed.,  247; 
4  A.  B.  R.,  108. 

On  poverty  affidavit  referee  not  authorized  to  rule  the  bankrupt  to 
advance  costs  before  discharge. — Such  orders  being  for  the  judge.  In  re 
Plimpton  (1900),  Dist.  Vt.,  Wheeler,  J.,  103  Fed.,  775;  4  A.  B.  R.,  614;  3 
N.  B.  N..  14. 

In  pauper  cases  the  costs  of  the  bankrupt  are  not  a  charge  on  his  ex- 
emptions— he  need  not  be  expected  to  borrow  the  costs.  Sellers  v.  Bell 
(1899),  C.  C.  A.,  5th  Cir.,  McCormick,  J.,  94  Fed.,  801;  2  A.  B.  R.,  529. 

•  (3)  [Deliver  papers.]  Deliver  to  the  referees  upon  appli- 
cation all  papers  which  may  be  referred  to  them,  or,  if  the 
offices  of  such  referees  are  not  in  the  same  cities  or  towns 
as  the  offices  of  such  clerks,  transmit  such  papers  by  mail, 
and  in  like  manner  return  papers  which  were  received  from 
such  referees  after  they  have  been  used; 

Duty  of  referees  to  call  for  papers.     Section  59  Sub.  (8) . 

(4)  [Pay  referee's  and  trustees'  fees.]  And  within  ten 
days  after  each  case  has  been  closed  pay  to  the  referee,  if 
the  case  was  referred,  the  fee  collected  for  him,  and  to 
the  trustee  the  fee  collected  for  him  at  the  time  of  filing 
the  petition. 

As  to  keeping  of  clerk's  docket  see  Gen.    Order  I.  post. 

As  to  filing  of  papers,  see  Gen.  Order  II. 

See  Sec.  40  a  as  to  compensation  of  referees;  as  to  compensation  of 
trustees  see  Sec.  48,  see  also  Gen.  Ord.  XXXV. 

Sec.  52.     Compensation  of  Clerks  and  Marshals. 

a    [Clerks'  filing  fee.]    Clerks  shall  respectively  receive 

as  full  compensation  for  their  services  to  each  estate,  a 

filing  fee  of  ten  dollars,  except  when  a  fee  is    not  required 

from  a  volimtary  bankrupt. 

As  to  fees  of  clerks  see  Gen.  Order  XXXV  post.  See  as  to  pauper 
petitions,  Sec.  51  a  (2). 


§  §  53a,  54a.]  statistics.-duties  of  attorney  general.  169 

b  [Marshals  fee.]  Marshals  shall  respectively  receive 
from  the  estate  where  an  adjudication  in  bankruptcy  is 
made,  except  as  herein  otherwise  provided,  for  the  perform- 
ance of  their  services  in  proceedings  in  bankruptcy,  the 
same  fees,  and  account  for  them  in  the  same  way,  as  they 
are  entitled  to  receive  for  the  performance  of  the  same  or 
similar  services  in  other  cases  in  accordance  with  laws  now 
in  force,  or  such  as  may  hereafter  be  enacted,  fixing  the 
compensation  of  marshals. 

As  to  accounts  to  be  kept  by  Marshals  see  Gen.  Order  XXIX  post. 

Marshal  permitted  to  charge  fee  for  serving  petitioner  where  no 
statutory  provision  is  made.  In  re  Damon,  W.  Dist.  N.  Y.,  Hazel,  J., 
5  A.   B.   R.,   133. 

Sec.  53.     Duties  of  Attorney  General. 

a  [Collect  and  report  statistics  of  cases.]  The  Attorney 
General  shall  annually  lay  before  Congress  statistical  tables 
showing  for  the  whole  country,  and  by  States,  the  number 
of  cases  during  the  year  of  volimtary  and  involtmtary  bank- 
ruptcy; the  amount  of  the  property  of  the  estates;  the 
dividends  paid  and  the  expenses  of  administering  such 
estates;  and  such  other  like  information  as  he  may  deem 
important. 

Sec.  54.     Statistics  of  Bankruptcy  Proceedings. 

a    [Officers  to  furnish  infonnation  to  attorney  generaL] 

Officers  shall  furnish  in  writing  and  transmit  by  mail  such 
information  as  is  within  their  knowledge,  and  as  may  be 
shown  by  the  records  and  papers  in  their  possession,  to 
the  Attorney  General,  for  statistical  purposes,  within  ten 
days  after  being  requested  by  him  to  do  so. 


CHAPTER  VI. 


Creditors. 


Sec.  55.     Meetings    of    Credit- 
ors. 

a.  Place  and  time. 

b.  Presiding  officers — duties. 

c.  Creditors  duty. 

d      Subsequent  meetings  of  cred- 
itors. 

e.     Meeting  at  call  of  court. 

/.      Final  meeting. 
Sec.  56.     Voters  at      Meetings 
OF  Creditors. 

a.  Method  of  voting. 

b.  Voting  by  secured  creditors. 
Sec.  57.     Proof  and  Allowance 

OF  Claims. 

a.  Of  what  to  consist. 

b.  When    claim    founded    upon 
writing. 

c.  Filing  claims. 

d.  When  claims  allowed. 

e.  Claims  of  secured  creditors. 

f.  Objections  to  claims. 

f      Preferred  creditors. 
Securities    held    by    secured 
creditors. 

i.      Claims    secured    by    individ- 
ual undertakings. 

/.      Debts   owing  to   the   United 
States,  etc. 

k.     Reconsideration  of  claims. 

/.       Recovery     of     dividend     by 
trustee. 

m.    Claims  by  one  estate  against 


another. 

Time  for  proving  claims. 

58.  Notice  to  Creditors. 
Ten  days  notice. 
Examinations. 
Hearings. 
Meetings. 
Sales. 
Dividends. 
Final  accounts. 
Compromises. 
Dismissal  of  proceedings. 
First  meetings — other  notices. 
Notices  given  by  referee. 

59.  Who      May   File    anc 
Dismiss  Petitions. 
Voluntary  bankrupt. 
Involuntary  bankrupt. 
Petitions  in  duplicate. 
Notice  to  other  creditors. 

e       Computing  number  of  credit- 
ors. 

/.     Appearance  of  creditors. 

g.  Notice  of  dismissal. 
Sec.  60.  Preferred  Creditors. 
What  constitutes  preference. 
Preferences  voidable.  Juris- 
diction to  recover. 
Set-off  of  new  credit  after 
preference, 

Payment  to  attorneys — exam- 
ination. 


n. 
Sec 

a. 
(1) 
(2) 
(3) 
(4) 
(5) 
(6) 
(7) 
(8) 

b. 

c. 
Sec 

a. 
b. 
c. 
d. 


a. 
b. 


Sec. 55.     Meetings  of  Creditors. 


a  [Place  and  time.]  The  court  shall  cause  the  first 
meeting  of  the  creditors  of  a  bankrupt  to  be  held,  not  less 
than  ten  nor  more  than  thirty  days  after  the  adjudication, 
at  the  county  seat  of  the  county  in  which  the  bankrupt  has 
had  his  principal  place  of  business,  resided,  or  had  his  domi- 
cile ;  or  if  that  place  would  be  manifestly  inconvenient  as  a 
place  of  meeting  for  the  parties  in  interest,   or  if  the  bank- 

170 


§55  a  be]  MEETINGS  OF  CREDITORS.  Vti 

nipt  is  one  who  does  not  do  business,  reside,  or  have  his 
domicile  within  the  United  States,  the  court  shall  fix  a  place 
for  the  meeting  which  is  the  most  convenient  for  parties  in 
interest.  If  such  meeting  should  by  any  mischance  not  be 
held  within  such  time,  the  court  shall  fix  the  date,  as  soon 
as  may  be  thereafter,  when  it  shall  be  held. 

As  to  examinations  of  bankrupt,  see  Gen.  Order  XXII.  For  analogous, 
provisions,  see  Sec.  6,  29  and  30  Act  of  1800,  Sec.  7  Act  of  1841,  and  Sec 
11,  12,  17,  26,  28  Act  of  1867. 

As  to  notices  of  first  meetings  of  creditors,  see  Sec.  58  and  Gen.  Ord. 
XXI.     For  form  of  notice  of  first  meeting,  see  Form  No.  18 

Cotut  may  call  special  meeting  of  creditors.     Gen.  Order  XXV. 

Conduct  of  meetings  of  creditors  under  Sections  55  and  57  discussed 
and  construed.  In  re  Eagles  &  Crisp  (1899),  E.  Dist.  N.  C,  Pumell,  J., 
99  Fed.,  695;  3  A.  B.  R.,  733;  2  N.  B.  N..  462. 

Surprise  occasioned  by  oversight  of  legal  provision  no  ground  for 
adjournment.  In  re  Finlay  (1900),  S.  Dist.  N.  Y.,  Coxe,  J.,  104  Fed., 
675;  3  A.  B.  R.,  738. 

h  [Presiding  oflScer — duties.]  At  the  first  meeting  of 
creditors  the  judge  or  referee  shall  preside,  and,  before 
proceeding  with  the  other  business,  may  allow  or  disallow 
the  claims  of  creditors  there  presented,  and  may  publicly 
examine  the  bankrupt  or  cause  him  to  be  examined  at  the 
instance  of  any  creditor. 

Court  may  order  that  no  trustee  be  appointed,  Gen.  Ord.  XV. 

Attorney  of  creditor  has  a  lien  on  the  claim  allowed  for  his  fees  and 
the  District  Court  will  enforce  it  for  him.  In  re  Rude  (1900),  Dist.  Ky., 
Evans,  J.,  101  Fed.  805;  4  A.  B.  R.,  319;  2  N.  B.  N.,  493. 

The  interference  by  bankrupt  in  procuring  proxies  will  justify  referee 
in  throwing  out  such  proxies  in  the  election.  In  re  McGill  (1901),  C.  C. 
A.  6th.  Cir.  Day,  J.,  106  Fed.  57;  5  A.  B.  R.,  155. 

See  notes  under  Sec.  56  post.  Form  of  order  for  examination  of 
bankrupt,  form  No.  XXVIII.  As  to  examination  of  the  bankrupt  see 
Sec.  7  (9)  and  21  a. 

c  [Creditor's  duty.]  The  creditors  shall  at  each  meeting 
take  such  steps  as  may  be  pertinent  and  necessary  for  the 


172  MEETINGS  OF  CREDITORS. — VOTERS.  [§56a. 

promotion  of  the  best  interests  of  the  estate  and  the  en- 
forcement of  this  Act. 

d  [Subsequent  meetings  of  creditors.]  A  meeting  of 
creditors,  subsequent  to  the  first  one,  may  be  held  at  any 
time  and  place  when  all  of  the  creditors  who  have  secured 
the  allowance  of  their  claims  sign  a  written  consent  to  hold 
a  meeting  at  such  time  and  place. 

e  [Meeting  at  caU  of  court.]  The  court  shall  call  a  meet- 
ing of  creditors  whenever  one-fourth  or  more  in  number  of 
those  who  have  proven  their  claims  shall  file  a  written  re- 
quest to  that  effect ;  if  such  request  is  signed  by  a  majority 
of  such  creditors,  which  number  represents  a  majority  in 
amount  of  such  claims,  and  contains  a  request  for  such 
meeting  to  be  held  at  a  designated  place,  the  court  shall  call 
such  meeting  at  such  place  within  thirty  days  after  the 
date  of  the  filing  of  the  request. 

As  to  proof  of  claims  see  Sec.  57  post,  see  as  to  voters  at  creditors* 
meetings  Sec.  56  post. 

/  [Final  meeting.]  Whenever  the  affairs  of  the  estate 
are  ready  to  be  closed  a  final  meeting  of  creditors  shall  be 
ordered. 

Notices  of  final  meetings,  Sec.  58.  Trustees  duties  to  lay  statement 
of  condition  of  the  estate  before  the  meeting  of  creditors.     Sec.  47  a  (7) . 

Notice  of  final  meeting  of  creditors  may  be  included  in  notice  of  pay- 
ment of  dividend.  In  re  Smith  (1899),  N.  Dist.  N.  Y.,  Hotchkiss,  R., 
2  A.  B.  R.,  648;  1  N.  B.  N.,  404. 

Sec.  56.    Voters  at  Meetings  of  Creditors. 

a  [Metliod  of  voting,]  Creditors  shall  pass  upon  matters 
submitted  to  them  at  their  meetings  by  a  majority  vote 
in  ntunber  and  amoimt  of  claims  of  all  creditors  whose  claims 
have  been  allowed  and  are  present,  except  as  herein  other- 
wise provided. 


§57a.]  CLAIMS. — PROOF  AND  ALLOWANCE.  173 

As  to  proof  and  allowance  of  claims  see  Sec.  57  and  notes. 

Referee  may  reject  proxy  which  is  procured  in  the  interest  of  the 
bankrupt.  In  re  Henschel  (1901),  S.  Dist.  N.  Y.,  Brown,  J.,  109  Fed., 
861;  6  A.  B.  R.,  305.  In  re  McGill  (1901),  C.  C.  A.,  6th  Cir.  Day,  J., 
106  Fed.  57;  5  A.  B.  R.,  155. 

Claims  that  are  not  allowed  cannot  vote.  In  re  Henschel,  (1902), 
C.  C.  A.,  2nd  Cir.,  Wallace,  J.,  114  Fed.,  968;  7  A.  B.  R.,  662. 

b  [Voting  by  secured  creditors.]  Creditors  holding  claims 
which  are  secured  or  have  priority  shall  not,  in  respect  to 
such  claims,  be  entitled  to  vote  at  creditors  meetings,  nor 
shall  such  claims  be  cotmted  in  computing  either  the  num- 
ber of  creditors  or  the  amount  of  their  claims,  tinless  the 
amounts  of  such  claims  exceed  the  values  of  such  securities 
or  priorities,  and  then  only  for  such  excess. 

See  Sec.  57  as  to  securities  and  finding  value  of. 

For  definition  of  secured  creditor  see  Sec.  1  (23),  and  notes. 

Creditors  who  recovered  twenty  per  cent,  dividend  under  an  assign- 
ment prior  to  the  passage  of  the  bankruptcy  act,  are  not  held  to  be  secured 
creditors  or  barred  from  proving  claim,  and  voting  for  trustee.  In  re 
Folb  (1899),  E.  Dist.  N.  C.  Pumell,  J.,  91  Fed.,  107;  1  A.  B.  R.,22;  1  N. 
B.  N.  34. 

Absent  creditors  not  to  be  considered  in  voting  for  trustee,  though  their 
claims  have  been  allowed.  Referee  who  disapproves  of  creditors' choice 
of  trustee  must  call  another  meeting.  In  re  Mac  Keller  (1902) ,  Middle 
Dist.  Pa.,  Archibald,  J.,  116  Fed.,  547;  8  A.  B.  R.,  669. 

In  partnership  cases  creditors  of  the  firm  may  vote  the  full  amount 
of  the  claim  irrespective  of  the  securities  furnished  by  individual  mem- 
bers to  such  creditors.  In  re  Coe  (1899),  N.  Dist.  Ohio,  Remington,  R., 
1  A.  B.  R.,  275;  1  N.  B.  N.,  294. 

The  provisions  of  this  section  apply  to  partnership  creditors  only 
in  case  of  a  joint  petition.  In  re  Beck  (1901),  Dist.  Mass.,  Lowell,  J., 
110  Fed.,  140;  6  A.  B.  R.,  554. 

Sec.  57.     Proof  and  allowance  of  Claims. 

a  [Of  what  to  consist.]  Proof  of  claims  shall  consist 
of  a  statement  under  oath,  in  writing,  signed  by  a  creditor 
setting  forth  the  claim,   the  consideration  therefor,   and 


174  CLAIMS. — PROOF  AND  ALLOWANCE.  [§57a. 

whether  any,  and,  if  so  what,  securities  are  held  therefor, 
and  whether  any,  and,  if  so  what,  payments  have  been  made 
thereon,  and  that  the  sum  claimed  is  justly  owing  from  the 
bankrupt  to  the  creditor. 

See  Gen.  Order  XXI  as  to  proof  and  allowance  of  claim. 

See  debts  not  barred  by  discharge,  Sec.  17. 

For  forms  for  proof  of  debt  see  Form  No.  31,  32,  33,  34,  35  and  36. 

See  debts  not  barred  by  discharge,  Sec.  17. 

Proof  of  claim  should  state  consideration  and  defective  claim  may 
be  expunged  when  so  defective.  In  re  Scott  (1899),  N.  Dist.  Tex.,  Meek, 
J.,  99  Fed.,  404;  1  A.  B.  R.,  553;  1  N.  B.  N.,  226. 

The  proof  of  claim  and  evidence  should  correspond — amaterial  variance 
may  justify  its  diallowance — where  claimant  is  found  guilty  of  combining 
with  bankrupt  in  scheme  to  defraud  the  creditors  his  claim  will  be  dis- 
allowed.    In  re  Lanshaw  (1902),  Dist.  Mo.,  Phillips,  J.,  9  A.  B.  R.,  167. 

An  outlawed  claim  may  be  expunged  after  proof.  Scheduling  such 
claim  does  not  revive  it.  In  re  Lipman  (1899),  S.  Dist.  N.  Y.,  Brown,  J. 
94  Fed.,  353;  2  A.  B.  R.,  46;  1  N.  B.  N.,  310. 

When  a  claim  is  proved  it  must  be  allowed  upon  filing  unless  objections 
are  made  by  the  parties  in  interest,  or  unless  continued  for  cause  by  the 
court  upon  its  own  motion.  In  re  Ankenny  (1899),  N.  Dist.  la.,  James, 
R.  .  1  N.  B.  N.,  482. 

Duty  of  referee  to  allow  claim  even  though  it  is  bad  pleading,  when 
it  conforms  with  bankruptcy  forms,  orders  and  statute.     Idem. 

Amendments  of  claims  allowed  where  justice  will  be  done.  In  re 
Meyers  &  Chami  (1900),  Dist.  Ind.,  Barker,  J.,  99  Fed.,  691;  3  A.  B.  R., 
760;  2  N.  B.  N.,  765. 

Creditor  who  has  instituted  replevin  against  the  assignee  tmder  general 
assignment  not  estopped  from  proving  his  claim  for  balance  of  claim 
in  bankruptcy.  In  re  Wilcox  &  V7right  (1899),  Dist.  Tenn.,  Grayson,  R., 
1  A.  B.  R.,  544. 

Contract  for  annuity  provable  up  to  expiration  of  one  year  from 
adjudication.  Bray  v.  Cobb  (1900).  E.  Dist.  N.  C,  Pumell,  J.,  91  Fed., 
102;  3  A.  B.  R.,  788;  1  N.  B.  N.,  209. 

A  mortgagee  not  boimd  to  prove  claim  in  ordinary  way.  Omission  to 
do  so  merely  forfeits  rights  to  claim  as  general  creditor.  He  may  by  peti- 
tion have  his  lien  allowed  and  paid  out  of  fund  obtained  by  sale  of  the 
property.     In  re  Goldsmith,  N.  Dist.  Texas.     Meek,  J.,  118  Fed.,  763. 

Affidavit  to  claim  administered  by  the  attorney  will  not  prevent  the 


§57a.]  CLAIMS. — PROOF  AND  ALLOWANCE.  176 

allowance  of  the  claim.     In  re  Kimball  (1899),  Dist.  Mass.,  Lowell,  J., 
100  Fed.,  777;  4  A.  B.  R.,  144;  1  N.  B.  N.,  515. 

Oral  admissions  uncorroborated  by  circumstances  not  sufficient  to 
prove  claim.  In  re  Kaldenberg  (1900),  S.  Dist.  N,  Y.,  Brown,  J.,  105 
Fed.,  232;  5  A.  B.  R.,  6. 

Proof  of  claim  must  be  made  within  the  year.  Setting  up  of  adverse 
claim  for  preferences  not  proof  of  claim.  In  re  Rhodes  (1900),  W.  Dist. 
Pa.,  Buffington,  J.,  105  Fed.,  231;  5  A.  B.  R.,  197. 

Rent  accruing  after  bankruptcy  not  a  provable  claim.  Atkins  v. 
Wilcox  (1900),  C.  C.  A.,  McCormick,  J.,  105  Fed.,  595;  5  A.  B.  R.,  313. 

Judgment  inside  of  four  months  on  a  creditor's  bill  begun  before  four 
months  gives  no  preference  to  the  complainants  in  the  bill.  In  re  Lesser 
Bros.  (1900),  C.  C.  A.,  2nd  Cir,  Shipman,  J.,  5  A.  B.  R.,  320. 

Judgment  on  attachment  -nnthin  the  four  months  vacated  although 
the  attachment  was  more  than  four  months  old.  In  re  Tobias  Lesser 
(1901),  S.  Dist.  N.  Y.,  Brown,  J.,  108  Fed.,  201;  5  A.  B.  R.,  326. 

Bankrupt  stock  broker,  who  has  pledged  stock  bought  by  him  for 
a  customer,  is  not  guilty  of  conversion.  Customer  may  prove  claim 
for  damages  as  of  date  of  adjudication.  In  re  Swi  ft  (1900),  Dist.  Mass., 
Lowell,  J.,  106  Fed.,  65;  5  A.  B.  R.,  335. 

Alimony  whether  due  or  accruing  not  a  provable  debt  or  a  discharge- 
able debt.  Audubon  v.  Shufeldt  (1901),  U.  S.  Sup.  Ct.,  Gray,  J.,  181  U.  S., 
575;  5  A.  B.  R.,  829. 

Proof  of  claim  may  be  made  by  holder  of  note  against  both  maker 
and  endorser  for  full  amount  of  note.  In  re  Swift  (1900),  Dist.  Mass., 
106  Fed.,  65;  5  A.  B.  R.,  415. 

Only  trustee  can  appeal  from  allowance  of  claim.  Foreman  v.  Burley 
(1901),  C.  C.  A.,  1st  Cir.,  Putnam,  J.,  109  Fed.,  313;  6  A.  B.  R.,  230. 

Claim  of  corporation  which  was  de  facto  a  partner  of  bankrupt  not 
allowed  as  the  contract  was  ultra  vires.  In  re  Ervin  (1901),  E.  Dist. 
Pa.,  McPherson,  J.,  109  Fed.,  135;  6  A.  B.  R.,  356. 

Proof  of  claim  where  bankrupt  dead  cannot  be  by  claimant  in  Penn. 
although  if  no  objection  be  made  claim  must  be  allowed.  In  re  Shaw 
(1901),  E.  Dist.  Pa.,  McPherson,  J.,  109  Fed.,  780;  6  A.  B.  R.,  499. 

A  wife's  claim  for  money  advanced  bankrupt  husband  cannot  be 
proved  against  his  estate  in  Mass.  hire  Talbot  (1901),  Dist.,  Mass., 
Lowell,  J.  110  Fed.  924,  7  A.  B.  R.,  29. 

Proof  of  claims  against  estate  of  bankrupt  by  member  of  his 
family  should  be  scrutinized  with  great  care.  In  re  Brewster,  (1902) 
N.  Dist.  N.  Y.,  Smith,  R.  7  A.  B.  R.  486. 


176  CLAIMS. — PROOF  AND  ALLOWANCE.  [§57b. 

Money  deposited  with  bankrupt  for  margins  not  a  provable  claim.  In 
rg  Knott.  (1901)  Dist.  Vt.  Wheeler,  J.,  109  Fed.  626;  6  A.  B.  R.,  749. 

Expenses  of  an  agreement  of  liquidation  entered  into  by  creditors 
cannot  be  proved  as  a  claim  against  the  estate.  In  re  Wertheimer, 
(1900)  S.  Dist.  N.  Y.  Adams,  J.,  6  A.  B.  R.  756; 

Claim  for  rent  under  lease  providing  that  in  the  event  lessee  became 
bankrupt  rent  for  unexpired  term  should  become  due  and  payable  — 
doubted  whether  such  clause  enforcible  in  bankruptcy  —  priority  of 
lien  upheld.  Wilson  v.  Penn.  Trust  Co.,  (1902)  C.  C.  A.  3rd.  Cir.  Ache- 
son,  J.  114  Fed.  742;  8  A.  B.  R.  169; 

Claiment  who  fraudvdently  pads  his  claim  not  allowed  to  prove  for 
anything.  In  re  Flick  (1900),  S.  Dist.  Ohio,  Thompson,  J.,  105  Fed.  603; 
5  A.  B.  R.  465; 

Note  given  by  bankrupt  to  former  partner  for  partnership  assets  not 
enforcible  against  individual  estate  of  bankrupt.  In  re  Gerson  (1901), 
E.  Dist.  Pa.,  Mason,  R.,  5  A.  B.  R.,  480. 

Claim  for  tort  may  be  waived  as  to  the  tort  and  allowed.  Amoimt  being 
certain  is  liquidated.  In  re  Filer  (1901) ,  S.  Dist.  N.  Y.,  Dexter,  R.,  5  A.  B. 
R.,  582. 

Coiirt  on  failure  of  creditors  to  apply  a  payment  on  either  of  two  claims 
exercises  its  equitable  powers  to  direct  the  application.  Zartman  v. 
Mines  (1901),  W.  Dist.  N.  Y.,  Hawley,  R.,  6  A.  B.  R.,  139. 

In  Alabama  wife  may  be  claimant  against  her  bankrupt  husband's 
estate.  Blumherg  v.  Bryan  (1901),  C.  C.  A.,  5th  Cir.,  McCormick,  J.,  107 
Fed.,  673;  6  A.  B.  R.,  20. 

A  secured  claim  is  preferred  only  to  the  extent  that  it  covers  a  past  con- 
sideration. City  Nat.  Bank  of  Greenville  v.  Bruce  (1901),  C.  C.  A.,  4th 
Cir.,  Waddill,  J.,  109  Fed.,  69;  6  A.  B.  R.,  311. 

Claim  of  a  surety  on  contract  of  bankrupt  is  provable.  Bryce  v.  Guar- 
anty Co.,  C.  C.  A.,  6th  Cir.,  Sevems,  J.,  7  A.  B.  R.,  6. 

Claim  for  damages  for  breach  of  promise  to  marry  assessable  in  bank- 
ruptcy.    In  re  Crocker  (1902),  S.  Dist.  N.  Y.,  Wise,  R.,  8  A.  B.  R.,  188. 

Proof  of  the  assigned  claim  should  be  sufficient  as  to  the  assignee  to 
estop  the  assignor.  In  re  Miner  (1902),  Dist.  Ore.,  Billinger,  J.,  114  Fed., 
998;  8  A.  B.  R.,  248. 

b  [When  claim  founded  upon  writing.]  Whenever  a 
claim  is  founded  upon  an  instrument  of  writing,  such  instru- 
ment, imless  lost  or  destroyed,  shall  be  filed  with  the  proof 
of  claim.     If  such  instrument  is  lost  or  destroyed,  a  state- 


[§57cde.]       CLAIMS — proof  and  allowance.  177 

ment  of  such  fact  and  of  the  circumstances  of  such  loss  or  de- 
struction shall  be  filed  under  oath  with  the  claim.  After 
the  claim  is  allowed  or  disallowed,  such  instrument  may  be 
withdrawn  by  permission  of  the  court,  upon  leaving  a  copy 
thereof  on  file  with  the  claim. 

As  to  form  of  affidavit  of  lost  instrument,  see  Form  No.  37. 

Contesting  claim — creditor  moving  to  re-examine  claim  of  another  has 
the  burden  of  proof.  In  re  Howard  (1900),  N.  Dist.  Cal.,  DeHaven,  J., 
100  Fed.,  630;  4  A.  B.  R.,  69;  1  N.  B.  N.,  488. 

Proceedings  on  proofs  of  claim,  burden  of  proof  on  objectors  (A) ,  (B), 
(C),  (D)  and  (F),  construed.  In  re  Sumner  (1900),  E.  Dist.  N.  Y., 
Thomas,  J.,  101  Fed.,  224;  4  A.  B.  R.,  123;  2  N.  B.  N.,  68. 

Creditors  may  examine  the  bankrupt  without  first  proving  claim.  In 
re  Jehu  (1899),  N.  Dist.  la.,  Shiras,  J.,  94  Fed.,  638;  2  A.  B.  R.,  498;  1  N. 
B.  N.,  509. 

Where  lost  note  was  payable  to  a  bank  the  note  having  been  given  by 
bankrupt,  the  bank  was  enjoined  from  indorsing  it,  but  allowed  as  a  claim. 
In  re  Jackson  (1899),  Dist.  Vt.,  Wheeler,  J.,  94  Fed.,  797;  2^A.  B.  R.,  501. 

c  [Filing  claims.]  Claims  after  being  proved  may,  for 
the  purpose  of  allowance,  be  filed  by  the  claimants  in  the 
court  where  the  proceedings  are  pending  or  before  the  ref- 
eree if  the  case  has  been  referred. 

As  to  proof  of  debts,  see  Gen.  Ord.  XXI  (3). 

d  [When  claims  allowed.]  Claims  which  have  been  duly 
proved  shall  be  allowed,  upon  receipt  by  or  upon  presenta- 
tion to  the  court,  unless  objection  to  their  allowance  shall  be 
made  by  parties  in  interest,  or  their  consideration  be  con- 
tinued for  cause  by  the  court  upon  its  own  motion. 

Bankrupt  may  file  objections  to  claims.  In  re  Ankenny  (1899),  N. 
Dist.  la.,  James,  R.,  1  N.  B.  N.,  511. 

e  [Claims  of  secured  creditors.]  Claims  of  secured  cred- 
itors and  those  who  have  priority  may  be  allowed  to  enable 
such  creditors  to  participate  in  the  proceedings  at  creditors' 
meetings  held  prior  to  the  determination  of  the  value  of 
their  securities  or  priorities,  but  shall  be  allowed  for  such 


178  CLAIMS. — PROOF  AND  ALLOWANCE.  [§57fg. 

sums  only  as  to  the  courts  seem  to  be  owing  over  and  above 

the  value  of  their  seciirities  or  priorities. 

Secured  creditor  defined.     Sec.  1  (23)  and  notes. 

Filing  proof  of  unsecured  claim  is  not  an  irrevocable  waiver  of  security. 
Proof  may  be  withdrawn  if  no  dividend  declared  and  rights  of  third 
parties  have  not  intervened.  In  re  Friedman  (1899),  S.  Dist.  N.  Y., 
Holt,  R.,  1  A.  B.  R.,  510;  1  N.  B.  N.,  208. 

Full  particulars  concerning  notes  on  which  claims  are  based,  must  be 
furnished.  In  re  Stevens  (1900),  Dist.  Vt.,  Wheeler,  J.,  104  Fed.,  323; 
5  A.  B.  R.,  11. 

/    [Objections  to  claims.]    Objections  to  claims  shall  be 

heard  and  determined  as  soon  as  the  convenience  of  the 

court  and  the  best  interests  of  the  estates  and  the  claimants 

will  permit. 

Where  proof  shows  claim  was  for  money  loaned  bankrupt  for  purpose 
of  gambling  for  mutual  benefit,  claim  not  aUowable.  Marden  v.  Phillips 
et  at.  (1900),  Dist.  Mass.,  Brown,  J.,  103  Fed.,  196;  4  A.  B.  R.,  566. 

g  [Preferred  creditors  must  smrender  preference  before 
proving  claim.]  The  claims  of  creditors  who  have  received 
preferences,  *voidable  under  section  sixty,  subdivision  b, 
or  to  whom  conveyances,  transfers,  assignments,  or  incum- 
brances, void  or  voidable,  under  section  sixty-seven,  subdi- 
vision e,  have  been  made  or  given,*  shall  not  be  allowed  un- 
less such  creditors  shall  surrender  *such*  (their)  prefer- 
ences, *conveyances,  transfers,  assignments,  or  incum- 
brances.* 

Omitted  matter  from  Act  of  1898  between  brackets.    New  matter  fouMl  between 
stars. 

As  amended  by  Act  of  1903,  see  amended   page  pott. 

Sec.  60  a  b  c  and  notes. 

The  unpopularity  of  this  clause  was  largely  instrumental  in  procuring 
the  amendments  of  1903. 

Note  the  controlling  case  of  Pirie  v.  Chi.  T.  &  T.  Co.  post  by  the 
Supreme  Court. 

Note  the  amendment  of  1903  in  this  clause  removing  the  penalizing  of 
the  "innocent"  preferential  creditor,  so  called,  supra  . 


§57g.]  CLAIMS. — PROOF  AND  ALLOWANCE.  179 

Preferences  received  without  knowledge  of  insolvency  must  be  re- 
turned before  creditor  may  prove  claim.  Innocent  creditor  on  the  same 
footing  with  guilty.  Pirie  etc.  Co.  v.  Chicago  Title  &  Trust  Co.,  U.  S. 
Sup.  Ct.,  McKcnna,  J.,  102  Fed.,  1005;  5  A.  B.  R.,  814. 

Creditor  may  not  prove  a  claim  on  notes  given  for  indebtedness  in- 
curred after  the  giving  a  note  in  full  of  indebtedness  without  surrendering 
payments  received  on  first  note.  In  re  Meyer  (1902),  N.  Dist.  Texas, 
Meek,  J.,  115  Fed.,  997;  8  A.  B.  R.,  598. 

Bank  discounting  a  note  in  good  faith  otherwise  preferential  need  not 
surrender  preference  before  proving  claim.  In  re  Wyly  (1902),  N.  Dist. 
Texas,  Meek,  J.,  116  Fed.,  38;  8  A.  B.  R.,  604;  in  re  Bullock  (1902).  E. 
Dist.  N.  C,  Pumell,  J.,  116  Fed.,  667;  8  A.  B.  R.,  646. 

Claim  for  damages  for  conversion  of  stock  cannot  be  proved  until  pay; 
ments  received  on  accovmt  are  surrendered.  In  re  Graff  (1902),  E.  Dist. 
N.  Y.,  Thomas,  J.,  117  Fed.,  343;  8  A.  B.  R.,  744. 

No  preference  shown  in  receipt  of  payment  from  third  person  on  which 
bankrupt  was  also  liable — referee's  practice  is  governed  by  rules  in  equity 
in  taking  testimony  and  he  cannot  excuse  a  witness  from  answering  ques- 
tions on  objections,  but  should  note  the  answer  and  report  the  facts. 
Dressel  v.  North  State  Lumber  Co.  (1902),  E.  Dist.  N.  C,  Pumell,  J.,  119 
Fed.,  531. 

Where  all  creditors  whose  claims  were  allowed  have  received  one 
hundred  per  cent,  creditors  whose  claims  have  been  disallowed  for  prefer- 
ence should  be  paid.  In  re  Morton  (1902),  Dist.  Mass.,  Lowell,  J.,  118 
Fed.,  908. 

Creditors  who  have  received  a  preference  must  refund  before  proving 
claims.  Worden  v.  Columbus  Electric  Co.  (1899),  Dist.  Ind.,  Baker,  J., 
96Fed.,  803;3  A.  B.  R.,  186. 

An  innocent  creditor  receiving  preferences  allowed  to  elect  whether  he 
will  surrender  or  not.  In  re  Conhaim,  Dist.  Wash.,  Handford,  J.,  100 
Fed.,  268;  3  A.  B.  R.,  249;  2  N.  B.  N.,  521. 

Fraudulent  combination  of  creditors  with  bankrupt  will  justify  court 
in  postponing  claim.  In  re  Headley  (1899),  W.  Dist.  M.,  Phillips,  J.,  97 
Fed.,  765;  3  A.  B.  R.,  272;  2  N.  B.  N.,  250. 

Preference,  although  more  than  four  months  old,  must  be  surrendered 
before  proof.  In  re  Jones  (1900),  Dist.  Mass.,  Lowell,  J.,  100  Fed.,  781; 
4  A.  B.  R.,563;2N.  B.  N.,  961. 

Clerk's  wages  covering  more  than  three  months'  time — payment  to  be 
made  thereon  within  four  months.  In  re  Henry  C.  King  Co.  (1902) ,  Dist. 
Mass.,  Lowell,  J.,  113  Fed.,  110;  7  A.  B.  R.,  619. 

No  preference  shown  in  payment  which  closed  the  account  where  a  new 


180  CLAIMS. — PROOF  AND  ALLOWANCE.  [§57g. 

transaction  is  subsequently  occurring.     In  re  Seay  (1902),  N.  Dist.  Ga., 
Newman,  J.,  113  Fed.,  969;  7  A.  B.  R.,  700. 

Payments  in  four  months  which  are  followed  by  new  credits  are  to  be 
rendered  thereby  in  estimating  the  amovmt  of  preference.  Kimball  v. 
E.  A.  Rosenham  Co.  (1902),  C.  C.  A.,  8th  Cir.,  Sanborn,  J.,  114  Fed.,  85; 
7  A.  B.  R.,  718. 

Payment  to  a  bank  on  note  discounted  by  creditor  is  a  preference  as  to 
such  creditor.  In  re  Waterbury  Furniture  Co.  (1902) ,  Dist.  Conn.,  Town- 
send,  J.,  114  Fed.,  255;  8  A.  B.  R.,  79. 

To  avoid  liability  on  preference  creditors  turned  over  note  of  bank- 
rupt to  a  bank  to  make  proof  thereon — claim  of  bank  was  disallowed.  In 
re  Levi  (1902),  W.  Dist.  N.  Y.,  Van  Vorhis,  R.,  8  A.  B.  R.,  244. 

The  fact  that  the  estate  was  enriched  as  a  whole  by  the  dealings  with  the 
creditor  in  the  four  months  will  not  relieve  him  from  the  duties  of  sur- 
rendering preferences,  there  being  no  subsequent  credits.  In  re  Colton 
Ex.  &  Import  Co.  (1902),  S.  Dist.  N.  Y.,  Adams,  J.,  115  Fed.,  158;  8 
A.  B.  R.,  257. 

Claim  of  bank  which  issued  due  bill  on  draft  of  debtor  who  had  al- 
ready made  assignment  held  it  might  retain  the  money  and  apply  it  to 
another  proceeding  in  bankruptcy,  which  was  filed  separately — set-off 
allowed  in  bankruptcy  though  not  tmder  state  law.  In  re  Meyer  &  Dick- 
inson (1901),  E.  Dist.  N.  Y.,  Thomas,  J.,  106  Fed.,  828;  5  A.  B.  R.,S593. 

Specific  application  of  payments  to  outstanding  accotmts  does  not 
prevent  payments  from  being  preferences.  In  re  Bashline  (1901),  W. 
Dist.  Pa.,  Buffington,  J.,  109  Fed.,  965;  6  A.  B.  R.,  194. 

r  General  creditor  must  surrender  his  security  before  his  claim  may  be 
allowed.     In  re  Leeman  (1899) ,  Dist.  Me.,  Sprague,  R.,  1  N.  B.  N.,  331. 

Payment  of  rent  to  landlord  not  a  preferred  claim,  he  not  being  in 
same  class  as  other  creditors.  In  re  Barrett  (1901),  S.  Dist.  N.  Y.,  Wise, 
R.,    6    A.    B.    R.,    199. 

There  is  no  time  Umit  of  four  months  to  these  preferences.  A  tran- 
saction closed  by  a  payment  in  full  is  not  to  be  carried  over  to  affect  new 
credits  and  payments.  Labor  payment  is  not  a]"transfer".  In  re  Abra- 
ham Steers  Lumber  Co.  (1901),  S.  Dist.  N.  Y.,  Thomas,  J.,  110  Fed., 
738;  6  A.  B.  R.,    315. 

A  creditor  receiving  preference  on  one  of  several  claims  of  the  same 
class  must  surrender  it  before  he  may  prove  any  of  his  claims.  Swarts  v. 
Fourth  Nat.  Bank  of  St.  Louis  (1902),  C.  C.  A.,  8th  Cir.,  Sanborn,  J.,  117 
Fed.,  1;  8  A.  B.  R,  673. 

A  creditor  who  received  preference  innocently  may  not  prove  his 
claim  without  surrender.  In  re  Schafer  (1900),  N.  Dist.  N.  Y.,  105  Fed., 
352;5A.  B.  R.,146, 


§57g.]  CLAIMS. — PROOF  AND  ALLOWANCE  iSl 

As  to  right  to  set  off  new  credits  by  the  creditor,  McKey  v.  Lee  (1901) , 
C.  C.  A.,  7th  Cir.,  Grosscup,  J.,  105  Fed.,  923;  5  A.  B.  R..  267. 

Payment  by  a  firm  to  its  creditor  preferentially  made  will  prevent 
him  from  proving  against  the  estate  of  one  of  the  members  in  bankruptcy. 
In  re  Kellar  (1901) ,  N.  Dist.  la.,  Shiras,  J.,  110  Fed.,  348;  6  A.  B.  R.,  487. 

Payment  to  servants,  clerks  and  laborers  not  a  preference  under 
this  section.  In  re  Read  &  Knight  (1901),  S.  Dist.,  N.  Y.  Dexter,  R.,7 
A.  B.  R.,  111. 

A  fraudulent  settlement  by  an  insolvent  with  his  creditors  can  be 
urged  to  defeat  allowance  of  claims  of  such  creditors  in  subsequent 
bankruptcy  proceedings  who  participated  in  the  fraud.  In  re  Knox,  S. 
Dist.  N.  Y.,  Coxe.  J.,  98  Fed.,  585;  3  A.  B.  R.,  371. 

Burden  of  proof  is  on  those  attacking  validity  of  claim.  Hill  v. 
Levy  (1900),  Dist.  Va.,  Waddill,  J.,  98  Fed.,  94;  3  A.  B.  R.,  374;  2  N.  B. 
N.,  180. 

The  creditor  receiving  payment  within  the  four  months  innocently, 
must  refvmd  before  proving  claim.  Citing  Columbus  Electric  Co.  v. 
Warden  (1899),  96  Fed.,  803;  3  A.  B.  R.,  634.  In  re  Fixen  &  Co.  (1900), 
C.  C.  A.,  9th  Cir.,  Morrow,  J.,  102  Fed.,  295;  4  A.  B.  R.,  10;  1  N.  B.  N., 
668. 

Construing  this  section  with  60  (a)  and  (b),  innocent  creditors  who 
receive  preferences  within  four  months  must  siurender  before  proving 
claims.  Strobel  v.  Knost  (1900),  S.  Dist.  la.,  Thompson,  J.,  99  Fed.,  409; 
3  A.  B.  R.,  631. 

See  to  same  effect  as  Strobel  v.  Knost,  Columbus  Electric  Co.  v.  Warden 
(1900),  C.  C.  A.,  7th  Cit.,  Jenkins,  J.,  96  Fed.,  803;  3  A.  B.  R.,  634. 

Creditors  must  come  into  court  and  submit  their  claims.  In  re  Coffin 
(1899),  E.  Dist.  Tex.,  Dillard,  R.,  2  A.  B.  R.,  344;  1  N.  B.  N.,  507. 

A  creditor  who  has  been  given  a  preference  must  surrender  it  before 
he  can  prove  his  claim.  In  re  Knost  &  Wilhelmy  (1899),  S.  Dist.  Ohio, 
Waite,  R.,  2  A.  B.  R.,  471;  1  N.  B.  N.,  403. 

In  absence  of  proof  of  insolvency  no  preference  can  be  found  to  exist 
In  re  Alexander  (1900),  N.  Dist.  Ga.,  Newman,  J.,  102  Fed.,  464;  4  A.  B. 
R.,  376;  2  N.  B.  N.,  997. 

This  section  and  60  (a)  do  not  apply  where  the  creditor  did  not  know 
he  was  insolvent  at  the  time  of  making  the  payment.  In  re  Smoke 
(1900),  S.  Dist.  N.  Y.,  Brown,  J.,  4  A.  B.  R.,  434;  2  N.  B.  N.,  831. 

Creditor  who  has  received  preference  not  entitled  to  file  petition  in 
involuntary  bankruptcy.  In  re  Rogers  Milling  Co.  (1900)  W.  Dist.  Ark., 
Rogers,  J.,  102  Fed.,  982;  4  A.  B.  R.,  540;  2  N.  B.  N.,  973. 


182  CLAIMS. — PROOF  AND  ALLOWANCE.  [§57h. 

An  innocent  preferential  creditor  may  not  be  compelled  to  surrender 
his  mortgage,  nor  be  deprived  of  the  proceeds  on  sale  of  property  free 
rom  liens.  McNair  v.  Mclntyre  (1902),  C.  C.  A.,  4th  Cir.,  Simonton, 
J.,  113  Fed.,  113;  7  A.  B.  R.,  638. 

Payment  otherwise  preferential  subject  to  set  ofif  by  subsequent 
credits.  The  entire  claim  is  not  divisable  so  as  to  affect  preferences. 
C.  S.  Morey  Mer.  Co.  v.  Schiffer,  C.  C.  A.,  8  Cir.,  Sanborn,  J.,  114  Fed.,  447 ; 
7  A.  B.  R.,  670. 

■  Preference  found  in  a  composition  many  years  prior  to  the  bank- 
ruptcy fraudulent  in  equity  in  the  amovmt  thereof  must  be  surrendered 
before  proof  of  claim.  In  re  Chaplin  (1902),  Dist.  Mass.,  Lowell,  J.,  115 
Fed.,  162;  8  A.  B.  R.,  121. 

Pa)mient  by  notes  discounted  by  creditor,  payee  becomes  preference 
£rom  time  of  discovmt,  unless  it  comes  back  to  his  hands  from  failure  of 
bankrupt  to  meet  it.  Credits  given  subsequent  to  the  preference  may 
be  proved  without  surrender.  In  re  Weissner  (1902),  E.  Dist.  N.  Y., 
Whomas.  J.,  115  Fed.,  421;  8  A.  B.  R.,  177. 

To  bar  claim  on  account  of  preference,  it  must  appear  that  there  has 
been  a  preference.  In  re  Hickey  (1901),  N.  Dist.  la.,  Shiras,  J.,  112  Fed. 
287;  7  A.  B.  R.,  282. 

Innocent  creditor  must  surrender  before  proof  where  a  new  debt  is 
not  coupled  with  it,  nor  will  the  payment  on  the  former  be  a  preferences 
In  re  Abraham  Steers  Lumber  Co.  (1901),  C.  C.  A.,  112  Fed.,  406;  7  A. 
B.  R.,  332. 

A  stock  broker  and  customer  are  merely  ordinary  debtor  and  creditor 
and  the  cvistomer  must  surrender  preferences.  In  re  Gaylord  (1902), 
E.  Dist.  M.,  Adams,  J.,  112  Fed..  668;  7  A.  B.  R.,  577. 

Judgment  by  confession  within  four  months  and  on  suit  by  trustee 
held  a  preference  creditor  must  surrender  before  proof  of  claim.  In  re 
Greth  (1902),  E.  Dist.  Pa.,  McPherson,  J.,  112  Fed.,  978;  7  A.  B.  R.,  598. 

Payment  to  laborers,  clerks  and  servants  within  four  months  not 
preference  imder  57  g,  such  persons  constituting  a  distinct  class. 
In  Read  &  Knight  (1900),  S.  Dist.  N.  Y.,  Dexter,  R.,  7  A.  B.  R.,  111. 

h  [Securities  held  by  secured  creditors — value  deter- 
mined.] The  value  of  securities  held  by  secured  creditors 
shall  be  determined  by  converting  the  same  into  money  ac- 
cording to  the  terms  of  the  agreement  pursuant  to  which 
such  securities  were  delivered  to  such  creditors  or  by  such 
creditors  and  the  trustee,  by  agreement,  arbitration,  com- 


§57ijk.]  CLAIMS. — PROOF  AND  ALLOWANCE.  183 

promise,  or  litigation,  as  the  court  may  direct,  and  the 
amount  of  such  value  shall  be  credited  upon  such  claims, 
and  a  dividend  shall  be  paid  only  on  the  unpaid  balance. 

"Secured  creditor"  defined  Sec.  1  (23)  ante  and  notes. 

Secvired  creditor  must  deduct  value  of  security  before  claim  proved. 
In  re  Little  (1901),  N.  Dist.  la.,  Shiras,  J.,  110  Fed..  621;  6  A.  B.  R.,  681. 

i  [Claims  secured  by  individual  undertaldng.]  When- 
ever a  creditor,  whose  claim  against  a  bankrupt  estate  is 
secured  by  the  individual  imdertaking  of  any  person,  fails 
to  prove  such  claim,  such  person  may  do  so  in  the  creditor's 
name,  and  if  he  discharge  such  imdertaking  in  whole  or  in 
part  he  shall  be  subrogated  to  that  extent  to  the  rights  of 
the  creditor. 

The  creditor  has  a  preference  over  a  surety  in  proving  a  claim.  In  re. 
Heyman  (1899),  S.  Dist.  N.  Y.,  Thomas,  J.,  97  Fed.,  195;  2  A.  B.  R..  651. 

A  retiring  partner,  who  pays  a  prior  debt  which  the  remaining  partner 
agreed  to  pay,  is  a  surety  as  regards  him,  and  is  subrogated  to  the  claim 
of  that  creditor.  In  re  Dillon  (1900) ,  Dist.  Mass.,  Lowell,  J.,  100  Fed., 
627;  4  A.  B.  R,  63. 

Equitable  subrogation  allowed  where  no  injustice  will  be  done  to  other 
creditors.  Courier  Journal  Job  Printing  Co.  v.  Schaefer  Meyer  Brewing 
Co.  (1900),  C.  C.  A.,  6th  Cir.,  Liu-ton,  J.,  101  Fed.,  699;  4  A.  B.  R.,  183. 

Those  coming  imder  this  section  not  allowed  the  set-off  of  section  60 
(c).  In  re  Christensen  (1900),  N.  Dist.  la.,  James,  R.,  4  A.  B.  R.,  202; 
2  N.  B.  N.,  670. 

j  [Debts  owing  to  United  States,  etc.]  Debts  owing  to 
the  United  States,  a  State,  a  county,  a  district,  or  a  munici- 
pality as  a  penalty  or  forfeitiu*e  shall  not  be  allowed,  except 
for  the  amount  of  the  pecuniary  loss  sustained  by  the  act, 
transaction,  or  proceeding  out  of  which  the  penalty  or  for- 
feiture arose,  with  reasonable  and  actual  costs  occasioned 
thereby  and  such  interest  as  may  have  accrued  thereon  ac- 
cording to  law. 

k  [Reconsideration  of  claims.]  Claims  which  have  been 
allowed  may  be  reconsidered  for  cause  and  reallowed  or  re- 


184  CLAIMS. — PROOF  AND  ALLOWANCE.         [§571inn. 

jected  in  whole  or  in  part,  according  to  the  equities  of  the 
case,  before  but  not  after  the  estate  has  been  closed. 

Burden  on  objectors  to  claim — proof  must  be  offered  before  expunging 
claim  on  objections.     In  re  Doty  (1900),  S.  Dist.  N.  Y.,  Dexter,  R.,  5 

A.  B.  R.,  58. 

This  clause  limits  right  to  apply  by  petition  to  trustee  and  to  creditors 
who  are  dissatisfied  with  the  amount  allowed  to  some  creditors  of  the 
bankrupt.  In  re  Chambers,  Calder  &  Co.  (1901),  Dist.  R.  I.,  Littlefield, 
R.,6A.  B.  R.,707. 

/    [Recovery  of  dividend  on  rejected  claim  by  trustee.] 

Whenever  a  claim  shall  have  been  reconsidered  and  re- 
jected, in  whole  or  in  part,  upon  which  a  dividend  has  been 
paid,  the  trustee  may  recover  from  the  creditor  the  amount 
of  the  dividend  received  upon  the  claim  if  rejected  in  whole, 
or  the  proportional  part  thereof  if  rejected  only  in  part. 

As  to  payment  of  dividends,  see  Sec.  65  and  notes. 

m.  [Claims  by  one  estate  against  another.]  The  claim 
of  any  estate  which  is  being  administered  in  bankruptcy 
against  any  like  estate  may  be  proved  by  the  trustee  and 
allowed  by  the  court  in  the  same  manner  and  upon  like 
terms  as  the  claims  of  other  creditors. 

Ownership  of  fund  in  two  estates  will  be  determined  by  court  and  dis- 
tributed to  one  set  of  creditors  or  the  other  according  to  the  equities. 
In  re  Rosenberg  (1902),  E.  Dist.  Pa.,  McPherson,  J.,  116  Fed.,  402;  8  A. 

B.  R.,  624. 

n  [Time  for  proving  claims.]  Claims  shall  not  be  proved 
against  a  bankrupt  estate  subsequent  to  one  year  after  the 
adjudication ;  or  if  they  are  liquidated  by  litigation  and  the 
final  judgment  therein  is  rendered  within  thirty  days  before 
or  after  the  expiration  of  such  time,  then  within  sixty  days 
after  the  rendition  of  such  judgment:  Provided,  That  the 
right  of  infants  and  insane  persons  without  guardians,  with- 
out notice  of  the  proceedings,  may  continue  six  months 
longer. 


§58a.]  NOTICE  TO  CREDITORS.  185 

As  to  procedure  in  proof  of  claim,  see  Gen.  Order  XXI. 

Refusal  to  re-open  case  for  proof  of  claim  is  discretionary.  In  re 
Wood  (1899),  E.  Dist.  N.  C,  Pumell,  J.,  95  Fed.,  946;  2  A.  B.  R.,  695; 
1  N.  B.  N.,  430. 

This  is  not  an  enlargement  of  creditors'  rights,  but  a  restriction  on 
them.  In  re  Stein  (1899),  Dist.  Ind.,  Baker,  J.,  94  Fed.,  124;  1  A.  B.  R., 
662;  1  N.  B.  N.,  339. 

This  section  must  be  construed  with  section  65  (a),  (b)  and  (c),  and 
sections  47  (a) ,  2  and  8  Subd.,  55  (b) ,  58  (a) ,  (b) ,  (c)  and  66  (a)  and  (b) .  In 
re  Stein  (1899),  Dist.  Ind.,  Baker,  J.,  94  Fed.,  124;  1  A.  B.  R.,  662;  1 
N.  B.  N.,  339. 

No  limitation  for  filing  claims  imder  composition.  In  re  Simon  Fox 
(1901),  N.  Dist.  Ohio.,  Remington,  R.,  6  A.  B.  R.,  525. 

Notice  to  creditors  must  be  sent — bankrupt  must  show  he  has  used 
diligence  to  find  the  debtors.  In  re  Dvorak  (1901),  N.  Dist.  la.,  Shiras, 
J.,  107  Fed.,  76;  6  A.  B.  R.,  66. 

Claims  must  be  filed  before  one  year,  irrespective  of  the  discharge  of 
the  bankrupt.  In  re  Liebowitz  (1901),  N.  Dist.  Tex.,  Meek.  J.,  108  Fed., 
617;  6  A.  B.  R.,  268. 

Sec.  58.     Notices  to  Creditors. 

a  [Ten  days'  notice.]  Creditors  shall  have  at  least  ten 
days*  notice  by  mail,  to  their  respective  addresses  as  they 
appear  in  the  list  of  creditors  of  the  bankrupt,  or  as  after- 
wards filed  with  the  papers  in  the  case  by  the  creditors,  un- 
less they  waive  notice  in  writing,  of 

(1)  [Examinations.]  All  examinations  of  the  bank- 
rupt; 

(2)  [Hearings.]  All  hearings  upon  applications  for  the 
confirmation  of  compositions  or  the  discharge  of  bankrupts ; 

(3)  [Meetings  of  creditors.]    All  meetings  of  creditors ; 

(4)  [Sales.]    All  proposed  sales  of  property ; 

(5)  [Dividends,]  The  declaration  and  time  of  payment 
of  dividends ; 


186  NOTICE  TO  CREDITORS.  [§58bc. 

(6)  [Final  accounts.]  The  filing  of  the  final  accounts  of 
the  trustee,  and  the  time  when  and  the  place  where  they  will 
be  examined  and  passed  upon ; 

(7)  [Compromises.]  The  proposed  compromise  of  a  ny 
controversy,  and 

(8)  [Dismissal  of  proceedings.]  The  proposed  dismissal 
of  the  proceedings. 

For  notice  of  first  meeting  of  creditors,  see  Form  No.  18. 

For  form  of  notice  of  dividend,  see  Form  41.  As  to  sales  of  property, 
see  Gen.  Order  XVIII. 

Notice  to  creditors  not  essential  when  officer  of  the  covirt  desire  im- 
mediate information  for  preservation  of  the  estate  and  examination  of 
bankrupt  for  that  ptirpose.  In  re  Abrahamson  &  Bretstein  (1899) ,  Moss, 
R.,  N.  Dist.  N.  Y.,  1  A.  B.R  .,  44;  1  N.  B.  N.,  23. 

Applicants  for  examination  of  bankrupt  subsequent  to  first  meeting 
of  creditors  must  pay  all  costs  of  examination  including  cost  of  notices 
and  maiUngthe  same.  In  re  Price  (1899),  S.  Dist.  N.  Y.,  Brown,  J., 
91  Fed.,  635;  1  A.  B.  R.,  419;  1  N.  B.  N.,  131. 

Sections  58  and  59  relate  to  dismissals.  Neustadter  v.  Chicago  Dry 
Goods  Co.  (1899),  Dist.  Wash.,  96  Fed.,  830;  3  A.  B.  R.,  96, 1  N.  B.  N.,  552. 

Examination  of  bankrupt  prior  to  first  meeting  Umited  to  preparation 
of  schedule.  In  re  Franklin  Syndicate  (1900),  E.  Dist.  N.  Y.,  Thomas. 
J.,  101  Fed.,  402;  4  A.  B.  R.,  244;  2  N.  B.  N.,  522. 

h  [First  meetings— otlier  notices.]  Notice  to  creditors  of 
the  first  meeting  shall  be  published  at  least  once  and  may  be 
published  such  number  of  additional  times  as  the  court  may 
direct;  the  last  publication  shall  be  at  least  one  week  prior 
to  the  date  fixed  for  the  meeting.  Other  notices  may  be 
published  as  the  court  shall  direct. 

As  to  selection  of  newspapers,  see  Sec.  28a. 

c  [Notices  given  by  referee.]  All  notices  shall  be  given  by 
the  referee,  unless  otherwise  ordered  by  the  judge. 


§59ab.]  PETITIONS — WHO  MAY  FILE.  187 

Sec.  59.     Who  may  File  and  Dismiss  Petitions. 

a    [Voluntary  bankrupt.]    Any  qualified  person  may  file 

a  petition  to  be  adjudged  a  voltintary  bankrupt. 

As  to  who  may  become  bankrupts,  see  Sec.  4a  and  notes  ante. 

Creditors  of  a  voluntary  bankrupt  can  not  oppose  the  adjudication. 
In  re  Jehu  (1899),  N.  Dist.  la.,  Shiras,  J.,  94  Fed.,  638;  2  A.  B.  R.,  498;  1 
N.  B.  N.,  509. 

Individual  petition  cannot  be  so  amended  as  to  include  partnership. 
A  new  petition  shovdd  be  filed.  In  re  Mercur  (1902),  E.  Dist.  Pa.,  Arch- 
bald,  J.,  116  Fed.,  655;  8  A.  B.  R.,  275. 

Members  of  firm  desiring  to  be  adjudicated  bankrupt  individually 
shovdd  each  file  petition.  In  re  Farley  &  Co.  (1902),  W.  Dist.  Va.,  Mc- 
Dowell, J.,  115  Fed.,  359;  8  A.  B.  R.,  266. 

A  petition  in  bankruptcy  may  not  be  amended  in  order  to  insert  a  fur- 
ther and  later  act  of  bankruptcy.  In  re  Sears  (1902),  C.  C.  A.,  2nd  Cir., 
117  Fed.,  294;  8  A.  B.  R.,  713. 

Lunatic  cannot  file  his  petition  by  his  committee.  In  re  Eisenberg 
(1902),  S.  Dist.  N.  Y.,  Adams,  J.,  117  Fed.,  786;  8  A.  B.  R.,  551. 

h  [Involuntary  bankrupt.]  Three  or  more  creditors  who 
have  provable  claims  against  any  person  which  amoimt  in 
the  aggregate,  in  excess  of  the  value  of  securities  held  by 
them,  if  any,  to  five  hundred  dollars  or  over ;  or  if  all  of  the 
creditors  of  such  person  are  less  than  twelve  in  number,  then 
one  of  such  creditors  whose  claim  equals  such  amoimt  may 
file  a  petition  to  have  him  adjudged  a  bankrupt. 

As  to  claims  which  may  be  proved,  see  Sec.  57  ante. 
As  to  form  of  involuntary  petition,  see  Form  No.  3  post. 

Creditors,  parties  to  general  assignment  proceedings,  estopped  from 
filing  involuntary  petition.  In  re  Simonson  (1899),  Dist.  Ky.,  Evans, 
J.,  92  Fed.,  904;  1  A.  B.  R.,  197;  1  N.  B.  N.,  549. 

Bankruptcy  courts  are  reluctant  to  admit  estoppel  against  creditors 
and  there  must  be  weighty  reasons  for  invoking  it.  In  re  Simoncon 
(1899),  Dist.  of  Ky.,  Evans,  J.,  92  Fed.,  904;  1  A.  B.  R.,  197;  1  N.  B.  N., 
549. 

A  second  creditor  may  join  in  an  involuntary  petition  after  filed — 
all  rights  of  amendment  are  in  the  second  credit  ox  In  re  D.A.  Taylor  (1899) 
N.  Dist.  N.  Y.,  King,  R.;  1  N.  B.  N.,  412. 


l§g  PETITIONS — WHO  MAY  FILE.  [§59  b. 

Debt  attempted  to  be  satisfied  by  a  void  transfer  should  be  counted 
when  determining  jurisdictional  facts.  In  re  Tirre  (1899),  Sou.  Dist. 
N.  Y.,  Brown,  J.,  96  Fed.,  425;  1  N.  B.  N.,  402;  2  A.  B.  R.,  493. 

A  creditor  whose  claim  is  unliquidated  can  not  file  petition.  In  re 
Brinckman  (1900),  Dist.  Ind.,  Baker,  J.,  103  Fed.,  65;  4  A.  B.  R.,  551; 
3  N.  B.  N.,  28. 

Adjudication  which  was  based  on  proof  of  claim  of  petitioners  after  the 
contest  of  such  claim  is  res  ad  judicata  against  the  estate  and  not  open  to 
attack  by  creditors.  Creditors  have  right  to  contest  adjudication  and 
are  concluded  by  all  matters  directly  in  issue  and  determined  by  the 
decree.  Collateral  matters  although  proved  are  not  res  adjudicata.  In  re 
Henry  Ulfelder  Clothing  Co.  (1899),  N.  Dist.  Cal.,  De  Haven,  J.,  98  Fed.. 
409;  3  A.  B.  R.,  425. 

See  the  cases  of  in  re  Moyer  (1899),  E.  Dist.  Pa.,  McPherson,  J.,  1  A. 
B.  R.,  577;  in  re  Arnold  (1899),  94  Fed.,  1001;  2  A.  B.  R.,  180;  1  N.  B.  N.. 
334;  in  re  Richards,  2  A.  B.  R.,  518. 

Involuntary  bankruptcy  of  corporation  which  executes  written  admis- 
sion and  consent — rule  12  mtist  be  observed,  subpCEna  issued  and  rule 
entered  to  allow  any  creditor  to  appear  and  object.  In  re  Humbert  Co. 
(1900),  N.  Dist.  la.,  Shiras,  J..  100  Fed..  439;  4  A.  B.  R.,  76. 

Duplicate  copy  of  petition  must  be  filed  within  the  four  months; 
clerk's  docket  should  show  the  filing  of  the  same.  In  re  Dupree  (1899) , 
E.  Dist.  N.  C,  PumeU,  J.,  97  Fed.,  28;  1  N.  B.  N.,  513. 

Creditor  who  assented  to  a  general  assigimient  not  permitted  to  be- 
come petitioning  creditors  in  involuntary  bankruptcy  proceedings  against 
the  assignor.  In  re  Romanow  &  Feingold  (1899),  N.  Dist.,  Mass.,  Lowell, 
J.,  IN.  B.  N.,  213. 

Creditors  may  join  in  the  petition  subsequent  to  its  original  filing 
though  doing  so  more  than  four  months  after  the  act  of  bankruptcy.  In 
re  Romanow  &  Feingold  (1899),  N.  Dist.  Mass.,  Lowell,  J.,  1  N.  B.  N., 
213. 

An  Indian  may  file  petition  in  bankruptcy.  An  interest  in  tribal  land 
not  such  as  may  be  reached  by  creditors  of  bankrupt.  In  re  Rennie,  Dist. 
I.  T.  (1899),  2  A.  B.  R.,  182;  1  N.  B.  N.,  385. 

Dismissal  of  involvmtary  petitions  on  appUcation  of  majority  of  peti- 
tioning creditors  cannot  be  allowed  against  objection  of  minority  cred- 
itors. In  re  Cronin  (1899),  Dist.  Mass.,  Lowell,  J.,  98  Fed.,  584;  3  A.  B. 
R.,  652. 

Petitioning  creditors  who  file  claims  in  assignment  proceedings  in  the 
state  court  are  not  estopped  where  they  were  not  in  possession  of  full 
knowledge  of  the  fraudtUent  conduct  of  the  bankrupt  at  the  time  they 


§59  b.]  PETITIONS — WHO  MAY  FILE.  189 

acquiesced  in  the  assignment.     In  re  Curtis  (1899),  C.  C.    A.,    7th  Cir., 
94  Fed.,  630;  2  A.  B.  R.,  226;  I  N.  B.  N.,  357. 

Where  the  number  of  creditors  petitioning  for  adjudication  in  bank- 
ruptcy are  insufficient  at  the  time  of  filing  to  support  the  same  creditors 
may  join  any  time  before  adjudication.  In  re  Romanow  (1899),  Dist. 
Mass.,  Lowell,  J.,  92  Fed.,  510;  1  A.  B.  R.,  461;  1  N.  B.  N.,  213. 

A  petition  may  not  be  amended  so  as  to  insert  acts  of  bankruptcy  sub- 
sequent to  one  originally  set  up.  In  re  Sears  (1902),  C.  C.  A.,  2nd  Cir., 
117  Fed.,  294;  8  A.  B.  R.,  559. 

When  there  are  more  than  twelve  creditors  three  creditors  are  required 
to  join  in  the  petition  in  order  to  give  the  court  jurisdiction.  The  suffi- 
ciency of  the  number  of  creditors  is  a  jurisdictional  fact  which  may  be 
questioned  collaterally.  Buckingham  v.  Schuylkill  Plush  &  Silk  Co. 
(1902),  Sup.  Ct.  N.  Y.,  Blanchard,  J.,  38  N.  Y.,  Misc.,  305. 

Act  of  bankruptcy  committed  before  November  1,  1898,  injunction  in 
State  Court  to  restrain  creditor  from  disposing  of  goods  received  as  a 
preference  voidable  vmtil  involtintary  provisions  of  the  act  came  into 
effect,  denied.  Ellis  v.  L.  Hays  Saddlery  &  Leather  Co.  (1902),  Sup.  Ct. 
Kans.,  Smith,  J.,  69  Pac,  165. 

Involuntary  petition  can  not  be  filed  by  attacking  creditor  without 
first  abandoning  an  attachment  lien.  One  petitioner  can  not  buy  up 
claims  to  file  as  co-petitioners.  In  re  Burlington  Malting  Co.  (1901),  E. 
Dist.  Wis.,  Seaman,  J.,  109  Fed.,  777;  6  A.  B.  R.,  369. 

Petition  must  be  signed  by  at  least  three  creditors  where  there  are 
twelve  or  more — no  cause  of  complaint  that  bankrupt  has  solicited  his 
creditors  not  to  join  in  petition.  In  re  Brown  (1901) ,  E.  Dist.  Mo.,  Rogers, 
J.,  Ill  Fed.,  979;  7  A.  B.  R.,  102. 

After  filing  involuntary  petition  debtor  reduced  his  indebtedness  to 
the  petitioners  to  less  than  five  hundred  dollars  by  payment.  Held 
that  the  jurisdiction  was  not  thereby  lost.  Spencer  v.  Duplan  Silk  Co. 
(1902),  E.  Dist.  Pa.,  115  Fed.,  689;  7  A.  B.  R.,  563. 

Unliquidated  disputed  claim  may  not  be  used  for  filing  involuntary 
petition.  In  re  Big  Meadows  Gas  Co.  (1902),  W.  Dist.  Pa.,  Buffington, 
J.,  113  Fed.,  974;  7  A.  B.  R.,  697. 

Petitioner  in  involuntary  proceedings  may  not  withdraw  so  as  to 
prevent  adjudication.  In  re  Beddingfield  (1899),  N.  Dist.  Ga., Newman 
J.,  96  Fed.,  190;  2  A.  B.  R.,  355;  1  N.  B.  N.,  385. 

Other  creditors  may  join  by  agreement  and  create  the  necessary 
amount.  In  re  Beddingfield  (1899),  96  Fed.,  190;  2  A.  B.  R.,  355;  1  N. 
B    N.,  385. 

Debts  paid  by  bankrupt  in  fraud  of  the  act  included  in  computing  the 


190  PETITIONS — WHO  MAY  FILE.  [§59c. 

requisite  amount  for  adjudication.     Re  F.  F.  Cain  (1899),  N.  Dist.  111. 
Eastman,  R.,  1  N.  B.  N.,  389. 

Allegations  of  involimtary  petition  must  be  allegations  of  fact  and 
made  with  reasonable  and  sufficient  certainty.  It  must  allege  that 
preferential  payments  to  a  creditor  were  made  with  intent  to  prefer  such 
creditor.  In  re  Ewing  (1902),  C.  C.  A.,  2nd  Cir.,  115  Fed,,  707;  8  A.  B. 
R.,  269. 

Petition  held  sufficient  if  it  did  not  specify  the  business  an  alleged 
bankrupt  was  engaged  in  where  question  was  raised  on  demurrer,  and 
the  demurrer  filed  as  part  of  the  answer  on  which  the  parties  went  to  a 
final  hearing.  In  re  Stem  (1902),  C.  C.  A.,  2nd  Cir.,  Townsend,  J.,  116 
Fed.,  604;  8  A.  B.  R.,  569. 

Manner  and  details  of  concealment  need  not  be  averred.  In  re  Bellah 
(1902),  Dist.  of  Del.,  Bradford,  J.,  116  Fed.,  69;  8  A.  B.  R.,  310. 

Defective  petition  which  does  not  allege  an  act  of  bankruptcy  cannot 
be  amended  so  as  to  state  statutory  grounds.  White  v.  Bradley  Timber 
Co.  (1902),  S.  Dist.  Ala.,  Toulmin,  J.,  116  Fed.,  768. 

Application  for  reinstatement  of  involuntary  petition  which  was  dis- 
missed denied.  In  re  Jemison  Mercantile  Co.  (1902),  C.  C.  A.,  5th  Cir., 
McCormick,    J.,     112     Fed.,     966;     7     A.     B.     R.,     588. 

Jurisdiction  in  involuntary  bankruptcy  attaches  to  cotirt  in  which 
petition  was  first  filed  in  point  of  time.  In  re  Elmira  Steel  Co.  (1901), 
N.  Dist.  N.  Y.,  109  Fed.,  456;  5  A.  B.  R.,  484. 

Verification  of  petition  sufficient  if  made  by  coudsel,  if  counsel  more 
familiar  with  facts  than  c.ient.  In  re  Chequasset  Lumber  Co.  (1901), 
S.  Dist.  N.  Y.  Adams,  J.,  112  Fed.,  56;  7  A.  B.  R.  87. 

Petitioner  who  has  a  preference  disqualified  tmless  he  make  restitution. 
In  re  Gillette  &  Prentice  (1900),  W.  Dist.  N.  Y.,  Hazel,  J.,  104  Fed.,  769; 
5  A.  B.  R.,  119. 

c  [Petitions  in  duplicate.]  Petitions  shall  be  filed  in 
duplicate,  one  copy  for  the  clerk  and  one  for  service  on  the 
bankrupt. 

The  filing  of  a  duplicate  copy  of  the  petition  is  necessary  to  confer  jur- 
isdiction. A  suit  may  be  dismissed  on  a  failure  to  do  so.  In  re  Steven- 
son, (1899)  Dist.  Del.,  Bradford,  J.,  94  Fed.,  110;  2  A.  B.  R.,  66;  1  N. 
B.  N.,  313. 

If  duplicates  not  filed  time  permit  of  act  does  not  begin  to  run.  In  re 
Stevenson  (1899).  Dist.  Del.,  Bradford,  J.,  94  Fed.,  110;  2  A.  B.  R.,  66; 
1  N.  B.  N.,  313. 


§59def.]  PETITIONS — WHO  MAY  FILE.  191 

d  [Notice  to  other  creditors.]  If  it  be  averred  in  the 
petition  that  the  creditors  of  the  bankrupt  are  less  than 
twelve  in  number,  and  less  than  three  creditors  have  joined 
as  petitioners  therein,  and  the  answer  avers  the  existence 
of  a  larger  number  of  creditors,  there  shall  be  filed  with  the 
answer  a  list  under  oath  of  all  the  creditors,  with  their  ad- 
dresses, and  thereupon  the  court  shall  cause  all  such  cred- 
itors to  be  notified  of  the  pendency  of  such  petition  and 
shall  delay  the  hearing  upon  such  petition  for  a  reasonable 
time,  to  the  end  that  parties  in  interest  shall  have  an  oppor- 
timity  to  be  heard ;  if  upon  such  hearing  it  shall  appear  that 
^  sufficient  ntimber  have  joined  in  such  petition,  or  if  prior 
to  or  during  such  hearing  a  sufficient  ntimber  shall  join 
therein,  the  case  may  be  proceeded  with,  but  otherwise  it 
shall  be  dismissed. 

Petitions  in  involuntary  cases  may  be  amended  so  as  to  include  suf- 
ficient number  of  creditors.  In  re  Mercur,  E.  Dist.  Pa.,  McPherson,  J., 
95  Fed.,  634;  2  A.  B.  R..  626. 

As  to  preparation  of  schedules  in  involuntary  cases  see  Gen.  Order 
IX. 

e  [Computing  number  of  creditors.l  In  computing  the 
number  of  creditors  of  a  bankrupt  for  the  purpose  of  de- 
termining how  many  creditors  must  join  in  the  petition, 
such  creditors  as  were  employed  by  him  at  the  time  of  the 
filing  of  the  petition  or  are  related  to  him  by  consanguinity 
or  affinity  within  the  third  degree,  as  determined  by  the 
common  law,  and  have  not  joined  in  the  petition,  shall  not 
be  counted. 

/  [Appearance  of  creditors.]  Creditors  other  than  orig- 
inal petitioners  may  at  any  time  enter  their  appearance  and 
join  in  the  petition,  or  file  an  answer  and  be  heard  in  oppo- 
sition to  the  prayer  of  the  petition. 

This  section  construed  in  re  Stein,  C.  C.  A.,  2nd  Cir.,  5  A.  B.  R.,  288. 
Petition  of  insufficient  number  of  creditors  gives  jurisdiction  that  may 


192  PREFERRED  CREDITORS.  [§60a. 

be  fortified  by  other  creditors  by  joining  in  later.     In  re  Mammoth  Pine 
Lumber  Co.  (1901),  W.  Dist.  Ark.,  Rogers,  J.,  109  Fed.,  308;  6  A.  B.  R.,84. 

g  [Notice  of  dismissal.]  A  voluntary  or  involuntary 
petition  shall  not  be  dismissed  by  the  petitioner  or  peti- 
tioners or  for  want  of  prosecution  or  by  consent  of  parties 
until  after  notice  to  the  creditors. 

As  to  priority  of  petitions,  see  Gen.  Order  VII. 

Dismissal  of  voluntary  petition  allowed  in  absence  of  estate.     In  re 
Hebbart  (1901),  Dist.  Vt.,  Wheeler,  J.,  104   Fed.,  322;  5  A.   B.   R.,   8. 

Application  for  reinstatement  of  proceedings  in  involuntary  proceed- 
ings on  the  ground  of  want  of  notice  may  after  a  year  be  denied  on 
accovmt  of  unreasonable  delay.  7«  r^  Jenison  Mer.  Co.  (1902),  C.  C.  A., 
6th  Cir.,  McCormick  J.,  112  Fed.,  966;  7  A.  B.  R.,  588. 

Sec.  60.     Preferred  Creditors. 

a  [What  constitutes  a  preference.]  A  person  shall  be 
deemed  to  have  given  a  preference  if,  being  insolvent,  he 
has,  *within  four  months  before  the  filing  of  the  petition,  or 
after  the  filing  of  the  petition  and  before  the  adjudication*, 
procured  or  suffered  a  judgment  to  be  entered  against  him- 
self in  favor  of  any  person,  or  made  a  transfer  of  any  of  his 
property,  and  the  effect  of  the  enforcement  of  such  judg- 
ment or  transfer  will  be  to  enable  anyone  of  his  creditors  to 
obtain  a  greater  percentage  of  his  debt  than  any  other  of 
such  creditors  of  the  same  class.  *Where  the  preference 
consists  in  a  transfer,  such  period  of  four  months  shall  not 
expire  until  four  months  after  the  date  of  the  recording  or 
registering  of  the  transfer,  if  by  law  such  recording  or  reg- 
istering is  required.* 

As  amended  by  law  of  1903,  see  Amendment,  page  ,  post.  New 
matter  found  between  stars. 

See  57  g,  ante. 

Subdivisions  a  and  b  should  be  construed  together.  A  preference 
cannot  be  set  aside  if  the  creditor  had  no  reasonable  cause  to  believe  the 
debtor  was  insolvent.  In  re  Ebert  (1899),  W.  Dist.  Wis.,  Lewis,  R.,  1 
A.  B.  R.,  340. 


§60a.]  PREFERRED  CREDITORS.  193 

A  preference  is  a  payment  made  by  a  debtor  within  four  months,  the 
result  of  which  would  be  to  give  the  payee  a  greater  percentage,  although 
innocently  received.  In  re  ICnost  &  Wilhelmy  (1899),  S.  Dist.  Ohio, 
Waite,  R.,  2  A.  B.  R.,  471;  1  N.  B.  N.,  403. 

The  assignment  of  fire  insurance  policies  as  collateral  to  secure  present 
of  future  advances  of  money  or  goods,  is  not  giving  a  preference  within 
the  meaning  of  the  bankruptcy  act.  Sections  60  and  67  compared. 
In  re  Little  River  Lumber  Co.  (1899),  W.  Dist.  Ark.,  Rodgers,  J.,  92  Fed.. 
585;  1  A.  B.  R.,  483;  1  N.  B.  N.,  306. 

Payment  of  money  to  a  creditor  on  account  constitutes  a  transfer. 
In  re  Christenson  (1900),  N.  Dist.  la.,  James,  R.,  101  Fed.,  243;  4  A. 
B.  R.,  202;  2  N.  B.  N.,  695. 

No  set-off  allowed  those  coming  under  Section  59  (g) .  In  re  Christen- 
sen,  N.  Dist.  la.,  James,  R.,  4  A.  B.  R.,  262;  2  N.  B.  N.,  695. 

Payment  on  claim  for  wages  not  preference.  In  re  Fewerlicht  (1902) 
S.  Dist.  N.  Y.,  Smith,  J.,  8  A.  B.  R.,  550. 

Liability  of  bankrupt  not  a  claim  tmless  liability  fixed  by  notice  and 
protest.     In  re  Edson  (1902) ,  Dist.  Vt.,  Wheeler,  J.,  119  Fed.,  487. 

In  pleading  it  is  sufficient  to  allege  that  the  transfer  had  the  prohibited 
effect  and  the  defendant  had  reasonable  cause  to  know — matters  tending 
to  prove  need  not  be  set  out  in  detail — transfer  of  securities  by  bankrupt 
to  one  who  thereupon  endorses  bankrupt's  note  within  four  months, 
which  is  delivered  to  a  creditor  is  preferential  payment  where  knowledge 
is  brought  home  to  the  creditor.  Crooks  v.  Peoples  National  Bank  (1899) , 
Sup.  Ct.  N.  Y.,  Herrick,  J.,  46  N.  Y.,  App.,  Div.  335;  see  the  same  case 
(1902),  72  N.  Y.  App.,  Div.  331. 

Creditor  must  have  had  actual  knowledge  of  insolvency  or  such  cir- 
cumstances as  would  make  reasonably  prudent  man  suspect  insolvency. 
Sirrine  v.  Stoner-Mar shall  Co.  (1902),  Sup.  Ct.  S.  C,  Jones,  J.,  42  S.  E., 
432. 

Payment  no  preference  unless  creditor  had  knowledge.  Sherman  v. 
Luckhardt  (1902),  Sup.  Ct.  Kans.,  Doster,  J.,  70  Pac,  702. 

The  date  of  delivery  of  deed  not  the  date  of  recording  is  date  of  trans- 
fer in  case  of  preference.  Dean  v.  Plane  el  al.  (1902),  Sup.  Ct.  111.,  Cart- 
wright,  J.,  195  111.,  495. 

There  must  be  an  intent  to  give  a  preference — facts  showing.  Benedict 
V.  Duhel  (1902),  Sup.  Ct.  N.  Y.,  McLaughlin,  J.,  79  N.  Y.,  Supp.,  205. 

Adjudication  on  ground  of  fraudulent  preference  is  res  adjudicata  as  to 
insolvency  and  notice  of  bankrupt,  but  not  as  to  the  creditor.  Laundry 
V.  First  Nat.  Bank  of  Junction  City  (1903),  Sup.  Ct.  Kans.,  71  Pac,  259. 

A  chattel  mortgage  held  for  a  year  unrecorded  but  possession  taken 


194  PREFERRED  CREDITORS.  [§60a. 

within  four  months' is  a  preferential  transfer  dating  as  of  the  possession. 
Landis  v.  McDonald  (1901),  Ct.  App.,  Mo.,  Ellison,  J.,  80  Mo..  App.,  335; 
Babbitt  v.  Kelly  (1902),  Ct.  App.,  Mo.,  Good.,  J.,  70  S.  W.,  385. 

If  transferee,  as  a  reasonably  prudent  business  man,  believed  debtor 
was  insolvent  or  intended  to  give  an  advantage  to  one  creditor  over 
another  a  preference  is  given.  Johnson  v.  Cohn  (1902) ,  Sup.  Ct.  N.  Y., 
Gildersleeve,  J.,  39  N.  Y.,  Misc.,  189. 

Merely  giving  a  renewal  chattel  mortgage  does  not  constitute  a  prefer- 
ence. Intent  to  give  is  a  question  of  fact.  Deland  v.  Mittur  and  Cliany 
Bank  (1903),  Sup.  Ct.  Iowa,  Diemer,  J.,  93  N.  W.,  304. 

Preference  not  shown  by  procuring  of  judgment  and  levy  tmless  some 
fraud  appears — query  whether  a  confession  of  judgment  made  but  not 
entered  before  the  passage  of  the  act  is  open  to  challenge.  Jones  v. 
Roch  and  Maloy  (1898),  Dist.  Ct.  of  Pa.,  Clayton,  J.,  8  Pa.,  Dist.  Rep., 
714. 

Knowledge  on  the  part  of  bank  of  the  insolvency  of  the  debtor  will  make 
the  payment  recoverable.  Pepperdine  v.  Nat.  Exchange  Bank  (1900), 
Ct.  of  App.  of  Mo.,  Bland,  J.,  84  Mo.  App.,  234. 

No  preference  vmder  the  Bankruptcy  Act  by  assignment  of  book  ac- 
counts as  collateral  security.  Young  v.  Upson  (1902),  S.  Dist.  N.  Y., 
Hazel,  J.,  115  Fed.,  192;  8  A.  B.  R.,  377. 

There  can  be  no  preference  unless  the  one  receiving  preference  had  rea- 
sonable cause  to  believe  a  preference  was  intended.  Levor  v.  Setter 
(1902),  Sup.  Ct.  N.  Y.,  Patterson,  J.,  8  A.  B.  R.,  459;  Peck  v.  Council 
(1902) ,  Superior  Ct.  Pa.,  Porter,  J.,  8  A.  B.  R.,  500.  In  re  Harpke  (1902), 
C.  C.  A.,  7th  Cir.,  Grosscup,  J.,  116  Fed.,  295;  8  A.  B.  R.,  535. 

Sec  60a  controUs  57g.  Swarts  v.  Fourth  Nat.  Bank  of  St.  Louis  (1902), 
C.  C.  A.,  8th  Cir.,  Sanborn,  J.,  117  Fed.,  1 ;  8  A.  B.  R.,  673. 

Test  of  a  preference  is  one  creditor  receiving  more  than  others  of  the 
same  class  with  knowledge  idem. 

"Creditors  of  the  same  class  discussed  idem. 

Lien  may  be  a  pfeference.  In  re  Belding  (1902),  Dist.  Mass.,  Lowell, 
J.,  116  Fed.,  1016;  8  A.  B.  R.,  718. 

No  preference  shown  where  transaction  between  bankrupt  and  cred- 
itor during  the  four  months  swells  the  bankrupt's  estate,  the  payment  to 
the  creditor  having  been  made  ^vithout  knowledge  of  insolvency.  Ja- 
quith  V.  Alden  (1902),  Dist.  Mass.,  Lowell,  J..  118  Fed.,  270;  9  A.  B.  R., 
165. 

Claim  by  bank  as  endorser  of  note  of  bankrupt  taken  in  due  course  of 
business  is  not  effectual  by  preferences  which  exist  against  the  endorser. 
In  re  Levi  (1903),  W.  Dist.  N.  Y.,  Hazel,  J.,  9  A.  B.  R.,  175. 


§60a.]  PREFERRED  CREDITORS.  195 

Creditor  must  surrender  paj'ment  on  a  note  discounted  at  a  bank 
within  the  four  months.  In  re  Waterbury  Furniture  Co.  (1902),  Dist. 
Conn.,  Townsend,  J.,  114  Fed.,  255;  8  A.  B.  R.,  79. 

Mortgage  cannot  be  attached  if  both  parties  believed  the  bankrupt  to 
be  solvent  and  he  was  apparently  solvent.  Stratton  v.  Lawson  (1902), 
Sup.  Ct.  Wash.,  Mount,  J.,  27  Wash.,  310. 

Facts  held  not  to  show  conveyance  in  contemplation  of  bankruptcy. 
Harmon  v.  Feldheim  et  al.  (1902),  Sup.  Ct.  Mich.,  91  N.  W.,  744. 

Complainant  must  allege  that  the  effect  of  the  transfer  is  to  give  the 
creditor  a  greater  percentage  of  his  debt.  Schryer  v.  Citizens  Nat.  Bank 
(1902),  Sup.  Ct.  N.  Y.,  LaughUn,  J.,  74  N.  Y.,  App.,  Div.  478. 

Debtor  must  have  had  reasonable  cause  to  believe  in  the  insolvency  of 
the  bankrupt  or  had  reasonable  cause  so  to  do.  Taft  v.  Fourth  Nat. 
Bank  (1900),  C.  C.  Ohio,  S  Ohio  N.  P.,  59;  10  Ohio  Die,  Sup.  C.  P.,  405. 
Harrison  v.  Walker  (1902),  Sup.  Ct.  Mich.,  Montgomery,  J.,  91  N.  W., 
1025. 

If  a  bankrupt  gives  an  innocent  person  security  for  an  accommodation 
indorsement  of  his  note  there  is  such  consideration  flowing  from  the  act  of 
endorsement  that  even  if  bankruptcy  occurs  within  the  four  months  the 
endorser  can  hold  the  securities  to  the  extent  of  reimbursing  himself  to 
the  amount  of  the  note  which  he  has  become  liable  to  pay.  Cooks  v.  Peo- 
ples Nat.  Bank  (1901),  Sup.  Ct.  N.  Y.,  Houghton,  J.,  34  N.  Y.  Misc.,  450. 

Payment  of  debt  in  money  within  four  months  held  a  transfer  which  a 
trustee  could  set  aside.  Sherman  v.  Luckhardt  (1902),  Mo.  Ct.  App., 
Smith,  J.,  70  S.  W.,  388. 

Delivery  of  security  by  insolvent  to  a  third  person  to  guaranty  notes  on 
which  he  is  liable  is  not  a  preference.  Crook  v.  Peoples  Nat.  Bank  (1899) , 
Sup.  Ct.  N.  Y.,  Russell,  J.,  29  N.  Y.,  Misc.,  30. 

Execution  of  judgment  notes  and  permitting  same  to  be  entered  against 
him  is  not  act  of  bankruptcy.  In  re  Anderson  (1900) ,  W.  Dist.  Pa.,  Buff- 
ington,  J.,  9  Pa.  Dist.  Rep.,  504. 

Transfer  of  property  constituting  a  preference — facts  showing.  Allen 
V.  French  (1901),  Sup.  Ct.  Mass.,  Barker,  J.,  178  Mass.,  539. 

Whether  debtor  has  reasonable  cause  to  believe  his  debtor  insolvent 
is  a  question  of  fact.  Bondinote  v.  Hamann  (1902),  Sup.  Ct.  la.,  Water- 
man, J.,  90  N.  W.,497. 

Innocent  creditors  receiving  preferences  not  prejudiced.  In  re  Rat- 
lifi  (1901),  E.  Dist.  N.  C,  Pumell,  J.,  107  Fed.,  80;  5.  A.  B.  R.,  713. 

Preference  to  be  unlawful  must  be  given  for  antecedent  debt.  In  re 
Davidson  (1901),  S.  Dist.  la.,  McPherson,  J.,  109  Fed.,  882;  5  A.  B. 
R.,  528. 


196  PREFERRED  CREDITORS.  [§60a. 

A  creditor  who  by  execution  collects  part  of  his  claim  has  obtained 
such  a  preference  as  forbids  his  proving  his  claim  without  first  remitting 
In  re  Gallagher  (1901),  Dist.  Mass.,  Farmer,  R.,  6  A.  B.  R.,  255. 

A  transfer  of  an  insolvent  which  enables  the  creditor  to  obtain  a  greater 
privilege,  is  a  preference.  In  re  Keller  (1901),  Dist.  la.,  Shiras,  J.,  109 
Fed.,  118;  6  A.  B.  R.,  334. 

The  nile  which  starts  the  time  running  from  the  date  of  the  record  ap- 
plies only  to  preferences  which  are  acts  of  bankruptcy,  and  not  to  pref- 
erences which  are  voidable  under  section  60  (a)  and  (b) .  In  re  Mersman 
(1901),  W.  Dist.  N.  Y.,  Hotchkiss,  R.,  7  A.  B.  R.,  46. 

Proceeds  of  execution  collected  before  bankruptcy  not  recoverable  by 
trustee  unless  creditor  had  reasonable  cause  to  believe  insolvency.  In  re 
Blair  et  al.  (1900),  S.  Dist.  N.  Y  ,  Brown,  J.,  99  Fed.,  76;  4  A.  B.  R.,  220. 
2  N.  B.  N.,  890. 

Surrender  of  firm  note  and  acceptance  of  individual  note  of  one  member 
more  than  four  months  before  filing  of  petition,  and  subsequent  judgment 
not  a  preference  by  the  firm.  In  re  Lehigh  Lumber  Co,  et  al.  (1900),  W; 
Dist.  Pa.,  Buflington,  J.,  101  Fed.,  216;  4  A.  B.  R.,  221;  2  N.  B.  N.,  512. 

Preference  shown  in  surrendering  goods  sold  to  bankrupt  under  pro- 
vision that  vendors  retain  lien  for  piu-chase  price.  In  re  Klingman  (1900) , 
S.  Dist.  la.,  Shiras,  J.,  101  Fed.,  691;  4  A.  B.  R.,  254;  1  N.  B.  N.,  294. 

Where  there  are  several  accounts  it  cannot  be  claimed  that  the  pref- 
erence is  to  be  disregarded  because  the  account  is  closed.  In  re  Sloan 
(1900),  S.  Dist.  la.,  Shiras,  J.,  102  Fed.,  116;  4  A.  B.  R.,  356. 

Creditor  holding  security  urder  Section  60  which  was  cut  off  by  fore. 
closxu"e  of  a  prior  mortgage  need  not  surrender  security  before  proving 
claim.  In  re  Stendts  (1899),  N.  Dist.  N.  Y.,  Hotchkiss,  R.,  1  N.  B. 
N.,  609. 

No  preference  fotmd  in  a  transfer  by  the  bankrupt  to  a  judgment 
creditor  of  such  property  because  the  transferee  was  not  a  firm  creditor. 
In  re  Rudnick  (1900),  Dist.  Wash.,  Hanforu,  J.,  102  Fed.,  750;  4  A.  B. 
R.,  531;2N.  B.  N.,  769; 

It  is  no  preference  for  one  partner  to  buy  out  his  co-partner's  in- 
terest although  the  proceeds  may  have  been  used  in  the  making  of  pref- 
erential payments.  In  re  Kindt  (1900),  S.  Dist.  la.,  Shiras,  J.,  101  Fed., 
107;  4  A.  B.  R.,  148;  2  N.  B.  N.,  306. 

If  acts  tend  to  defeat  delay  or  hinder  the  operation  of  the  bankrupt 
law  a  preference  will  be  created.  In  re  D.  A.  Taylor  (1899),  N.  Dist. 
N.  Y.,  King,  R.;  1  N.  B.  N.,  412. 

Rent  payment  is  not  ordinarily  a  preference.  In  re  Lange  (1900). 
S.  Dist.  N.  G.,  Brown,  J.,  97  Fed.,  197;  3  A.  B.  R.,  231;  2  N.  B.  N.,  85, 


§60b.]  PREFERRED  CREDITORS.  197 

Preference  not  found  where  the  effect  of  the  joint  operation  was  to 
increase  the  estate,  although  the  creditor  did  receive  sundry  payments 
within  the  four  months.  The  credits  need  not  be  subsequent  to  the  pay- 
ments to  the  creditor.  In  re  Topliff  (1902"),  Dist.  Mass.,  Lowell,  J., 
114  Fed.,  323;  8  A.  B.  R.,  141. 

Preference  created  by  fraudulent  scheme  between  debtor  and  sundry 
creditors  who  obtain  payments  before  bankruptcy  by  an  assignee's 
collusive  sale.  Stern,  Falk  &  Co.  v.  Louisville  Trust  Co.  (1901),  C.  C. 
A.,  6th  Cir.,  112  Fed.,  501;  7  A.  B.  R.,  305. 

The  giving  of  checks  by  a  bankrupt  to  its  president  for  present  advances 
to  pay  wage  claims  due  from  the  corporation,  does  not  constitute  a  prefer- 
ence within  the  meaning  of  the  bankruptcy  act.     In  re  Union  Feather 

6  Wool  Mfg.  Co.  (1902),  C.  C.  A.,  7th  Cir.,  Jenkins,  J.,  112  Fed.,  774; 

7  A.  B.  R.,  472. 

Payment  of  accotmt  in  full  within  four  months  does  not  prejudice 
new  debt  subsequently  created.  In  re  Champion  (1902),  S.  Dist.  Ala., 
Ervin,  R.,  7  A.  B.  R.,  560. 

Four  months  limitation  for  preferential  payment  is  fraud  in  the  ex- 
ercise of  equitable  discretion  based  on  analogious  limitation  in  the  law. 
In  re  Dickinson  (1902),  W.  Dist.  N.  Y.,  Moss,  R.,  7  A.  B.  R.,  679. 

Money  received  by  sheriff  on  execution  within  four  months  in  a 
preference.  In  re  Metzger  Toy  &  Novelty  Co.  (1902),  W.  Dist.  Ark., 
Rogers,  J..  114  Fed.,  957;  8  A.  B.  R..  307. 

There  can  be  no  preferences  unless  there  is  insolvency.  In  re  Wittenl 
berg  Veneer  &  Panel  Co.,  E.  Dist.  Wis.,  Seaman,  J.,  108  Fed.,  593;  6 
A.     B.     R.,     271. 

The  test  whether  a  creditor  received  a  preference  with  knowledge  is  a 
question  of  fact,  rather  shan  of  law,  and  not  reached  by  petition  for  re- 
view. In  re  Eggert  (1900),  C.  C.  A.,  7th  Cir.,  Jenkins,  J.,  4  A.  B.  R., 
449. 

To  avoid  a  preference  it  must  appear  that  the  bankrupt  first  was  in- 
solvent, second  intended  to  give  a  preference,  third,  the  creditor  must 
have  known  or  had  reasonable  cause  to  know  of  the  insolvency.  In  re 
Ebert  (1899),  W.  Dist.  Wis.,  Lewis,  R.,  1  A.  B.  R.,  340. 

b    [Preference  voidable — jurisdiction  to   recover.]    If  a 

bankrupt  shall  have  given  a  preference  (within  fotir  months 
before  the  filing  of  a  petition,  or  after  the  filing  of  the  peti- 
tion and  before  the  adjudication),  and  the  person  receiving 
it,  or  to  be  benefited  thereby,  or  his  agent  acting  therein, 


198  PREFERRED  CREDITORS.  [§60b. 

shall  have  had  reasonable  cause  to  beHeve  that  it  was  in- 
tended thereby  to  give  a  preference,  it  shall  be  voidable  by 
the  trustee,  and  he  may  recover  the  property  or  its  value 
from  such  person.  *And,  for  the  purpose  of  such  recovery, 
any  court  of  bankruptcy,  as  hereinbefore  defined,  and  any 
State  court  which  would  have  had  jurisdiction  if  bank- 
ruptcy had  not  intervened,  shall  have  concurrent  jurisdic- 
tion.* 

As  amended  by  Act  of  1903.     See  Amendment,  page      ,  post. 

Omitted  matter  from  Act  of  1898  between  brackets.  New  matter 
between  stars. 

Knowledge  of  insolvency  is  not  found  from  fact  of  discounting  a  bil 
and  accepting  assignment  of  an  accoimt  in  payment.  In  re  Eggert 
(1900).  E.  Dist.  Wis.,  Seaman,  J.,  98  Fed.,  843;  3  A.  B.  R.,  541;  2  N.  B. 
N.,  185. 

Where  suit  is  brought  to  recover  preference  and  allegation  that  the 
bankrupt  paid  such  money  on  his  claim — not  essential  to  allege  it  was  out 
of  the  bankrupt's  estate.  Richter  v.  Nimmo  (1901) ,  N.  Y.  Supt.  Ct. ,  Jenks 
J.,  63  App.  Div.,  422;  71  N.  Y.  Supp.,  501;  6  A.  B.  R.,  680. 

The  test  whether  creditors  received  a  preference  with  knowledge  is  a 
question  of  fact  rather  than  of  law  and  not  reached  by  petition  for  re- 
view. In  re  Eggert  (1900),  C.  C.  A.,  7th  Cir.,  102  Fed.,  735;  4  A.  B.  R., 
449. 

Preference  obtained  by  proceedings  within  the  four  months  avoided  and 
the  surrender  by  summary  order  of  possession  of  the  goods  by  the  sheriff 
to  the  trustee  granted.  In  re  Fellerath  (1899),  N.  Dist.  Ohio,  Ricks, 
J.,  95  Fed.,  121;  2  A.  B.  R.,  40;  1  N.  B.  N.,  292. 

Preferences  by  giving  of  mortgages  and  lease  set  aside  by  decree  of 
district  court  at  the  suit  of  trustee,  and  creditors  made  to  account  for 
the  profits  of  one  of  the  premises.  Carter  v.  Goodykoontz  (1899),  Dist. 
Ind.,  Baker,  J.,  94  Fed.,  108;  2  A.  B.  R.,  224;  1  N.  B.  N.,  196. 

Agreement  made  more  than  four  months  prior  to  bankruptcy  pro- 
viding that  creditor  might  have  option  to  purchase,  applying  his  claims 
thereon,  not  a  preference,  thought  right  put  in  force  within  the  four 
months.  Savin  v.  Camp  (1900),  Dist.  Ore.,  Bellinger,  J.,  98  Fed.,  974; 
3  A.  B.  R.,  578;  2  N.  B.  N.,  375. 

Creditor  has  reasonable  cause  to  believe  preference  was  intended  if  he 
has  knowledge  of  facts  and  circumstances  which  would  put  a  pi-udcnt 
man  upon  inquiry.  In  re  Jacobs  (1899),  W.  Dist.  la.,  Jones,  R.,  1  A.  B. 
R.,  518;  1  N.  B.  N.,  183. 


§60b.]  PREFERRED  CREDITORS.  l99 

Action  by  trustee  to  set  aside  preference — erroneous  instruction — harm- 
less will  be  disregarded.  Whitely  Grocery  Co.  v.  Roach  (1902),  Sup.  Ct. 
Ga.,  Fish,  J.,  42  S.  E.,  282;  8  A.  B.  R.,  505. 

Trustee  can  sue  without  first  obtaining  order  to  do  so.  Chism  v.  Citi- 
zens Bank  of  Clarksdale  (1900),  Sup.  €t.  Miss.,  Terrell,  J.,  77  Miss.,  599. 

Action  by  trustee  to  set  aside  fraudulent  conveyance — fraud  of  bank- 
rupt— bankrupt  not  necessary  party  (1902),  Sup.  Ct.  N.  Y.,  O'Brien,  J., 
78  N.  Y.  Supp.,  369. 

Trustee  may  avoid  preference  where  there  was  reasonable  cause  on  part 
of  creditor  to  believe  insolvency — may  follow  fund.  Lampkin  v.  Poeples 
Nat.  Bank  (1902),  Sup.  Ct.  Mo  ,  Ellison,  J.,  71  S.  W.,  715. 

Setting  aside  conveyance — trustee  represents  creditors.  Oliver  v. 
Hilgers  et  al.  (1902),  Sup.  Ct.  Minn.,  Lewis,  J.,  92  N.  W.,  511. 

Trustee  permitted  to  file  a  bill  in  eqtiity  to  set  aside  a  preference  enacted 
by  orders  for  goods  taken  in  by  a  nominal  partnership  within  four  months. 
Margden  v.  Sugden  (1902),  Sup.  Ct.  N.  H.,  Renwick,  J.,  52  Atl.,  74. 

Law,  not  chancery,  the  former  for  a  suit  by  a  trustee  to  set  aside  amount 
of  a  fraudulent  preference — the  transaction  involving  one  item.  McCor- 
mick  V.  Page  (1901),  111.  Ct.  App.,  Dibell,  J.,  96  lU.  App.,  447. 

Trustee  must  bring  action  to  set  aside  a  preference  in  the  state  court — 
intent,  not  an  essential  element.  Gabriel  v.  Tonner  (1902),  Sup.  Ct.  Cal., 
Gray,  J.,  70  Pac,  1021. 

Complaint  sustained  by  the  trustee's  mense  assignee  to  set  aside  a 
transfer  made  by  the  bankrupt  to  his  wife.  Bryan  v.  Madden  (1902), 
Sup.  Ct.  N.  Y.,  Russell,  J.,    38  N.  Y.,  Misc.,  638. 

Fraudulent  intent  to  prefer — burden  of  proof  of  inso.vency  and  intent 
on  isiue  is  on  creditor — intent  is  so  s/wwn  when  insolvency  is  proved 
and  the  fact  of  transfer  burden  of  intent  then  rests  on  the  bankrupt — 
value  of  property  determined  by  the  receivers  is  evidence  on  question  of 
insolvency.  In  re  Blocy  (1901).  C.  C.  A.  2nd  Cir.  Shipman,  J.,  109. 
Fed.,  790;  6  A.  B.  R.,  300;  3  N.  B.  N.,  894. 

In  suit  by  trustee  proof  what  goods  bought  at  private  sale  subsequent  to 
auction  is  incompetent  to  establish  value.  Seebrigv.  Wellington  (  1901), 
N.  Y.  Sup.  App.,  Div.,  Adams,  J.,  6  A.  B.  R.,  671. 

A  party  to  be  liable  to  a  suit  of  a  trustee  for  receiving  preference  must 
have  been  a  creditor.  Mere  liability  as  endorser  for  bankrupt  does  not 
constitute  such  relation.  Swartz  v.  Siegel  (1902),  E.  Dist.  M.,  Adams, 
J.,  114  Fed.,  1,001;  8  A.  B.  R.,  220. 

This  section  is  limited  to  cases  where  the  creditor  had  reasonable  cause 
to  believe  that  a  preference  was  intended.     Blakey,  Receiver,  v.  Boone- 


200  PREFERRED  CREDITORS.  [§60c. 

ville  Nat.  Bank  (1899),  Dist.  Ind.,  Baker,  J.,  95  Fed.,  267;  2  A.  B.  R. 
459;  1  N.  B.  N..  411. 

Where  preference  is  merely  voidable  trustee  can  not  maintain  with- 
out previous  demand  and  refusal,  but  where  under  Section  67  (e)  trans- 
er  is  fraudulent  it  is  void  and  demand  tmnecessary .  In  re  Phelps  (1899) , 
N.  Dist.  N.  Y.,  Hotchkiss,  R.;  3  A.  B.  R.,  396;  2  N  .  B.  N.,  484. 

Preferential  inctmibrance  before  passage  of  act  not  affected  thereby 
/nreTerrill,  (1900),  Dist.  Vt..  Wheeler,  J.,  100  Fed.,  778;  4  A.  B.  R.,  145. 

No  preference  foimd  where  bankrupt's  wife  lent  money  obtained  from 
mortgaging  her  property  to  pay  decree  to  turn  over  trust  ftmds.  Fry 
V.  Penn.  Trust  Co.  (1900),  Sup.  Ct.,  Pa.,  Green,  J.,  5  A.  B.  R.,  51. 

Pleading  in  action  to  set  aside  preference — consent  of  bankruptcy 
court  not  essential  prerequisite  to  maintaining  suit.  Chism,  Trustee,  v. 
Bank  (1900),  Sup   Ct.  Miss.,  Terrel,  J.;  5  A.  B.  R.,  56. 

Set-off  allowed  from  preferential  payment  on  claim  secured  partially 
by  mortgage — claim  allowed  for  the  deficiency.  In  re  Tanner  (1901), 
W.  Dist.  N.  Y.,  McMaster,  R.,  6  A.  B.  R.,  196. 

A  mortgage  which  is  executed  in  blank  and  in  which  subsequently 
the  blanks  are  filled  up  does  not  take  effect  tmtil  the  latter  date  and  if 
such  date  falls  within  the  four  months  prior  to  bankruptcy,  is  invaUd- 
In  re  Barrett  (1901),  S.  Dist.  N.  Y.,  Wise,  R.,  6  A.  B.  R.,  48. 

c  [Set-oflf  of  new  credit  after  preference.]  If  a  creditor 
has  been  preferred,  and  afterwards  in  good  faith  gives  the 
debtor  further  credit  without  sectirity  of  any  kind  for  prop- 
erty which  becomes  a  part  of  the  debtor's  estates,  the  amount 
of  such  new  credit  remaining  unpaid  at  the  time  of  the  ad- 
judication in  bankruptcy  may  be  set  off  against  the  amount 
which  would  otherwise  be  recoverable  from  him. 

See  57  g  and  notes;  also  b  supra. 

Creditors  innocently  receiving  preferential  payments  are  entitled  to 
set-off  under  this  section.  In  re  Thompson's  Sons  (1901),  E.  Dist.  Pa. 
Hunter,   R.;   6  A.   B.   R.,   663. 

Creditor  innocently  receiving  preference  is  entitled  to  a  sett-off. 
In  re  Soldosky  (1901),  Dist.  Mont.,  Lochren,  J.,  Ill  Fed.,  511;  7  A.  B. 
R.,  123;  in  re  Dundas  (1901),  Dist.  Vt.,  Wheeler,  J.,  Ill  Fed.,  500;  7 
A.    B.    R.,    129. 

Preferences  entitled  to  set-off  in  cases  under  Section  60  (a)  and  (b) 
Peterson  v.  Nash  Bros  (1901),  C.  C.  A.,  8th  Cir.,  Adams,  J.,  112  Fed.,  311; 
7  A.  B.  R.,  181. 


§60C.]  PREFERRED  CREDITORS.  201 

Set-off  allowed  of  credits  within  four  months,  although  made  before 
the  preference.  In  re  Dickson  v.  Wyman  {In  re  Jourdan),  C.  C.  A.,  1st 
Cir.,  Putnam,  J.;  7  A.  B.  R.,  186. 

Set-off  allowed  the  innocent  preferee.  In  re  Thompson's  Sons,  Mc- 
Pherson,  J.,  E.  Dist.  Pa.,  112  Fed.,  651;  7  A.  B.  R.,  214. 

Pleadings  on  suit  to  set  aside  preference  must  allege  insolvency.  Mar- 
tin V.  Bigelow  (1901),  Sup.  Ct.  N.  Y.,  Scott,  J.;  7  A.  B.  R.,  218. 

The  set-off  provided  in  Section  60  (c)  was  intended  to  apply  only  to 
cases  arising  under  Section  60  (b).  Payment  in  full  is  a  preference. 
In  re  Rosenberg  (1901),  S.  Dist.  N.  Y.,  Pendleton,  R.,  7  A.  B.  R.,  316. 

Rebate  allowed  bankrupt  on  claim  from  course  of  business.  In  re 
B.  H.  Douglas  &  Sons  Co.  (1902),  Dist.  Conn.,  Townsend,  J.,  114  Fed., 
772;  8  A.   B.   R.,   113. 

Preferences  reduced  by  subsequent  credits.  Cans  v.  Ellison,  C.  C. 
A.,  3rd  Cir.,  Acheson,  J.;  8  A.  B.  R.,  153;  also  the  same  effect,  Kahn  v. 
Export  &  Commission  Co.  (1902),  C.  C.  A.,  5th  Cir.,  115  Fed.,  290;  8  A. 
B.  R.,   157. 

Set-off  allowed  innocent  creditor  following  McKee  v.  Lee,  et  al. ;  5  A. 
B.  R.,  267  supra.  See  the  cases  collected  on  this  point  in  re  Bothwell 
(1902),  Dist.  N.  J.,  Lewis,  R.;  8  A.  B.  R.,  213. 

Right  of  set-off  exists  in  favor  of  a  preferred  creditor  who  received  the 
preference  innocently.  McKee  v.  Lee,  et  al.  (1901),  C.  C.  A.,  7th  Cir., 
Grosscup,  J.,  105  Fed.,  923;  5  A.  B.  R.,  267. 

This  section  applies  to  the  innocent  as  well  as  the  guilty  preferential  cred- 
itor. In  re  Ryan  (1901),  N.  Dist.  111.,  Kohlsaat,  J.,  105  Fed.,  760;  5.  A 
B.  R.,  396.     (Being  same  case  as  McKee  v.  Lee,  supra.) 

No  set-offs  allowed  where  mutual  credits  subsequently  given.  Cases 
restricted  to  60  (b)  ante.  In  re  Keller  (1901),  N.  Dist.  la.,  Shiras,  J., 
109  Fed.,  118;  6  A.  B.  R.,  334. 

No  set-off  allowed  the  creditor  who  has  received  a  preference  under 
Section  57  (g)  and  received  preferential  payments  for  subsequent  credits. 
In  re  Oliver  (1901),  W.  Dist.  Mo.,  Phillips,  J.,  109  Fed.,  784;  6  A.  B.  R., 
626.  In  re  Christensen,  N  Dist.  la.,  James,  R.,  4  A.  B.  R.,  202;  2  N.  B- 
N.,  695. 

This  section  and  Sec.  68  must  be  interpreted  as  applicable  to  incidental 
proceedings  in  bankruptcy  and  does  not  change  the  principles  of  set-off 
in  actions.  Pearsall  v.  Nassau  Nat.  Bank  (1902),  Sup.  Ct.  N.  Y.,  Jenks, 
J.,  74  N.  Y.,  App.,  Div.,  89. 

Where  the  dealings  between  the  bankrupt  and  the  creditor  during  the 
four  months'  time  has  enhanced  the  value  of  the  estate  there  is  no  room 
for  preference.     Peterson  v.  Nash  Bros.  (1901),  C.  C.  A.,  8th  Cir.,  Adams, 


S02  PREFERRED  CREDITORS.  [§60d. 

J.,  112  Fed.,  311;  7  A.  B.  R.,  181.  In  re  Jordan  (Dickson  v.  Wynmn) 
(1901),  C.  C.  A.,  1st  Cir.,  Putnam,  J.,  Ill  Fed..  726;  7  A.  B.  R.,  186. 
Morey  v.  Schtffer  (1902),  C.  C.  A.,  8th  Cir.,  Sanborn,  J.,  114  Fed.,  447;  7 
A.  B.  R.,  670.  Kimball  v.  Rosenbeam  (1902),  C.  C.  A.,  Sanborn,  J.,  Ill 
Fed.,  85;  7  A.  B.  R.,  718.  Cans  v.  Ellison  (1902) ,  C.  C.  A.,  3  Cir.,  Acheson, 
J.,  114  Fed.,  734;  8  A.  B.  R.,  153.  In  re  Topliff  (1902),  Dist.  of  Mass., 
Lowell,  J.,  114  Fed.,  323;  8  A.  B.  R.,  141.  Jacquith  v.  Alden  (1902), 
C.  C.  A.,  1st  Cir.,  Lowell,  J.,  9  A.  B.  R.,  165. 

d  [Payment  to  attorney — Examination.]  If  a  debtor 
shall,  directly  or  indirectly,  in  contemplation  of  the  filing 
of  a  petition  by  or  against  him,  pay  money  or  transfer  prop- 
erty to  an  attorney  and  counselor  at  law,  solicitor  in  equity, 
or  proctor  in  admiralty  for  services  to  be  rendered,  the 
transaction  shall  be  re-examined  by  the  court  on  petition 
of  the  trustee  or  any  creditor  and  shall  only  be  held  valid  to 
the  extent  of  a  reasonable  amount  to  be  determined  by  the 
court,  and  the  excess  may  be  recovered  by  the  trustee  for  the 
benefit  of  the  estate. 


CHAPTER  VII. 


ESTATES. 


Sec.  61.  Depositories  for  Money 
a.     Courts  to  designate. 
Sec.  62.     Expenses  of  Adminis- 
tration. 
a.     Expenses  reported  under  oath. 
Sec.   63.     Debts   which  may  be 
Proved. 

a.  Provable  debts. 

(1)  Fixed  Uability. 

(2)  Costs  of  stiit. 

(3)  Claim  for  taxable  costs. 

(4)  Open  account  or  contract. 

(5)  Judgment  after  filing  petition. 

b.  Unliquidated  claims. 

Sec.     64.     Debts     which     have 
priority. 

a.  Taxes. 

b.  Order  of  payment. 

(1)  Costs  of  preserving  estate. 

(2)  Filing  fees — expense  of  credi- 
tor. 

(3)  Costs  of  administration. 

(4)  Employe's  wages. 

(5)  Debts  to  persons  entitled  to 
priority. 

c.  After   composition    set    aside 
or  discharge  revoked. 

Sec  65.     Declaration  and  Pay- 
ment OF  Dividends. 

a.  On  allowed  claims. 

b.  First    and    subsequent    divi- 
dends. 

c.  Claims    subsequent    to    pay- 
ment of  dividends. 

d.  When  person  adjudged  bank- 
rupt   outside     the    United 
States. 

e.  Limit   to   amount  collectable 
by  claimant. 

Sec.  66.     Unclaimed  Dividends. 

a.  Payment  into  court. 

b.  Distribution   after  one  year. 
Sec  67.     Liens. 

a.  Claims  which  are  not  valid 
liens. 

b.  Trustee  subrogated  to  rights 
of  creditors. 

c.  Certain  liens  dissolved. 

(1)  Defendant  insolvent. 

(2)  Knowledge  of  insolvency. 

(3)  Fraud-trustee   subrogated. 

203 


d.  Liens  given  in  good  faith. 

e.  Conveyances    within    four 
months — when  void. 
Liens   created   through   legal 
proceedings. 

68.     Set-offs  and  Counter- 
claims. 

Mutual  debts  and  credits. 
When  not  allowed. 
Not  provable. 

Purchased  with  knowledge  of 
bankrupt's  insolvency. 

69.     Possession    of    Prop- 
erty. 
a.     Warrant  may  issue  to  mar- 
shal to  seize  and  hold  prop- 
erty. 

Sec  70.  Title  to  Property. 
Title  vested  in  trustee. 
Documents. 

Patents,       copyrights       and 
trade-marks. 
Powers. 

Property  transferred  in  fraud. 
Property  which  might  have 
been  transferred  or  levied  on. 
Policy  of  insurance. 
Rights  of  Action. 
Appraisal  and  sale  of  prop- 
erties. 

Trustee  to  convey  title. 
Composition  set  aside — vest- 
ing title  in  trustee. 
e.      Avoiding   certain   transfers — 

recovery  of  property. 
/.      Revestment  of  title  on  con- 
firmation of  composition. 

Sec  71.  Clerks  to  keep  indexes 
and   issue   Certificates  or 

SEARCH. 

Sec.  72.  Referee  and  Trustee 
not  to  receive  extra  Com- 
pensation. 

Time  when  this    act    shall 
GO  into  effect. 

a.  Force  and  effect. 

b.  Cases    pending    under    State 
laws. 

Act  OF  Ffb.  5th,    1903,,  not 
TO  efffct  pending  cases. 


/■ 
Sec 

a. 

b. 

(1) 

(2) 

Sec 


a. 
(1) 
(2) 

(3) 

(4) 
(5) 


(6) 
6. 

c. 
d. 


204  expenses  of  administering  estates.  [§§  61  a,  62a. 

Sec.  61.     Depositories  for  Money. 

a  [Courts  to  designate.]  Courts  of  bankruptcy  shall 
designate,  by  order,  banking  institutions  as  depositories 
for  the  money  of  bankrupt  estates,  as  convenient  as  may 
be  to  the  residences  of  trustees,  and  shall  require  bonds  to 
the  United  States,  subject  to  their  approval,  to  be  given 
by  such  banking  institutions,  and  may  from  time  to  time 
as  occasion  may  require,  by  like  order  increase  the  number 
of  depositories  or  the  amount  of  any  bond  or  change  such 
depositories. 

Trustees  must  deposit  money  in  depositories.  Sec.  47a  (3)  ante.  As 
to  payment  of  money  deposited,  see  Gen.  Order  XXIX. 

Sec.    62.     Expenses    of    Administering    Estates. 

a  [Expenses  reported  under  oath.]  The  actual  and 
necessary  expenses  incurred  by  officers  in  the  adminis- 
tration of  estates  shall,  except  where  other  provisions  are 
made  for  their  payment,  be  reported  in  detail,  imder  oath, 
and  examined  and  approved  or  disapproved  by  the  court. 
If  approved,  they  shall  be  paid  or  allowed  out  of  the  estates 
in  which  they  were  incurred. 

As  to  what  are  expenses  of  estates,  see  Gen.  Ord.  XXXV.  As  to  in- 
demnity for  expense  to  be  deposited  by  the  bankrupt,  see  Gen.  Order  X 
As  to  indemnity  for  expenses  of  traveling  by  referee,  see  Gen.  Ord. 
XXVI.  See  Sec.  5e  as  to  payment  of  expenses  from  individual  and  firm 
estates. 

Trustee  refused  allowance  of  attorney's  fee  for  preparation  of  accoimt 
— this  is  among  the  ordinary  duties  which  he  should  perform.  In  re 
Averill  (1899).  N.  Dist.  Ohio,  Remington,  R..  1  N.  B.  N.,  544. 

Assignee  in  insolvency  proceedings  not  entitled  to  allowance  as  cus- 
todian in  preserving  the  estate  prior  to  filing  petition  in  t)ankruptcy, 
In  re  Peter  Paul  Book  Co.  (1900),  W.  Dist.  N.  Y.,  Hazel,  J.,  104  Fed., 
786;  5  A.  B.  R.,  105. 


§63a.]  debts  which  may  be  proved.  205 

Sec.    63.     Debts    which    may    be    Proved. 

a  [Provable  debts.]  Debts  of  the  bankrupt  may  be 
proved  and  allowed  against  his  estate  which  are 

For  analogous  provisions  of  act  of  1800  see  Sec.  39  of  that  act;  of  act  of 
1841  see  Sec.  5  of  that  act;  also  Sec.  19  of  act  of  1867. 

See  notes  under  Sec.  17,  "debts  not  barred  a  discharge." 

(1)  [Fixed  liability.]  A  fixed  liability,  as  evidenced 
by  a  judgment  or  an  instrument  in  writing,  absolutely 
owing  at  the  time  of  the  filing  of  the  petition  against  him, 
whether  then  payable  or  not,  with  any  interest  thereon 
which  would  have  been  recoverable  at  that  date  or  with  a 
rebate  of  interest  upon  such  as  were  not  then  payable 
and  did  not  bear  interest; 

See  notes  under  Sec.  17. 

Bankrupt  not  liable  on  notes  where  protest  and  notice  not  given.  Such 
contingent  liability  not  provable.  In  re  Edson  (1902) ,  Dist.  Vt.,  Wheeler, 
J.,  119  Fed.,  487. 

Alimony  over-due  is  provable  debt  in  bankruptcy  and  a  court  of  bank- 
ruptcy may  release  the  bankrupt  from  arrest  under  state  authority  for 
non-payment.  In  re  Houston  (1899),  Dist.  Ky.,  Evans,  J.,  94  Fed.,  119. 
12  A.  B.  R.,  107;  1  N.  B.  N.,  205. 

Alimony  due  not  a  provable  debt  and  not  barred.  In  re  Smith  (1899) , 
N.  Dist.  N.  Y.,  Hotchkiss,  R.,  3  A.  B.  R.,  67;  1  N.  B.  N.,  471. 

Alimony  over-due  is  a  provable  debt.  Fite  v.  Fite  (1901),  Ct.  of  App. 
Ky.,  Guffy,  J.,  5  A.  B.  R.,  461. 

Rent  accruing  after  adjudication  is  not  a  claim  against  the  estate. 
Bankruptcy  bars  future  liability  on  a  lease.  Lien  of  landlord  tmder  state 
law  not  recognized  in  bankruptcy.  In  re  Jefferson  (1899),  Dist.  Ky. 
Evans,  J.,  93  Fed.,  948;  2  A.  B.  R.,  206;  1  N.  B.  N.,  288. 

Judgment  more  than  ten  years  old  not  a  provable  debt  in  North  Caro- 
lina.    In  re  Farmer  (1902),  E.  Dist.  N.  C,  Pumell,  J.,  9  A.  B.  R.,  19. 

Judgment  for  fine  in  criminal  prosecution  is  a  provable  debt.  In  re 
Alderson  (1900),  Dist.  W.  Va.,  Jackson,  J.,  98  Fed.,  588  3  A.  B.  R.,  544. 

Landlord's  claim  for  future  rent  not  a  provable  debt.  In  re  Ells 
(1900),  Dist.  Mass.,  Lowell,  J.,  98  Fed.,  967;  3  A.  B.  R.,  564;  2  N.  B. 
N.,  357. 


206  DEBTS  WHICH  MAY  BE  PROVED.  [§63 a. 

Contract  of  endorsement  is  aprovable  claim  In  re  Schaeffer  (1900), 
E.  Dist.  Pa.,  McPherson,  J.,  104Fed.973;  5A.  B.  R.,  248;  reversed  In  re 
Gerson  (1901),  E.  Dist.  Pa., McPherson,  J.,  107  Fed.,  897;  5  A.  B.  R.,  89. 

Rent  accruing  after  bankruptcy  not  a  provable  claim.  In  re  Mahler. 
(1900),  E.  Dist.  Mich.,  Swan,  J.,  105  Fed.,  428;  5  A.  B.  R.,  453. 

Contingent  liability  of  bankrupt  as  endorser  cannot  be  changed  to  ab- 
solute liability  shortly  before  bankruptcy  without  adequate  consideration, 
In  re  Marks  &  Garson(1901),  W.  Dist.  N.  Y.,  Van  Vooris,  R.,  6  A.  B.  R., 
641. 

Claim  of  surety  of  debt  of  bankrupt  is  dischargeable  where  principal 
is  provable.  Hoyer  v.  Conistock  (1901),  Sup.  Ct.  la..  Given,  J.,  7  A.  B. 
R.,  493. 

Alimony  is  a  provable  debt  and  proceedings  therefor  in  state  court 
may  be  joined.  In  re  Van  Orden  (1899),  Dist.  N.  J.,  Kirkpatrick 
J.,  96  Fed.,  86;  2  A.  B.  R.,  801 ;  1  N.  B.  N.,  475. 

Deficiency  must  appear  on  face  of  deficiency  decree  in  order  to  be 
recognized  in  a  court  of  bankruptcy.  In  re  Hxiber  et  al.  (1899),  N.  Dist, 
N.  Y.,  Judson,  R.,  1  N.  B.  N.,  512. 

Rent  accruing  after  bankruptcy  not  a  provable  debt.  In  re  Colling- 
non  (1900),  N.  Dist.  N.  Y.,   Hotchkiss,  R.,  4  A.  B.  R.,  250;  2  N.  B.N.,  660 

Rent  of  premises  due  prior  to  the  filing  of  the  petition  in  bankruptcy 
is  a  preferred  claim.  In  re  ShiUiday  (1899),  W.  Dist.  Pa.,  Blair,  R.,  1 
N.  B.  N.,  475.  See  the  case  of  Sinsheimer  v.  Simonson  (1900),  C.  C.  A., 
6th  Cir.,  Taft,  J.,  92  Fed.,  904;  3  A.  B.  R.,  824. 

Debt  barred  by  statute  of  limitations  revived  by  bond  and  mortgage, 
even  though  mortgage  void.  In  re  Stendts  (1899),  N.  Dist.  N.  Y.,  Hotch- 
kiss, R.,  1  N.  B.  N..  509. 

After  divorce  in  Arkansas  a  wife  has  one-third  of  her  husband's  person- 
alty. Before  such  decree  she  has  no  claim  provable  in  bankruptcy 
against  her  estate.  Hawk  v.  Hawk  (1900),  W.  Dist.  Ark.,  Rogers,  J., 
102  Fed.,  679;  4  A.  B.  R.,  463;  2  N.  B.  N.,  940. 

A  bond  given  by  bankrupt  to  secure  payment  of  annuity  is  a  provable 
debt.  Cobb  v.  Overman  (1901),  C.  C.  A.,  4th  Cir.,  Waddill,  J.,  109  Fed., 
65;  6  A.  B.  R.,  324. 

(2)  [Costs  of  suit.]  Due  as  costs  taxable  against  an 
involuntary  bankrupt  who  was  at  the  time  of  the  filing 
of  the  petition  against  him  plaintiff  in  a  cause  of  action 
which  would  pass  to  the  trustee  and  which  the  trustee 
declines  to   prosecute  after  notice; 


§63a.]  DEBTS  WHICH  MAY  BE  PROVED.  207 

See  Sec.  11  as  to  suits  by  and  against  trustees. 

Costs  taxed  against  bankrupt  in  suit  pending  at  time  of  filing  the 
petition  are  not  provable.  In  re  Marcus  et  al.  (1900),  Dist.  Mass.,  Lowell, 
J.,  104  Fed.,  o31;  5  A.  B.  R.,  19. 

(3)  [Claim  for  taxable  costs.]    Founded  upon  a  claim 

for  taxable  costs  incurred  in  good  faith  by  a  creditor  before 

the  filing  of  the  petition  in  an  action  to  recover  a  provable 

debt; 

Where  petition  filed  before  judgment  for  costs  rendered,  costs  are 
not  provable  or  dischargeable  in  bankruptcy.  In  re  Marcus  et  al.  (1901), 
C.  C.  A.,  1st  Cir.,  Putnam,  J.,  105  Fed.,  909;  5  A.  B.  R.,  365. 

Costs  incurred  in  case  under  lien.  In  re  Allen  (1899),  N.  Dist.  CJal., 
DeHaven,  J.,  96  Fed.,  512;  3  A.  B.  R.,  38. 

An  assignee  under  voluntary  assigimient  by  reason  whereof  an  adjudica- 
tion in  bankruptcy  followed  is  entitled  to  no  compensation  for  ser\'ices 
nor  for  disbursements  for  rent,  etc.,  prior  to  the  bankruptcy.  After 
bankruptcy  he  may  be  allowed  for  as  a  receiver  until  trustee  takes  pos- 
session. In  re  B.  H.  Gladding  Co.  (1902),  Dist.  R.  I.,  Barrows,  R.,  9 
A.  B.  R.,  117. 

(4)  [Open  account  or  contract.]  Founded  upon  an 
open  account,  or  upon  a  contract  express  or  implied ;  and 

See  Sec.  17  and  notes. 

Costs  of  attachment  incurred  before  bankruptcy  allowed  as  a  prior 
claim.  In  re  Lewis  (1900),  Dist.  Mass.,  91  Fed.,  632;  4  A.  B.  R.,  51;  1 
N.  B.  N..  556. 

A  stockholder's  liability  under  state  statutes  is  a  provable  claim  in 
bankruptcy,  as  it  is  fotmded  on  implied  contract.  Bankruptcy  cotui: 
may  direct  payment  to  liquidate  claim  or  make  the  computation  itself. 
In  re  Rouse  (1899),  N.  Dist.  Ohio,  Remington,  R.,  1  A.  B.  R.,  393;  1 

N.  B.  N.,  48. 

A  liability  of  bankrupt  as  endorser  accruing  after  petition  is  provable 
claim.  In  re  Gerson  (1901),  C.  C.  A.,  3rd  Cir.,  Acheson,  J.,  107  Fed., 
897;  6  A.  B.  R.,  11. 

Money  in  hands  of  trustee  which  but  for  the  finding  bankruptcy  would 
have  been  taxable  vmder  state  law  is  still  taxable.  In  re  Sims  (1902), 
W.  Dist.  Ga.,  Speer,  J.,  9  A.  B.  R.,  162. 

Lien  of  landlord  for  rent  tmder  Delaware  law  is  entitled  to  priority 
In  re  MitcheU  (1902),  Dist.  of  Del.,  Bradford,  J.,  116  Fed.,  87. 


208  DEBTS  WHICH  MAYBE  PROVED.  [§63a. 

Lanalord  given  prior  claim  for  rent  under  Pennsylvania  lavr.  In  re 
Duble  (1902),  Middle  Dist.  Pa.,  Archbald,  J.,  117  Fed..  794;  9  A.  B.  R., 
121. 

Claim  for  trust  fvmd  not  entitled  to  priority  tmless  the  fund  can  be 
traced  to  the  estate  of  the  bankrupt  in  the  hands  of  the  trustee.  I  ft  re 
Marsh  (1902),  Dist.  of  Conn.,  Piatt,  J.,  116  Fed.,  390;  8  A.  B.  R.,  576. 

Claim  for  rent  accruing  after  bankruptcy  not  a  provable  claim — notes 
given  therefor  invalid  for  lack  of  consideration.  In  re  Hays,  Foster  & 
Ward  (1902),  W.  Dist.  Ky.,  Evans,  J.,  117  Fed.,  879;  9  A.  B.  R.,  144. 

Labor  claims  allowed  priority  by  state  statute  protected  by  this  clause 
and  not  Umited  by  b  (4.)  In  re  Slomka  (1902),  S.  Dist.  N.  Y.,  Adams, 
J.,  117  Fed..  688;  9  A.  B.  R.,  124. 

Contingent  claim — agreement  by  divorced  man  to  pay  his  vriie  for  her 
and  the  children's  support  until  certain  events  or  her  remarriage  or  until 
the  children  arrive  at  maturity  is  not  provable.  Dunbar  v.  Dunbar 
(1901),  Sup.  Ct.  Mass.,  Barber,  J.,  180  Mass.,  170. 

Claims  for  damages  for  failure  to  deliver  ice  according  to  contract  are 
provable.  In  re  Stem  (1902),  C.  C.  A.,  2nd  Cir.,  Townsend,  J.,  116  Fed., 
604;  8  A.  B.  R.,  569. 

An  attorney's  fee  stipulated  for  in  an  unmatured  note  is  not  a  provable 
claim.  In  re  GasUngton  (1902),  N.  Dist.  Texas,  Meek,  J.,  115  Fed.,  999; 
8  A.  B.  R.,  602. 

Judgment  more  than  ten  years  old  not  a  provable  claixH  in  North  Caro- 
Una.  In  re  Farmer  (1902),  E.  Dist.  N.  C,  Pumell,  J..  110  Fed.,  703;  6 
A.  B.  R.,  19. 

Demand  for  conversion  of  property  not  a  provable  debt.  Specifica- 
tions in  this  section  not  extended  except  by  necessary  construction. 
Watertoum  Carriage  Co.  v.  Hall  (1902).  Sup.  Ct.  N.  Y.,  Smith,  J.,  75  N.  Y., 
App.  Div.,  201. 

Right  of  landlord  to  proceed  with  a  dispossessing  warrant  and  as  an 
incident  thereto  to  obtain  a  judgment  for  double  rent  is  not  affected  by  a 
discharge  of  the  tena.nt  in  bankruptcy  obtained  during  pendency  of  the 
dispensary  proceedings  as  such  a  claim  is  not  provable  debt.  Hamilton 
V.  McCrosky  (1900),  Sup.  Ct.  Ga.,  Lewis,  J.,  112  Ga.,  651. 

A  sublessee  of  the  bankrupt  has  no  claim  provable  ba^ed  on  an  action 
or  breach  of  covenant  for  quiet  enjoyment  having  been  evicted  by  the 
landlord  after  bankruptcy.  In  re  Pennewell  (1902),  C.  C.  A.,  6th  Cr., 
Severens,  J.,  119  Fed.,  139. 

Liability  of  bankrupt  as  endorser  of  a  note  not  provable  imless  notice 
of  protest  duly  given.  In  re  Edson  (1902),  Dist.  W.  V.,  Wheeler,  J. ,.119 
Fed.,  487. 


§63b.]  DEBTS  WHICH  MAYBE  PROVED.  209 

Wife's  contract  with  bankrupt  husband  for  her  services  not  basis  for 
claim.  In  re  Kaufmann  (1900),  E.  Dist.  N.  Y.,  Thomas,  J.,  104  Fed., 
768;  5  A.  B.  R.,  104. 

(5)  [Judgment  after  filing  petition.]  Founded  upon 
provable  debts  reduced  to  judgments  after  the  filing  of  the 
petition  and  before  the  consideration  of  the  bankrupt's 
application  for  a  discharge,  less  costs  incurred  and  interests 
accrued  after  the  filing  of  the  petition  and  up  to  the  time  of 
the  entry  of  such  judgments. 

Judgment  pending  bankruptcy  is  provable  debt  less  costs — In  re 
McBr>'de  (1899),  E.  Dist.  N.  C,  Pximell,  J.,  99  Fed.,  686;  3  A.  B.  R., 
729;  2  N.  B.  N.,  345. 

Entry  of  judgment  between  adjudication  and  discharge  for  less  amount 
that  the  debt  does  not  forfeit  the  diflEerence;  full  claim  allowed  in  bank, 
ruptcy.  In  re  Pinkell  (1899),  N.  Dist.  N.  Y.,  Hotchkiss,  R.,  1  N.  B.  N., 
138;  1  A.  B.  R.,  333. 

b  [Unliquidated  claims.]  Unliquidated  claims  against 
the  bankrupt  may,  pursuant  to  application  to  the  court, 
be  liquidated  in  such  manner  as  it  shall  direct,  and  may 
thereafter  be  proved  and  allowed  against  his  estate. 

Unliquidated  claim  not  provable  until  it  is  first  liquidated  under 
directions.     In  re  Cushing(  1901),  W.  Dist.  N.  Y.,  Moss,  R.,  6  A.  B.  R.,  22. 

Claim  for  wages  on  contract  for  future  employment  basis  of  computa- 
tion. In  re  Silverman  Bros.  (1899),  W.  Dist.  Mo.,  Phillips,  J.,  97  Fed., 
325;  4  A.  B.  R.,  83;  2  N.  B.  N..  760. 

Claim  for  taxes  has  priority  and  shovdd  be  paid  as  claim  prior  to  se- 
cured creditors.  In  re  Hilberg  (1901),  W.  Dist.  Pa.,  Mears,  R.,6A.  B. 
R.,  714. 

An  action  for  damages  by  father  for  seduction  of  daughter  is  provable 
debt  and  barred  by  discharge.  In  re  Sullivan  (1899),  N.  Dist.  N.  Y., 
Hotchkiss,  R.,  2  A.  B.  R.,  30;  1  N.  B.  N.,  380. 

A  claim  not  due  or  owing  at  the  filing  of  the  petition  not  provable. 
In  re  Burka  (1900),  E.  Dist  Mo.,  Adams,  J.,  104  Fed.,  326;  5  A.  B.  R.,  12. 

Breach  of  contract  to  marry  is  a  provable  debt.  In  re  Fife  (1901), 
W.  Dist.  Pa.,  Buffington,  J..  109  Fed.,  880;  6  A.  B.  R.,  258. 

An  tmdischarged  bankrupt  can  prove  claim  arising  since  his  adjudica- 


210  DEBTS  WHICH  HAVE  PRIORITY.  [64a. 

tion  against  another  bankrupt's  estate.     In  re  Smith  (1899),  Hotchkiss; 
R.,  N.  Dist.  N.  Y.,  1  A.  B.  R.,  37. 

Claim  by  wife  is  provable  in  state  court  where  disability  of  married 
woman  to  own  property  separately  has  been  removed.  In  re  Neiman 
(1901),  E.  Dist.  Wis.,  Seaman,  J.,  109  Fed.,  113;  6  A.  B.  R.,  329. 

A  creditor  is  one  who  owns  a  demand  or  claim  provable  in  bankruptcy; 
claims  for  tort  not  liquidated  not  provable  and  owner  not  creditor.  Beers 
v.  Hamlin,  (1900)  Dist.  Ore.,  Bellinger,  J.,  99  Fed.,  695;  3  A.  B.  R.,  745. 

Whether  a  debt  is  provable  or  not  turns  on  its  status  at  the  time  of 
filing  the  petition.  In  re  Bingham  (1899),  Dist.  Vt.,  Wheeler,  J.,  94 
Fed.,  796;  2  A.  B.  R.,  223;  1  N.  B.  N.,  351. 

An  unliquidated  claim  for  tort  for  injttries  to  a  person  not  provable 
tmder  section  63.  In  re  Yates  (1902),  N.  Dist.  Cal.,  DeHaven,  J.,  114 
Fed.,  365;  8  A.  B.  R.,  69. 

Sec.    64.     Debts    which    have    Priority. 

a    [Taxes.]     The  court   shall  order  the  trustee  to  pay 

all  taxes  legally  due  and  owing  by  the  bankrupt  to  the 

United  States,  State,  county,  district,  or  mtinicipality  in 

advance  of  the  payment  of  dividends  to  creditors,  and 

upon  filing  the  receipts  of  the  proper  public  officers  for  such 

payment  he  shall  be  credited  with  the  amoimt  thereof, 

and  in  case  any  question  arises  as  to  the  amoimt  or  legality 

of  any  such  tax  the  same  shall  be  heard  and  determined 

by  the  covut. 

For  analogous  provisions,  see  Sec.  62,  Act  of  1800;  Sec.  5,  Act  of  1841, 
and  Sec.  28,  Act  of  1867. 

Taxes  on  exempt  property  payable  by  trustee  out  of  general  fund. 
/nr^Tilden  (1899),  S.  Dist.  la.,  Woolson,  J.,  91  Fed.,  500;  lA.  B.  R.,  300. 

A  judgment  not  a  lien  held  not  a  prior  claim.  In  re  Wood  (1899),  E. 
Dist.  N.  C,  Pumell,  J.,  95  Fed.,  946;  2  A.  B.  R.,  695;  1  N.  B.  N.,  430. 

Taxes  on  exempt  property  to  be  paid  out  of  assets.  In  re  Baker  (1899) , 
E.  Dist.  Texas,  Hurley,  R.,  1  A.  B.  R,  526;  1  N.  B.  N.,  202. 

Taxes  which  are  a  prior  secured  lien  on  real  estate  will  not  be  paid  out 
of  the  general  fund,  so  as  to  benefit  the  mortgagee.  In  re  Veitch  (1900), 
Dist.  Conn.,  Townsend,  J.,  101  Fed.,  251;  4  A.  B.  R.,  112. 

Taxes  chargeable  on  life  estate  of  bankrupt  advanced  by  remainder- 


§64b.]  DEBTS  WHICH  HAVE  PRIORITY.  211 

man  should  be  refunded  by  trustee.     In  re  Force  (1900),  Dist.  Mass., 
Farmer,  R.,  4  A.  B.  R.,  114. 

Iowa  "  Mulct "  is  not  a  tax  but  a  license,  and  not  a  preferred  claim. 
In  re  Ott  (1899),  S.  Dist.  la.,  Woolson,  J.,  95  Fed.,  274;  2  A.  B.  R.,  637; 
1  N.  B.  N.,  294. 

b  [Order  of  payment.]  The  debts  to  have  priority, 
except  as  herein  provided,  and  to  be  paid  in  full  out  of 
bankrupt  estates,  and  the  order  of  payment  shall  be 

(1)  [Costs  of  preserving  estates.]  The  actual  and  nec- 
essary cost  of  preserving  the  estate  subsequent  to  filing  the 
petition ; 

As  to  costs  in  involuntary  cases,  see  Gen.  Ord.  XXXIV. 

Attorneys'  fees  for  bankrupt's  lawyer  allowed  only  for  actual  services. 
In  re  Terrill  (1900),  Dist.  Vt.,  Wheeler,  J.,  100  Fed.,  778;  4  A.  B.  R.,  625. 

Attorney's  fee  not  allowed  bankrupt  out  of  assets  collected  by  trustee, 
which  had  been  fraudulently  transferred.  In  re  O'Connell  (1899),  S. 
Dist.  N.  Y.,  Bro'svTi,  J.,  98  Fed.,  83;  3  A.  B.  R.,  422;  2  N.  B.  N.,  237. 

Clerk  in  store  has  priority  of  payment  for  his  claim  for  wages,  but  not 
where  he  loaned  his  full  wages  to  the  bankrupt.  In  re  Flick  (1900),  S. 
Dist.  Ohio,  Thompson,  J.,  105  Fed.,  503;  5  A.  B.  R.,  465. 

This  section  is  a  rvde  of  priority  and  does  not  over-ride  the  provisions 
of  sections  5  (f)  and  (h).  In  re  Daniels  (1901),  Dist.  R.  I.,  Brown,  J., 
110  Fed.,  745;  6  A.  B.  R.,  699. 

(2)  [Filing  fees  —  Expense  of  creditors.]  The  filing 
fees  paid  by  creditors  in  involuntary  cases,  *and,  where 
property  of  the  bankrupt,  transferred  or  concealed  by 
him  either  before  or  after  the  filing  of  the  petition,  shall 
have  been  recovered  for  the  benefit  of  the  estate  of  the 
bankrupt  by  the  efforts  and  at  the  expense  of  one  or  more 
creditors,  the  reasonable  expenses  of  such  recovery  ;* 

Ab  amended  by  Act  of  1903.  See  Amendment,  page  ,  pos<.  New  matter  between 
stars. 

As  to  filing  fees,  see  Sec.  51a. 

(3)  [Costs  of  administration.]  The  cost  of  administra- 
tion, including  the  fees  and  mileage  payable  to  witnesses 


212  DEBTS  WHICH  HAVE  PRIORITY.  [§64b. 

as  now  or  hereafter  provided  by  the  laws  of  the  United 
States,  and  one  reasonable  attorney's  fee,  for  the  profes- 
sional services  actually  rendered,  irrespective  of  the  number 
of  attorneys  employed,  to  the  petitioning  creditors  in 
involimtary  cases,  to  the  bankrupt  in  involuntary  cases 
while  performing  the  duties  herein  prescribed,  and  to 
the  bankrupt  in  volutary  cases,  as  the  court  may  allow ; 

Fee  of  bankrupt's  attorney  of  $25  allowed  for  preparing  schedules. 
In  re  Carolina  Cooperage  Co.  (1899),  E.  Dist.  N.  C,  Pumell,  J.,  96  Fed., 
950;  3  A.  B.  R.,  154;  2  N.  B.  N.,  23. 

The  services  of  the  bankrupt  attorney  for  which  allowance  should  be 
made,  are  not  necessarily  of  direct  benefit  to  the  estate.  In  re  Kross 
(1899),  S.  Dist.  N.  Y.,  Brown,  J.,  96  Fed.,  816;  3  A.  B.  R.,  187;  1  N.  B. 
N.,  566. 

Fees  allowed  attorney  of  creditors  who  opposed  claims  of  other  credi- 
tors, trustee  refusing  to  act.  In  re  Little  River  Ltunber  Co,  (1900) ,  W 
Dist.  Ark.   Rogers,  J.,  101  Fed.,  558;  3  A.  B.  R.,  682;  1  N.  B.  N.,  306. 

Notice  to  creditors  not  essential  before  allowing  fees  to  counsel  for 
bankrupt  or  trustee.  In  re  Stotts  (1899),  S.  Dist.  la.,  Woolson,  J.,  93 
Fed..  438;  1  A.  B.  R.,  641;  1  N.  B.  N.,  326. 

The  bankrupt's  attorney  may  be  allowed  fees  in  involuntary  cases  for 
services  for  drawing  schedules,  making  copies  of  the  same  and  expenses 
of  attending  before  referee,  etc.  In  re  Michel  (1899),  E.  Dist.  Wis., 
Jones,  R.,  1  A.  B.  R.,  665;  1  N.  B.  N.,  265. 

Where  mortgaged  chattels  are  sold  by  trustee  free  from  liens  and 
amotmt  realized  not  enough  to  satisfy  mortgage  debt,  the  fees  of  bank- 
rupt's attorney  cannot  be  allowed.  In  re  Frick  (1899),  N.  Dist.  Ohio, 
Fay,  R.,  1  A.  B.  R.,  719;  1  N.  B.  N.,  214. 

Seventy-five  dollars  a  reasonable  fee  for  bankrupt's  attorney;  no 
special  benefit  accruing  to  the  trustee — after  trustee  appointed  creditors, 
attorney  not  allowed  fees.  In  re  Silberman  &  Schoor  (1899),  S.  Dist. 
N.  Y.,  Brown  J.,  97  Fed.,  325;  3  A.  B.  R.,  227;  2  N.  B.  N.,  18. 

Allowance  of  fee  for  bankrupt's  attorney  not  forfeited  by  subsequent 
misconduct  of  the  bankrupt.  In  re  Mayer  (1900),  E.  Dist.  Wis.,  Seaman, 
J.,  101  Fed.,  227;  4  A.  B.  R.,  238;  2  N.  B.  N.,  257. 

Services  of  attorney  must  be  such  as  inure  to  the  benefit  of  the  estate 
and  not  personally  to  the  bankrupt.  In  re  Mayer  (1900),  E.  Dist.  Wis., 
Seaman,  J.,  101  Fed.,  227;  4  A.  B.  R.,  238;  2  N.  B.  N.,  257. 

Twenty- five  dollars  per  day  for  examination  and  fifty  dollars  for  pre- 


§64b.]  DEBTS  WHICH  HAVE   PRIORITY.  Sl3 

paring  schedules  allowed  attorney  for   bankrupt.     In  re  Mayer  (1900), 
E.  Dist.  Wis.,  Seaman,  J.,  101  Fed.,  227;  4  A.  B.  R.,  238;  2  N.  B.  N.,  257. 

Attorney  for  receiver  who  is  also  attorney  for  creditors  of  bankinipt 
cannot  be  allowed  for  services.  In  re  Kelly  Dry  Goods  Co.  (1900),  E. 
Dist.  Wis.,  Seaman,  J.,  102  Fed.,  747;  4  A.  B.  R.,  528. 

Rent  incurred  by  the  trustee  is  an  expense  of  administration  and 
entitled  to  priority.  In  re  Grimes  (1899),  W.  Dist.  N.  C,  Ewart,  J.,  96 
Fed.,  529;  2  A.  B.  R.,  730;  1  N.  B.  N.,  426. 

In  involtmtary  cases  attorneys'  fees  may  be  allowed  the  bankrupt's 
attorney  for  services  rendered  the  bankrupt  while  performing  statutory 
duties — no  allowance  for  preparing  schedules  and  petition — allowance 
entirely  within  the  jurisdiction  of  the  court.  In  re  Averill  (1899),  N. 
Dist.  Ohio,  Remington,  R.,  1  N.  B.  N.,  544. 

On  sale  of  mortgaged  property  by  a  trustee  on  request  of  mortgagee, 
attorney  fee  not  allowed  as  on  foreclosure.  In  re  Roche  (1900),  C.  C. 
A.,  5th  Cir.,  101  Fed.,  956;  4  A.  B.  R.,  369. 

Attorney's  fee  allowed  for  filing  petition  for  an  injunction  but  not  for 
sending  notices,  attending  meetings  and  contesting  claims,  nor  for  pro- 
curing bids.  In  re  Harrison  Mer.  Co.  (1899),  Dist.  Mo.,  Phillips,  J.,  95 
Fed.,  123;  2  A.  B.  R.,  419;  1  N.  B.  N.,  382. 

In  a  voluntary  proceeding  attorney's  services  are  a  general  debt  to  be 
proved  as  other  debts,  but  where  services  preserve  the  estate  they  are 
a  prior  claim.  In  re  Beck  (1899),  S.  Dist.  la.,  Woolson,  J.,  92  Fed.,  889; 
1  A.  B.  R.,  535;  1  N.  B.  N.,  338. 

The  fee  allowed  classed  b-3  is  prior  lien  of  landlord  for  rent.  In  re 
Duncan  (1899),  N.  Dist.  Tex.,  Meek,  J.,  2  A.  B.  R.,  321;  1  N.  B.  N.,  339 

In  general  in  assignment  preceding  bankruptcy  no  allowance  made 
assignee  for  services — custodian's  fee  allowable.  In  re  Peter  Paul  Book 
Co.  (1900),  W.  Dist.  N.  Y.,  Hazel,  J.,  104  Fed.,  786;  5  A.  B.  R.,  105. 

No  fee  allowed  attorney  for  creditor  in  a  voluntary  case.  The  fee  for 
attorney  of  bankrupt  must  be  determined  by  the  size  of  the  estate.  In  re 
Smith  (1901),  W.  Dist.  N.  C,  Pumell,  J.,  108  Fed.,  39;  5  A.  B.  R.,  559. 

Order  of  priority  in  distribution  is  to  be  governed  by  equity  rules  in 
contest  between  claimants.  In  re  Bvurke  (1901),  N.  Dist.  Ohio,  Remington, 
ington,  R.,  6  A.  B.  R.,  502. 

Fees  for  bankrupt's  attorney  for  services  in  procuring  discharge  not 
allowable.  In  re  Bnmdin  (1901),  Dist.  Minn.,  Lochren,  J.,  112  Fed., 
306;  7  A.  B.  R.,  296. 

Expenses  of  referee  including  clerk  hire,  fall  within  this  section.  In  re 
Tebo  (1900),  Dist.  W.  Va.,  Jackson  J..  101  Fed.,  419;  4  A.  B.  R.,  235. 


214  DEBTS  WHICH  HAVE  PRIORITY.  [§64b. 

Allowance  of  covinsel  fees  rests  largley  within  the  discretion  of  referee, 
Idem. 

Costs  of  administration  take  precedence  of  specific  liens.     Idem. 

Only  one  fee  allowed  for  bankrupt's  attorney,  although  indi\'idual 
partners  are  represented  by  separate  counsel.  In  re  Eschwege  &  Cohn 
(1902),  S.  Dist.  N.  Y.,  Willis,  R.,  8  A.  B.  R.,  282. 

Attorney's  fee  for  bankrupt — discretionary  to  delay  allowance  of,  await- 
ing evidence  as  to  value  of.  In  re  Dreebin  (1900),  Dist.  Tex.,  Meek.,  J., 
101  Fed.,  110;  4  A.  B.  R.,  146. 

Costs  of  attachment  incurred  before  bankruptcy  allowed  as  a  prior 
claim.  In  re  Lewis  (1900),  Dist.  Mass.,  Lowell.,  J.  99  Fed.,  935;  4  A.  B. 
R.,  51;  1  N.  B.  N.,  556. 

Allowance  of  attorney's  fees  for  petitioning  creditor  reduced  from 
$12,500  to  $2,000.  In  re  Curtis  (1900),  C.  C.  A.,  7th  Cir.,  Jenkins,  J., 
100  Fed.,  784;  4  A.  B.  R.,  17. 

Reasonableness  of  attorney's  fees  in  the  discretion  of  the  court  gov- 
erned by  the  circiunstances  of  the  case.  In  re  Burrus  (1899) ,  Dist.  W.  Va. 
Jackson  J.,  97  Fed.,  926;  3  A.  B.  R.,  296. 

(4)  [Employes'  wages.]  Wages  due  to  workmen,  clerks, 
or  servants  which  have  been  earned  within  three  months 
before  the  date  of  the  commencement  of  proceedings, 
not  to  exceed  three  htmdred  dollars  to  each  claimant ;  and 

Salary  of  a  managing  director  is  not  a  preferred  claim.  In  re  Grabbs- 
Wiley  Grocery  Co.  (1899),  Dist.  Mo.,  Rathbun,  R.,  2  A.  B.  R.,  442;  1 
N.  B.  N.,  381. 

Creditors  must  prove  their  claims  before  they  can  petition  for  prefer- 
ence. In  re  Ogles,  W.  Dist.  Tenn.,  Walker,  R.,  2  A.  B.  R.,  514;  1 
N.  B.  N.,  400. 

Wages  blended  with  contract  emp  loying  capital  and  machinery  not  a 
prior  claim.  In  re  Rose  (1899),  N.  Dist.  Ohio,  Hunter,  R.,  1  A.  B.  R. 
68;  1  N.  B.  N.,  212. 

Wages  earned  after  filing  the  petition  in  bankruptcy  entitled  to  prior- 
ity under  clause  B(4).  In  re  Gerson  (1899),  E.  Dist.  Penn.,  Mason,  R., 
1  A.  B.  R..  251;  1  N.  B.  N.,  1  90. 

The  limitation  as  to  time  and  amount  must  prevail.  B  (5)  held  to  re- 
late to  other  and  different  debts.  In  re  Rouse  Hazard  &  Co.  (1899), 
C.  C.  A.,  7th  Circuit,  91  Fed.,  96;  1  A.  B.  R.,  234;  1.  B.  N.,  75. 

traveling  salesman  does  not  come  under  this  clause.     In  re  Seaman 


§64b.]  DEBTS  WHICH  HAVE  PRIORITY.  215 

Co.  (1899),  Dist.  Ky.,  Evans.  J.,  97  Fed.,  547;  3  A.  B.  R.,  202;  2  N.  B. 
N.,  58. 

Traveling  salesman's  wage  not  entitled  to  priority.  In  re  Greenewald 
&  Co.  (1900),  E.  Dist.  Penn.,  McPherson,  J..  99  Fed.,  705;  3  A.  B.  R., 
696;  2  N.  B.  N.,  791. 

Assignee  of  wage  claim  not  entitled  to  priority.  In  re  Westlund, 
1899)  Dist.  Minn.,  Lochren,  J.,  99  Fed.,  399;  3  A.  B.  R.,  646. 

Where  mortgaged  chattels  are  ordered  sold  free  from  lien  of  mort- 
gagee and  amount  realized  is  not  enough  to  satisfy  the  mortgage  debt, 
wages  will  not  be  paid  out  of  proceeds.  In  re  Frick  (1899),  N.  Dist.  O. 
Fay.  R..  1  A.  B.  R.,  719;  1  N.  B.  N..  214. 

Priority  of  a  wage  claim  not  lost  by  merging  it  in  a  judgment.  In  re 
Anson  (1900),  N.  Dist.  Cal.,  DeHaven,  J.,  101  Fed.,  698;  4  A.  B,  R.,  231; 
2  N.  B.  N..  567. 

Labor  claims  prior  to  specific  liens.  In  re  Teho,  (1900),  Dist.  W.  Va., 
Jackson,  J.,  101  Fed.,  419;  4  A.  B  R.,  235. 

Wage  claims  assigned  after  bankruptcy  have  priority  in  assignee's 
hands.  In  re  Campbell  (1900),  E.  Dist.  Wis.,  Seaman,  J.,  102  Fed.,  686; 
4  A.  B.  R.,  535. 

Commissions  due  as  wages  not  entitled  to  priority.  In  re  Mayer 
(1900),  Dist.  Wis.,  Seaman,  J.,  101  Fed..  227;  4  A.  B.  R.,  119;  2  N.  B.  N., 
257. 

President  of  bankrupt  corporation  cannot  claim  salary  as  prior  claim. 
In  re  Carolina  Cooperage  Co.  (1899),  E.  Dist.  N.  Car.,  Pximell,  J.,  96  Fed. 
950;  3  A.  B.  R.,  154;  2  N.  B.  N.,  23. 

Wage  claims  assigned  after  bankruptcy  have  priority  in  assignee's 
hands.  In  re  Campbell  (1900),  E.  Dist.  Wis..  Seaman,  J.,  102  Fed.,  686; 
4  A.  B.  R..  535. 

Priority  given  to  traveling  salesman  in  Washington  under  provision 
of  state  law.  In  re  Lawlor  (1901),  Dist.  Wash.,  Hanford,  J.,  110  Fed., 
135;  6  A.  B.  R.,  184. 

Sale  by  trustee  free  and  clear  of  liens  will  require  the  trustee  to  pay 
tax  liens.  In  re  Keller  (1901),  N.  Dist.  la.,  Shiras,  J.,  110  Fed.,  348; 
6  A.  B.  R.,  351. 

Wage  claim  comes  tinder  clause  b.  4,  not  under  clause  b.  5.  In  re 
Shaw  (1901),  E.  Dist.  Penn.  McPherson,  J.,  109  Fed.,  780;  6  A.  B.  R., 
501. 

Contract  of  employment  for  a  term  unexpired  at  the  time  of  bank- 
ruptcy does  not  entitle  employe  to  prove  claim  for  the  balance  of  the 
unexpired  term.  In  re  Silverman  Bros,  (1899),  West  Dist.  Mo.,  Critten- 
den, R.,  2  A.  B.  R.,  15;  1  N.  B.  N.,  286. 


216  DEBTS  WHICH  HAVE  PRIORITY.  [§64b. 

(5)  [Debts  to  persons  entitled  to  priority.]  Debts  owing 
to  any  person  who  by  the  laws  of  the  States  or  the  United 
States  is  entitled  to  priority. 

Debts  due  the  United  States  prior,  Sec,  3,466  Rev.  St.  of  U.  S. 

Debts  created  by  misappropriation  not  entitled  to  priority.  Credi- 
tors who  are  entitled  to  priority  lose  their  privilege  by  suffering  the  es- 
tate to  be  distributed  without  protest.  Claflin,  etc.  Co.  v.  Eason,  Trus- 
tee, (1899),  E.  Dist.  Tex.,  White,  R.,  2  A.  B.  R..  263;  1  N.  B.  N.,  360. 

A  claim  due  a  county  for  wages  of  its  convicts  is  provable  and  being 
a  preferred  claim  under  the  State  Law,  is  so  in  bankruptcy.  In  re  Wright, 
et  al.  (1899),  Dist.  Mass.,  Lowell,  J.,  95  Fed.,  807;  2  A.  B.  R.,  592;  1  N. 
B.    N.,    428. 

By  Penn.  law  landlord's  lien  is  a  prior  claim  even  for  future  rent.  In 
re  Goldstein  (1899),  W.  Dist.  Penn.,  Van  Wormer,  R.;  2  A.  B.  R.,  603; 
1  N.  B.  N.,  422. 

Judgments  for  fines  on  criminal  proceedings  recovered  by  the  State 
are  not  preferred  claims.  In  re  Alderson  (1900),  Dist.  W.  Va.,  J^kson, 
J.,  98  Fed.,  588;  3  A.  B.  R.,  544. 

Bankrupt  act  recognizes  liens  as  fixed  by  state  law — limitation  of  time 
for  filing  such  claims  governed  by  the  U.  S.  law.  In  re  Fall  City  Shirt 
Mfg.  Co.  (1899),  Dist.  Ky.,  Evans,  J.,  98  Fed.,  592;  3  A.  B.  R.,  437;  1  N. 
B.  N.,  565. 

Commissions  are  payable  on  claims  having  priority.  In  re  Gerson 
(1900),  E.  Dist.  Penn.,  Mason,  R.;  4  A.  B.  R.,  480;  2  N.  B.  N.,  860. 

No  priority  of  claim  allowed  where  trust  funds  were  commingled  by 
bankrupt  so  as  identity  is  lost.     idem. 

A  broker  borrowed  money  on  collateral  left  with  him,  which  was  sold 
by  his  creditor  becoming  bankrupt.  No  priority  of  claim  allowed  the 
depositor.     In  re  Swift  (1901) ,  Dist.  Mass.,  Olmstead,  R. ;  5  A.  B.  R.,  232. 

Claim  for  rent  given  priority  under  Penn.  statutes.  Applies  only  to 
rent  accruing  prior  to  date  of  adjudication.  Reasonable  rent  during 
trustee's  occupancy  allowed.  In  re  Cronson  (1899),  W.  Dist.  Penn., 
1  N.   B.   N.,  474. 

Debt  due  a  county  for  convict  labor  a  preferred  claim.  In  re  Wor- 
cester County  (1900),  C.  C.  A.,  First  Cir.,  Putnam,  J.,  102  Fed.,  808;  4 
A.   B.   R.,  496. 

Lien  for  laborer's  wages  secvu-ed  by  Ohio  statute  preserved  in  bank- 
ruptcy. In  re  Coe-Powers  &  Co.  et  al.  (1901),  C.  C.  A.,  6th  Cir.,  Day 
J.,  109  Fed.,  550;  6  A.  B.  R.,  1. 


§65  a.]      DECLARATION  AND  PAYMENT  OF  DIVIDENDS.  2l7 

Wage  claims  may  be  given  preference  tmder  this  clause  or  State  law 
may  give  and  control.  In  re  Lawlor  (1901),  Dist.  Wash.,  Hanford,  J., 
6,  110  Fed.,  135;  6  A.  B.  R.,  184. 

Where  the  state  law  gives  debt  due  by  guardian  a  priority  it  will  be 
respected  as  such  in  bankruptcy.  In  re  Crow  (1902),  W.  Dist.  Ky., 
Dean,  R.;  7  A.  B.  R.,  545. 

Insolvency  law  in  State  in  force  for  ptirpose  of  determining  priority. 
In  re  Daniels  (1901),  Dist.  R.  I.,  Brown,  J.,  110  Fed.,  745;  6  A.  B.  R.,  699. 

Lien  claims  tmder  Va.  law  for  supplies  discussed. 

Insurance  by  mortgagor  does  not  iniire  to  benefit  mortgagee  or  lienor 
imless  by  contract.  In  re  West  Norfolk  Lvmiber  Co.  (1902),  East  Dist. 
Va.,  Waddill,  J.,  112  Fed.,  759;  7  A.  B.  R.,  648. 

(c)    [After  composition  set  aside  or  discharge  revoked.] 

In  the  event  of  the  confirmation  of  a  composition  being  set 
aside,  or  a  discharge  revoked,  the  property  acquired  by  the 
bankrupt  in  addition  to  his  estate  at  the  time  the  compo- 
sition was  confirmed  or  the  adjudication  was  made  shall 
be  applied  to  the  payment  in  full  of  the  claims  of  creditors 
for  property  sold  to  him  on  credit,  in  good  faith,  while 
such  composition  or  discharge  was  in  force,  and  the  residue 
if  any,  shall  be  applied  to  the  payment  of  the  debts  which 
were  owing  at  the  time  of  the  adjudication. 

As  to  revocation  of  discharge  see  ante  Sec.  15;  as  to  setting  aside  a  com- 
position see  ante  Sec.  13,  also  Sec.  12.  As  to  when  compositions  may 
be  offered. 

For  analogoiis  provisions  of  Act  of  1800,  see  29  and  30  of  that  act;  of 
Act  of  1841,  see  Sec.  10  of  that  act;  also  Sees.  27  and  28  of  Act  of  1867. 

Sec.  65.    Declaration   and  Payment  of  Dividends. 

a  [On  allowed  claims.]  Dividends  of  an  equal  per  cen- 
ttim  shall  be  declared  and  paid  on  all  allowed  claims,  ex- 
cept such  as  have  priority  or  are  secured. 

See  Sec.  64  and  note  as  to  debts  which  have  priority. 
Discussion  of  word  "dividend"  in  re  Fielding  (1899),  W.  Dist.  Mo., 
Phillips.  J.,  96  Fed.,  800;  3  A.   B.  R.,  135;  2  N.  B.  N.,  735. 


218  DECLARATION  AND  PAYMENT  OF  DIVIDENDS.  [§65bc. 

b  [First  and  subsequent  dividends.]  The  first  dividend 
shall  be  declared  within  thirty  days  after  the  adjudication, 
if  the  money  of  the  estate  in  excess  of  the  amount  neces- 
sary to  pay  the  debts  which  have  priority  and  such  claims 
as  have  not  been,  but  probably  will  be,  allowed  equals  five 
per  centum  or  more  of  such  allowed  claims.  Dividends 
subsequent  to  the  first  shall  be  declared  upon  like  terms  as 
the  first  and  as  often  as  the  amount  shall  equal  ten  per 
centum  or  more  and  upon  closing  the  estate.  Dividends 
may  be  declared  oftener  and  in  smaller  proportions  if  the 
judge  shall  so  order :  *  Provided,  That  the  first  dividend  shall 
not  include  more  than  fifty  per  centum  of  the  money  of  the 
estate  in  excess  of  the  amount  necessary  to  pay  the  debts 
which  have  priority  and  such  claims  as  probably  will  be  al- 
lowed: And  provided  further,  That  the  final  dividend 
shall  not  be  declared  within  three  months  after  the  first 
dividend  shall  be  declared.* 

As  amended  by  act  of  1903.  See  amendment  page  Post.  New  matter  found  between 
stars. 

Commissions  may  be  paid  referees  and  trustees  on  money  paid  out  on, 
first,  unsecured  debts;  second,  on  commissions;  third,  on  the  surplus  to 
the  bankrupt  after  all  creditors  are  paid  in  ftill,  but  not  on  payments  on 
claims  entitled  to  priority;  if  secured  creditor  submits  his  security  to  the 
bankruptcy  court  and  receives  his  due,  commission  should  be  allowed  on 
amount  paid.  In  re  Sabine  (1899),  N.  Dist.  N.  Y.,  Hotchkiss,  R.,1A. 
B.  R.,  322;  1  N.  B.  N.,  312. 

The  referee  should  hold  back  from  the  amoimt  of  the  first  dividend 
enough  to  cover  expenses  of  administration  and  to  cover  such  claims  as 
he  has  intimation  will  probably  be  presented  and  allowed.  Attorneys 
have  a  right  to  priority  out  of  any  funds  that  may  be  in  the  hands  of 
trustee  at  the  time  claim  is  allowed.  In  re  Scott  (1899),  E.  Dist.  Tex., 
Meek,  J.,  96  Fed.,  607;  2  A.  B.  R.,  324;  1  N.  B.  N.,  353. 

Dividend  defined.  In  re  Barber  (1899),  Dist.  Minn.,  Lochren,  J., 
97  Fed.,  517;  3  A.  B.  R.,  306;  1  N.  B.  N.,  559. 

c    [Claims  filed  subsequent  to  payment    of  dividends.] 

The  rights  of  creditors  who  have  received  dividends,   or  in 
whose  favor  final  dividends  have  been  declared,  shall  not  be 


§66ab.]  UNCLAIMED  DIVIDENDS.  219 

affected  by  the  proof  and  allowance  of  claims  subsequent 
to  the  date  of  such  payment  or  declarations  of  dividends ; 
but  the  creditors  proving  and  securing  the  allowance  of 
such  claims  shall  be  paid  dividends  equal  in  amount  to  those 
already  received  by  the  other  creditors  if  the  estate  equals 
so  much  before  such  other  creditors  are  paid  any  further 
dividends. 

Money  ready  for  distribution  should  be  paid  to  creditors  who  have  filed 
their  claims.  No  money  should  be  retained  for  schedule  creditors  who 
have  not  filed  their  claims.  In  re  Stein  (1899),  Dist.  Ind.,  Baker,  J., 
94  Fed.,  124;  1  A.  B.  R.,  662;  1  N.  B.  N.,  339. 

d  [When  person  adjudged  bankrupt  without  the  United 
States.]  Whenever  a  person  shall  have  been  adjudged  a 
bankrupt  by  a  court  without  the  United  States  and  also  by 
a  court  of  bankruptcy,  creditors  residing  within  the  United 
States  shall  first  be  paid  a  dividend  equal  to  that  received 
in  the  court  without  the  United  States  by  other  creditors 
before  creditors  who  have  received  a  dividend  in  such  courts 
shall  be  paid  any  amounts. 

e  [Limit  to  amount  collectable  by  claimant.]  A  claimant 
shall  not  be  entitled  to  collect  from  a  bankrupt  estate  any 
greater  amount  than  shall  accrue  pursuant  to  the  provis- 
ions of  this  Act. 

Sec.  66.     Unclaimed  Dividends. 

a  [Payment  into  court.]  Dividends  which  remain  un- 
claimed for  six  months  after  the  final  dividend  has  been 
declared  shall  be  paid  by  the  trustee  into  court. 

b  [Distribution  after  one  year.]  Dividends  remaining 
unclaimed  for  one  year  shall,  under  the  direction  of  the 
court,  be  distributed  to  the  creditors  whose  claims  have 
been  allowed  but  not  paid  in  full,  and  after  such  claims 
have  been  paid  in  full  the  balance  shall  be  paid  to  the  bank- 


220  LIENS.  [§6?a. 

rupt :  Provided,  That  in  case  unclaimed  dividends  belong 
to  minors  such  minors  may  have  one  year  after  arriving  at 
majority  to  claim  such  dividends. 

Sec.  67.     Liens. 

a  [Claims  which  are  not  valid  liens.]  Claims  which  for 
want  of  record  or  for  other  reasons  would  not  have  been 
valid  liens  as  against  the  claims  of  the  creditors  of  the 
bankrupt  shall  not  be  liens  against  his  estate. 

State  law  giving  vendor  of  property  the  right  to  subject  the  same  tu 
levy  for  purchase  money  gives  no  lien  superior  to  the  trustee.  In  re 
Wilkes,  E.  Dist.  Ark.,  Trieber,  J.,  7  A.  B.  R.,  574. 

No  lien  where  purchase  price  of  goods  not  secured  by  chattel  mortgage. 
In  re  Tatem,  Mann  &  Co.,  E.  Dist.  N.  C,  Pumell,  J.,  6  A.  B.  R.,  426. 

Unrecorded  chattel  mcrtgage  avoided  as  to  trustee.  In  re  Leigh 
Bros.  Dist.  Colo.,  Harrison,  R.,  2  A.  B.  R.,  606;  1  N.  B.  N.,  425. 

An  unrecorded  chattel  mortgage  is  void  as  to  creditors  who  became 
such  between  making  and  the  filing  of  the  same.  Znr^Loud  (1899),  E, 
Dist.  Mich.,  Davock,  R.,  1  N.  B.  N.,  502. 

A  mortgage  executed  more  than  four  months  prior  to  bankruptcy 
proceedings,  but  recorded  in  less  than  four  months,  is  nevertheless  a  valid 
lien.     In  r^  Wright  (1899) ,  N.  Dist.  Ga.,  Newman,].,  96  Fed.,  187;  2  A. 

B.  R.,  364;  1  N.  B.  N.,  381. 

Lien  of  a  mechanic  enforced  provided  he  has  complied  with  the  statu- 
tory conditions.  In  re  Kirby-Dennis  Co.,  (1899),  C.  C.  A.,  7th  Cir., 
Jenkins,  J.,  95  Fed.,  116;  2  A.  B.  R.,  402;  1  N.  B.  N.,  399. 

A  lien  not  perfected  at  the  time  of  proceedings  in  bankruptcy  is  lost — 
a  tnistee  does  not  represent  lien  claimants  as  against  vmsecured  creditors. 
Goldman,  Beckman  &  Co.  v.  Smith  (1899),  Dist.  of  Ky.,  Durett,  R.,  2 
A.  B.  R..  104;  1  N.  B.  N,  291. 

An  unrecorded  chattel  mortgage  avoided  as  to  trustee.  In  re  Leigh 
Bros.  (1899),  Dist.  Colo.,  Harrison,  R.,  96  Fed.,  806,  2  A.  B.  R.,  606;  1 
N.  B.  N.,  526. 

This  section  and  subdivisions  c  and  f  refers  to  existing  liens,  not 
those  merged  in  judgment.  Property  sold  and  proceeds  distributed 
before  power  of  bankruptcy  court  invoked.     Botts  v.  Hammond  (1900), 

C.  C.  A.,  4th  Cir.,  Simonton,  J.,  99  Fed.,  916;  3  A.  B.  R.,  775. 

Mortgage  hens — facts  establishing  fraud.  In  re  Steininger  Mercan- 
tile Co.  (1900),  C.  C.  A.,  5th  Circt.,  Pardee,  J.,  107  Fed.,  669;  6  A.  B.  R.,  68. 


§67a.]  LIENS.  22j 

Purchaser  having  notice  of  insolvency  of  bankrupt  not  a  bona  fide 
purchaser  within  the  meaning  of  the  act.  Brown  v.  Case,  Sup.  Jud.  Ct., 
Mass.,  Lathrop,  J.,  61  N.  E.,  279;  6  A.  B.  R.,  744. 

Pledge  without  delivering  or  recording  valid  in  Georgia  and  good 
against  trustee — trustee  takes  property  as  the  innocent  piu-chaser. 
Chattanooga  Nat.  Bank  v.  Rome  Iron  Co.  (1900)  Cir.  Ct.,  Nor.  Dist.  Ga. 
Newman,  J.,  102  Fed.,  755;  4  A.  B.  R.,  441. 

A  chattel  mortgage  which  for  want  of  re  cording  or  refiling  became 
invalid  as  to  creditors  is  so  invalid  only  as  to  judgment  creditors,  and 
good  as  against  general  creditors  represented  by  the  trustee.  In  re 
New  York  Economical  Printing  Co.  (1901),  C.  C.  A.,  2nd  Cir.,  Wallace, 
J.,  110  Fed.,  514;  6  A.  B.  R.,  615. 

Trustee  as  against  unrecorded  conditional  sale  is  in  the  position  of  a 
judgment  creditor.  Logan  v.  Nebraska  Moline  Plow  Co  (1902) ,  Sup.  Ct. 
Neb.,  Day,  J.,  92  N.  W.,  129. 

Chattel  mortgage  given  in  good  faith  cannot  be  questioned  by  the 
trustee.  In  re  Standard  Laimdrj-  Co.  (1902),  C.  C.  A.,  9th  Cir.,  Hawley, 
J.,  116  Fed.,  476;  8  A.  B.  R.,  538. 

Conditional  sale  void  under  state  law  as  to  creditors  is  void  as  to 
trustee — all  creditors  of  the  bankrupt  have  the  status  through  the  trustee 
of  attaching  creditors,  as  well  in  voluntary  as  in  involuntary  cases.  In  re 
Fraizer  (1902),  W.  Dist.  Mo.,  Phillips,  J.,  9  A.  B.  R.,  21. 

A  conditional  sale  not  allowed  as  a  preferred  claim  where  it  appears 
that  the  claimant  delivered  goods  to  the  bankrupt  under  contract  for  re- 
taining title,  but  the  circumstances  showed  it  to  be  a  conditional  sale. 
Tn  re  Robinson  (1902),  W.  Dist.  Mo.,  Phillips,  J.,  118  Fed.,  471;  9  A.  B. 
R.,  180. 

Lien  of  chattel  mortgage  in  Wisconsin  which  was  not  filed  for  record 
until  after  a  general  assignment  is  lost  as  to  the  trustee  in  bankruptcy 
subsequently  appointed — question  of  rights  of  trustee  generally  to  assail 
mortgage  defective  as  to  creditors  not  determined.  In  re  Yi.  G.  Andrae 
Co.  (1902),  E.  Dist.  Wis.,  Seaman,  J.,  9  A.  B.  R.,  135. 

Unrecorded  mechanic's  lien  not  invalid  where  security  given  to  secure 
former  advances.  Duplan  Silk  Co  v.  Spencer  (1902),  C.  C.  A.,  3rd  Cir., 
Gray,  J.,  115  Fed.,  689;  8  A.  B.  R.,  367. 

Trustee  entitled  to  be  substituted  to  rights  of  attachment  creditors  as 
party  plaintiff.  Patten  v.  Corley  (1902),  Sup.  Ct.  N.  V.,  Bartlett,  J.,  8 
A.  B.  R.,  482. 

Trustee  may  be  subrogated  to  rights  of  a  creditor  having  judgment 
against  bankrupt  on  note  containing  waiver  of  personal  property  exemp- 
tion. In  re  W.  G.  Jackson  (1902),  E.  Dist.  Pa.,  McPherson,  J.,  116  Fed., 
46;  8  A.  B.  R.,  594. 


222  -       LIENS.  [§67  be. 

This  section  does  not  extend  to  a  judgment  or  decree  enforcing  a  pre* 
existing  lien,  but  is  confined  to  judgments  creating  liens.  Metcalf  v. 
Barker  (1902),  Sup.  Ct.  of  U.  S.,  Fuller,  J.,  9  A.  B.  R.,  36. 

Sale  on  fraudulent  representations  as  to  solvency  may  be  disafBnned 
and  goods  recovered  for  trustee.  In  re  Hamilton  Furniture  8c  Carpet 
Co.  (1902),  Pist.  of  Ind.,  Baker,  J.,  9  A.  B.  R.,  65. 

A  deed  by  a  bankrupt  to  his  mother  who  had  no  knowledge  of  his  in- 
solvency is  not  affected  by  the  bankruptcy  act.  Craft  v.  Morrow  (1901), 
Penn.  County  Court,  Taylor,  J.,  25  Pa.,  Co.,  C.  487. 

A  lien  acquired  by  a  creditor's  bill  on  real  estate  allowed  to  stand- 
Arnold  v.  Trevianns  (1903),  Sup.  Ct.  N.  Y.,  Jenks,  J.,  79  N.  Y.  Supp., 
732. 

Trustee  takes  property  subject  to  existing  liens  —effect  of  mechanic's 
liens.  South  End  Improvement  Co.  v.  Harden  (1902),  Stip.  Ct.  N.  J.  (Eq.), 
Reed,  J.,  52  Atl..  1127. 

h  [Trustee  subrogated  to  rights  of  creditors.]  When- 
ever a  creditor  is  prevented  from  enforcing  his  rights  as 
against  a  lien  created,  or  attempted  to  be  created, by 
his  debtor,  who  afterwards  becomes  a  bankrupt,  the  trustee 
of  the  estate  of  such  bankrupt  shall  be  subrogated  to  and 
may  enforce  such  rights  of  such  creditor  for  the  benefit 
of  the  estate. 

Creditor's  bill  in  state  court  long  pending  against  bankrupt  is  not 
abated  by  bankruptcy.  Trustee  may  intervene  and  pursue  the  remedy 
for  benefit  of  general  or  secured  creditors.  Taylor  v.  Taylor  et  al  (1900) , 
N.  J.  Chancery,  Reed,  J.,  45   Atl.,  440;  4  A.  B.  R.,  211. 

Section  67  f  applies  to  both  voluntary  and  involuntary  cases.  In  re; 
Vaughan  (1899),  S.  Dist.  N.  Y.,  Brown,  J.,  97  Fed.,  560;  3  A.  B.  R.,  362. 

2  N.  B.  N.,  101. 

This  section  covers  voluntary  as  well  involuntary  bankruptcies 
In  re  Richards  (1899),  C.  C.  A.,   7th   Cir.,   Jenkins,   J.,   96  Fed.,   935; 

3  A.  B.  R.,  145;  2  N.  B.  N.,  38. 

In  conditional  sale  title  goes  to  the  trustee — contract  of  sale  that 
title  remain  in  the  vendor  till  paid  is  conditional.  In  re  Rowland  (1901) , 
N.  Dist.  N.  Y.,  Coxe,  J.,  109  Fed.,  869;  6  A.  B.  R.,  495. 

c  [Certain  liens  dissolved.]  A  lien  created  by  or  ob- 
tained in  or  pursuant  to  any  suit  or  proceeding  at  law 
or  in  equity,  including  an  attachment  upon  mesne  process 


§67c.]  LIENS.  223 

or  a  judgment  by  confession,  which  was  begiin  against 
a  person  within  four  months  before  the  fiHng  of  a  petition 
in  bankruptcy  by  or  against  such  person  shall  be  dissolved 
by  the  adjudication  of  such  person  to  be  a  bankrupt  if 

(1)  [Defendant  insolvent.]  It  appears  that  said  lien 
was  obtained  and  permitted  while  the  defendant  was 
insolvent  and  that  its  existence  and  enforcement  will 
work  a  preference,  or 

"Insolvency"  defined.     Sec.  1  (15).     Preference  defined  Sec.  60  a. 

Knowledge  of  insolvency  not  necessary  to  be  shown.  In  re  Burros 
(1899),  W.  Dist.  Va.,  Jackson,  J.,  97  Fed.,  926;  3  A.  B.  R.,  296. 

Proceeds  of  execution  in  the  hands  of  the  sheriff  for  levy  inside  of 
four  months  goes  to  the  trustee.  In  re  Tenney,  S.  Dist.  N.  Y.,  Brown, 
J.,  97  Fed.,  554;  3  A.  B.  R.,  353;  2  N.  B.  N.,  140. 

Lien  acquired  more  than  four  months  prior  not  affected  by  bank- 
ruptcy proceedings.  In  re  Dunavant  (1899),  E.  Dist.  N.  C,  96  Fed., 
542;  3  A.  B.  R.,  41;  1  N.  B.  N.,  542. 

Mechanic's  lien  in  N.  Y.  obtained  for  antecedent  debt  is  dissolved 
by  petition  filed  within  four  months  after  notice  of  lien  filed.  In  re 
EmsHe  &  Son  (1900),  S.  Dist.  N.  Y.,  Brown,  J.,  102  Fed.,  291;  3  A.  B.  R., 
516;  2  N.  B.  N.,  324. 

The  time  of  the  entry  of  the  judgment,  not  the  time  of  giving  the 
note  counted  as  to  the  validity  of  the  lien.  In  re  Richards] (1890),  C.  C. 
A.,     7th  Cir.,  Jenkins,  J.,  96  Fed.,  935;  3  A.  B.  R.,  145;2|N.  B.  N.,  38. 

Mortgage  of  property  shortly  before  bankruptcy  avoided.  In  re 
McLam  (1899),  Dist.  Vt.,  Wheeler,  J.,  97  Fed.,  922;  3  A.  B.  R.,  245. 

(2)  [Knowledge  of  Insolvency.]    The  party  or  parties 

to  be  benefited  thereby  had  reasonable  cause  to  believe 

the   defendant   was   insolvent   and    in   contemplation   of 

bankruptcy,  or 

Costs  and  disbixrsements  of  an  attachment  suit  pending  against  the 
bankrupt  are  not  collectable  out  of  the  bankrupt's  estate.  In  re  Yotmg 
(1899),  E.  Dist.  N.  Y.,  Thomas,  J.,  96  Fed.,  606;  2  A  .  B.  R.,  673;  1  N.  B. 
N.  428. 

(3)  [Fraud  —  trustee  subrogated.]  That  such  lien  was 
sought  and  permitted  in  fraud  of  the  provisions  of  this 


224  LIENS.  [§67d. 

Act ;  or  if  the  dissolution  of  such  lien  would  militate  against 
the  best  interests  of  the  estate  of  such  person  the  same 
shall  not  be  dissolved,  but  the  trustee  of  the  estate  of  such 
person,  for  the  benefit  of  the  estate,  shall  be  subrogated 
to  the  rights  of  the  holder  of  such  lien  and  empowered 
to  perfect  and  enforce  the  same  in  his  name  as  trustee 
with  like  force  and  effect  as  such  holder  might  have  done 
had  not  bankruptcy  proceedings  intervened. 

Judgments  obtained  preferentially  will  be  set  aside  and  the  sheriff 
be  required  to  turn  over  to  trustee  all  the  proceeds  of  execution  thereunder. 
Such  creditors  may,  however,  prove  their  claims  as  general  creditors. 
In  re  Richard  (1899),  E.  Dist.  N.  C,  Pumell,  J.,  94  Fed.,  633;  2  A.  B.  R., 
506;  1  N.  B.  N.,  487. 

Trustee  subrogated  to  lien  of  a  tt  aching  creditors  and  District  Court 
held  jurisdiction.  Inre  Hammond  (1899),  Dist.  Mass.,  Lowell,  J.,  98  Fed.. 
845;  3  A.  B.  R.,  466. 

d  [Liens  given  in  good  faith.]  Liens  given  or  accepted 
in  good  faith  and  not  in  contemplation  of  or  in  fraud  upon 
this  Act,  and  for  a  present  consideration,  which  have 
been  recorded  according  to  law,  if  record  thereof  was 
necessary  in  order  to  impart  notice,  shall  not  be  affected 
by  this  Act. 

See  notes  to  e  and  f ,  -post. 

Lien  of  mortgage  creditor  after  foreclosure  does  not  attach  to  the  rents 
received  by  the  trustee  pending  redemption,  nor  should  the  trustee  be 
reqtdred  to  pay  the  taxes.  In  re  HoUenfeltz  (1899),  N.  Dist.  la.,  Shiras, 
J.,  94  Fed.,  629;  2  A.  B.  R.,  499;  1  N.  B.  N.,  503. 

Statutory  liens  of  landlord  may  be  lost  by  mixing  the  claim  therefor, 
with  other  claims  for  which  no  lien  is  given.  In  re  Wolf  (1899),  N 
Dist.  la.,  Shiras,  J.,  98  Fed.,  74;  3  A.  B.  R.,  558;  2  N.  B.  N.,  908. 

Chattel  mortgage  imder  Ohio  law  unrecorded  becomes  valid  by  re- 
cording against  creditors  who  have  not  acquired  liens  in  the  interval.  In 
re  Schmitt,  Dist.  Ohio,  Wing,  J.,  6  A.  B.  R.,  150. 

Burden  of  proof  of  showing  lien  is  on  the  creditor  making  the  claim. 
In  re  Wood  (1899),  E.  Dist.  N,  C,  Pumell,  J..  95  Fed.,  946;  2  A.  B.  R., 
695;  1  N.  B.  N.,  430. 

Bankruptcy  court  has  no  power  to  issue  injvmction  restraining  mortga- . 


§67d.J  LIENS.  225 

gees  from  foreclosing  liens — the  liens  to  attach  to  the  proceeds  of  the 
property  sold  in  bankruptcy.  In  re  Pittlekow  (1899),  E.  Dist.  Wis,, 
Seaman,  J.,  92  Fed.,  901;  1  A.  B.  R.,  472;  1  N.  B.  N.,  234. 

Court  of  bankruptcy  may  order  property  sold  divested  of  all  liens,  the 
liens  to  be  transferred  to  the  proceeds.  In  re  Worland  (1899),  N.  Dist. 
la.,  Shiras,  J.,  92  Fed.,  893;  1  A.  B.  R.,  450;  1  N.  B.  N.,  316. 

Lien  of  attachment  obtained  within  four  months  of  filing  a  petition 
is  annulled  by  proceedings  in  bankruptcy  even  if  suit  was  begun  more 
than  fotir  months  prior  to  proceedings.  In  re  Friedman  (1899),  S. 
Dist.  N.  Y.,  Holt,  R.;  1  A.  B.  R.,  510;  1  N.  B.  N.,  208. 

District  cotut  will  extend  equity  powers  to  enforce  state  liens — wages 
preferred  by  state  law  superior  to  landlord's  lien.  In  re  Byrne  &  Co. 
(1899),  S.  Dist.  la.,  Shiras,  J.,  97  Fed.,  762;  3  A.  B.  R.,  268;  2  N.  B.  N., 
246. 

Landlord  has  no  lien  for  overdue  rent  tinder  Penn.  statute.  In  re 
Rupple  (1899),  W.  Dist.  Penn.,  Buffington,  J.,  97  Fed.,  778;  3  A.  B.  R., 
233;  2  N.  B.  N.,  88. 

Fictitious  sales  for  increasing  the  business  of  a  corporation  are  con- 
trary to  public  policy  and  parties  thereto  cannot  nlaintain  liens  thereon 
in  bankruptcy.  In  re  Fort  Wayne  Electric  Corp.  (1899),  Dist.  Ind., 
Baker,  J.,  95  Fed.,  264;  2  A.  B.  R.,  503;  1  N.  B.  N.,  356. 

Bankruptcy  does  not  affect  liens  given  by  local  law.  In  re  Oconee 
Milling  Co.  (1901),  C.  C.  A.,  5th  Cir.,  109  Fed.,  866;  6  A.  B.  R.,  475., 

Where  there  is  no  value  to  the  estate  for  creditors  from  the  proceed- 
ings liens  will  not  be  adjudicated  in  bankruptcy.  In  re  Gibbs  (1901), 
Dist.  Vt.,  Wheeler,  J.,  X09  Fed.,  627;  6  A.  B.  R.,  485. 

Withholding  chattel  mortgage  from  record  is  not  per  se  proof  of  fraud 
and  mortgage  is  good  from  date  of  record.  In  re  Shirley  (1901),  C.  C. 
A.,  6th  Cir.,  Day,  J.,  112  Fed.,  801;  7  A.  B.  R.,  299. 

If  a  transferee  has  reasonable  cause  to  believe  that  a  preference  was 
intended  by  making  the  transfer  it  will  be  void.  In  re  Jacobs  (1899). 
W.  Dist.  La.,  Jones,  R.,  99  Fed.,  539;  1  A.  B.  R.,  518;  1  N.  B.  N.,  183. 
Idem. 

Section  60  and  67  e.  of  the  Act  construed    and  compared.    Idem. 

Transferee  has  reasonable  cause  to  suspect  a  preference  when  slight- 
est inquiry  wovdd  inform  him  as  to  the  facts.   Idem. 

Tailor  who  has  taken  goods  from  the  bankrupt  to  make  up  on  the 
piece  plan,  held  to  have  a  lien  on  the  goods  as  against  the  trustee.  In  re 
Lowensohn  (1900),  S.  Dist.  N.  Y.,  Brown,  J.,  100  Fed.,  776;  4  A.  B.  R., 
79;  2  N.  B.  N..  71. 


226  LIENS.  [§67(1. 

Chattel  mortgage  void  for  tincertainty  which  describes  stock  of  mer- 
chandise merely  as  such.  Stroud  v.  Mc  Daniel  (1901),  C.  C.  A.,  4th  Cir., 
Puniell,  J.,  106  Fed.,  493;  5  A.  B.  R.,  695. 

Costs  of  administration  and  wage  claims  prior  to  specific  liens.  In  re 
Tebo  (1900),  Dist.  W.  Va..  Jackson,  J.,  101  Fed.,  419;  4  A.  B.  R.,  235. 

Lien  relinquished  by  creditor  of  a  bankrupt  under  mistake  of  law 
or  fact  may  be  restored  if  without  loss  to  the  estate.  In  re  Swift  (1900) , 
Dist.  Mass.,  LoweU,  J.,  5  A.  B.  R,  232. 

The  rights  of  a  mortgagee  to  foreclose  a  chattel  mortgage  are  not 
affected  by  bankruptcy  of  mortgagor.  Harvey  v.  Smith  (1901),  Supreme 
Ct.,  Mass.,  Knowlton,  J.,  7  A.  B.  R.,  497. 

Lien  on  property  set  aside  as  exempt  must  be  adjudicated  in  other, 
courts.  7«rgLittle(1901),N.  Dist.Ia.,Shiras,J.,  llOFed.,  621;  6A.  B. 
R.,  681. 

Renewal  of  chattel  mortgage  within  four  months  period  is  not  for 
past  consideration,  and  good  in  the  absence  of  other  intervening  liens. 
In  re  Shepherd  (1901),  N.  Dist.  lU.,  Eastman,  R.,  6  A.  B.  R.,  725. 

To  rescind  sale  on  ground  of  fraud  there  must  be  some  known  false 
misrepresentation  on  which  seller  of  goods  relied.  In  re  Roalswick  (1901) , 
Dist.  Mont.,  Knowles,  J.,  110  Fed.,  639;  6  A.  B.  R.,  752. 

Lien  given  by  state  law  on  clothing  sold  by  bankrupt  is  lost  by  neglect 
to  have  the  same  sold  separately — it  is  no  lien  on  the  general  funds.  In  re 
Klopholtz  &  Brien  (1902),  E.  Dist.  Penn.,  McPherson,  J.,  113  Fed.,  1002; 
7  A.  B.  R.,703. 

Mortgage  for  present  consideration  is  valid  where  mortgage  was  in 
good  faith  although  the  bankrupt  used  proceeds  of  loan  to  make  prefer- 
ences. In  re  Soudans  Mfg.  Co.  (1902),  C.  C.  A.,  7th  Cir.,  Seaman,  J.,  113 
Fed.,  804;  8  A.  B.  R,  45. 

Discharge  in  bankruptcy  does  not  affect  liens  on  exempt  property. 
Evans  v.  Rounsaville,  Supreme  Ct.,  Ga.,  Little,  J.,  8  A.  B.  R.,  236;  Smith 
V.  Zachry  (1902),  Sup.  Ct.,  Ga.,  Little,  J.,  8  A.  B.  R.,  240. 

Lien  of  mortgage  not  affected  by  bankruptcy  xmless  creditor  proves  his 
claim.  Reed  v.  Equitable  Trust  Co.  (1902),  Sup.  Ct.,  Ga.,  Lxmipkin,  J., 
Little,  J.,  8  A.  B.R.,  242. 

Pledge  without  delivery  or  recording  valid  in  Georgia,  good  against 
tnistee — trustee  takes  property  as  the  debtor  had,  subject  to  valid  liens, 
not  as  an  innocent  purchaser.  Bank  v.  Rome  Iron  Co.  (1900),  N.  Dist. 
Ga.,  Newman,  J.,  4  A.  B.  R.,  441. 

Mortgaged  property  may  be  sold  free  of  liens  and  the  mortgage  tested 
§is  to  its  jurisdiction  in  bankruptcy  to  determine — distinction  between 


§67e.]  LIENS.  227 

Bardes  v.  Bank  case.  In  re  Kellogg  (1902),  W.  Dist.  N.  Y.,  Hazel,  J., 
112  Fed.,  52;  7  A.  B.  R.,  623. 

e    [Conveyances  within  four  months — when  void..]    That 

all  conveyances,  transfers,  assignments,  or  incumbrances  of 
his  property,  or  any  part  thereof,  made  or  given  by  a  person 
adjudged  a  bankrupt  imder  the  provisions  of  this  Act  subse- 
quent to  the  passage  of  this  Act  and  within  four  months 
prior  to  the  filing  of  the  petition,  with  the  intent  and  pur- 
pose on  his  part  to  hinder,  delay,  or  defraud  his  creditors, 
or  any  of  them,  shall  be  null  and  void  as  against  the  creditors 
of  such  debtor,  except  as  to  purchasers  in  good  faith  and  for 
a  present  fair  consideration ;  and  all  property  of  the  debtor 
conveyed,  transferred,  assigned,  orencumbered  as  aforesaid 
shall,  if  he  be  adjudged  a  bankrupt,  and  the  same  is  not  ex- 
empt from  execution  and  liability  for  debts  by  the  law  of 
his  domicile,  be  and  remain  a  part  of  the  assets  and  estate 
of  the  bankrupt  and  shall  pass  to  his  said  trustee,  whose  duty 
it  shall  be  to  recover  and  reclaim  the  same  by  legal  pro- 
ceedings or  otherwise  for  the  benefit  of  the  creditors.  And 
all  conveyances,  transfers,  or  inciimbrances  of  his  property 
made  by  a  debtor  at  any  time  within  four  months  prior  to 
the  filing  of  the  petition  against  him,  and  while  insolvent, 
which  are  held  null  and  void  as  against  the  creditors  of  such 
debtor  by  the  laws  of  the  State,  Territory,  or  District  in 
which  such  property  is  situate,  shall  be  deemed  null  and  void 
under  this  Act  against  the  creditors  of  such  debtor  if  he  be 
adjudged  a  bankrupt,  and  such  property  shall  pass  to  the 
assignee  (trustee)  and  be  by  him  reclaimed  and  recovered 
for  the  benefit  of  the  creditors  of  the  bankrupt. 

*For  the  purpose  of  such  recovery  any  court  of  bank- 
ruptcy as  hereinbefore  defined,  and  any  state  court  which 
would  have  had  jurisdiction  if  bankruptcy  had  not  inter- 
vened shall  have  concurrent  jurisdiction. 

As  amended  by  Act  of  1903,  see  amendment,  page  post. 


228  LIENS.  [§67e. 

New  and  additional  matter  found  between  stars. 

As  to  jurisdiction  of  suits,  see  Sec.  11  and  Sec.  23b  ante. 

As  to  assignment,  see  Sec.  3  (4). 

General  assignment  is  act  of  bankruptcy  and  voidable.  In  re  Gray 
(1900),  N.  Y.  Sup.  Ct.,  Barrett,  J.,  3  A.  B.  R.,  647. 

Section  67  e  and  Section  70  construed  and  compared.  In  re  Gray  (1900) , 
N.  Y.  Sup.  Ct.,  Barrett,  J.,  3  A.  B.  R.,  647. 

A  preference  is  created  by  the  pledge  of  property  by  the  bankrupt 
shortly  before  bankruptcy,  although  the  agreement  therefor  was  more 
than  four  months  antecedent  to  the  filing  of  the  petition.  In  re  Sheridan 
(1899),  E.  Dist.  Penn.,  McPherson,  J.,  98  Fed.,  406;  3  A.  B.  R.,  554. 

Sureties  on  appeal  bond  who  receive  mortgages  to  repay  them  for 
disbursements  made  on  the  defalcation  of  the  bankrupt  occupy  no 
superior  equitable  position.  In  re  Richards  (1899),  W.  Dist.  Wis., 
Bunn,  J.,  95  Fed.,  258;  2  A.  B.  R.,  518. 

Intent  of  the  mortgagee  immaterial,  and  if  for  post  debt  within  the 
prohibited  period,  trustee  may  recover.  Cullinane  v.  State  Bank  of  Wa- 
verley  (1902),  Sup.  Ct.  Iowa,  Bishop,  J.;  91  N.  W.,  783. 

Claimants  to  property  seized  under  an  attachment  within  four  months 
of  the  debtor's  adjudication  as  a  bankrupt,  cannot,  on  mere  motion  to 
that  end,  sectire  the  delivery  of  the  property  to  them  on  the  theory  that 
the  title  was  not  in  the  debtor  but  in  his  trustee  in  bankruptcy.  New 
Orleans  Acid  and  Fertilizer  Co.  v.  Grissom  &  Suggs  (1901),  Sup.  Ct.  Miss., 
Calhoun,  J.,  79  Miss.,  662. 

Mortgage  securing  present  advancements  as  well  as  antecedent  debts 
creates  a  preference  only  as  to  the  latter.  In  re  "Wolf  (1899),  N.  Dist.  la., 
SHras,  J.,  98  Fed.,  84;  3  A.  B.  R.,  555;  2  N.  B.  N.,  908. 

Replevin  by  creditor  for  goods  bought  at  a  fraudulent  sale  discussed 
and  the  question  of  unliquidated  damages  and  proceedingsto  ascertain  the 
same  in  bankruptcy  outlined.  In  re  Heinsfurter  (1899),  S.  Dist.  la., 
Woolson  J.,  97  Fed.,  198;  3  A.  B.  R,  113;  1  N.  B.  N.,  504. 

Bankruptcy  court  has  jurisdiction  of  property  pledged  by  the  bank- 
rupt and  will  dispose  of  same  subject  to  right  of  lienors.  In  re  Cobb 
(1899),  E.  Dist.  N.  C,  Pumell,  J.,  96  Fed.,  821;  3  A.  B.  R.,  129;  1  N.  B. 
N.,  557. 

Creditors  receiving  collateral  within  the  four  months  must  surrender 
the  same  as  preferential.  In  re  Cobb  (1899),  E.  Dist.  N.  C,  Pumell,  J., 
96  Fed.,  821;  3  A.  B.  R.,  129;  1  N.  B.  N.,  557. 

Chattel  mortgage  given  within  the  four  months  allowing  the  mort- 
gagor to  retain  possession  and  sell  the  goods  mortgaged  is  void  under  the 


§67f.]  LIENS.  229 

bankruptcy  law.     In  re  Platts  (1901),  Dist.  S.  D.,  Garland,  J.,  110  Fed  , 
126;  6  A.  B.  R.,  568. 

Chattel  mortgage  in  part  for  antecedent  debt  void  pro  tanto.  In  re 
Ronk  (1901).  Dist.  Ind..  Baker,  J.,  Ill  Fed.,  154;  7  A.  B.  R.,  31. 

Conditional  sale  upheld  in  Kentucky.  Title  of  trustee  in  bankruptcy 
same  as  that  of  the  bankrupt.  In  re  Sewell,  E.  Dist.  Ky.,  Cochran,  J., 
Ill  Fed.,  791;  7  A.  B.  R.,  133. 

Where  members  of  insolvent  partnership  divide  the  partnership  assets 
between  the  members  the  agreement  will  be  treated  as  void,  and  the  assets 
held  as  firm  assets.  In  re  Head  &  Smith  (1902) ,  W.  Dist.  Ark.,  Rogers,  J., 
114  Fed.,  489;  7  A.  B.R.,  556. 

Bankruptcy  court  may  enjoin  assignee  under  general  assignment  from 
interfering  with  property  assigned  and  may  direct  the  marshal  to  take 
charge  and  hold  such  property  pending  adjudication.  Dams  v.  Bohle 
et  al.  (1899),  C.  C.  A.,  8th  Cir.,  Thayer,  J.,  92  Fed.,  325;  1  A.  B.  R.,  412; 
1  N.  B.  N.,  216. 

Bankruptcy  court  acquires  jurisdiction  the  moment  petition  is  filed 
and  failure  to  issue  the  subpcEna  within  four  months  does  not  affect  right 
to  have  preferential  confessions  of  judgment  set  aside.  In  re  Lewis  & 
Bro.  (1899),  S.  Dist.  N.  Y.,  Brown,  J.,  91  Fed.,  632;  1  A.  B.  R.,  458;  1  N. 
B.  N.,  556. 

Bankrupt  court  may  order  sale  of  bankrupt's  property  free  of  liens, 
Southern  Loan  &  Trust  v.  Benbow  (1899),  W.  Dist.  N.  C,  Ewart,  J.,  96 
Fed.,  514,  3  A.  B.  R.,  9;  1  N.  B.  N.,  499. 

Wife's  equitable  interest  in  lands  of  the  bankrupt  husband  which  he 
conveyed  to  her  before  bankruptcy  not  fraud  on  creditors.  In  re  Gamer, 
N.  Dist.  Ga.,  Newman,  J.,  110  Fed.,  123;  6  A.  B.  R.,  596. 

This  section  applies  to  transfers,  etc.,  other  than  money  which  were  not 
made  in  good  faith  for  present,  fair  consideration.  Blakely  v.  Boonville 
Nat.  Bank  (1899).  Dist.  Ind.,  Baker,  J.,  95  Fed.,  267;  2  A.  B.  R.,  459;  1 
N.  B.  N..411. 

Judgment  within  the  four  months  void  and  trustee  may  recover  of  the 
plaintiff — proof  of  insolvency  at  time  of  recovery  necessary — allegations 
in  petition  on  which  adjudication  was  had  of  such  fact  of  insolvency  is 
sxifBcient.  Levor  v.  Seiter  (1901).  Sup.  Ct.  N.  Y.,  Leventritt,  J.,  34  N.  Y. 
Misc.,  382. 

/  [Liens  created  through  legal  proceedings.]  That  all 
levies,  judgments,  attachments,  or  other  liens,  obtained 
through  legal  proceedings  against  a  person  who  is  insolvent, 


230  LIENS.  [§67f. 

at  any  time  within  four  months  prior  to  the  filing  of  a  peti- 
tion in  bankruptcy  against  him,  shall  be  deemed  null  and 
void  in  case  he  is  adjudged  a  bankrupt,  and  the  property 
affected  by  the  levy,  judgment,  attachment,  or  other  lien 
shall  be  deemed  wholly  discharged  and  released  from  the 
same,  and  shall  pass  to  the  trustee  as  a  part  of  the  estate  of 
the  bankrupt,  unless  the  court  shall,  on  due  notice,  order 
that  the  right  imder  such  levy,  judgment,  attachment,  or 
other  lien  shall  be  preserved  for  the  benefit  of  the  estate; 
and  thereupon  the  same  may  pass  to  and  shall  be  preserved 
by  the  trustee  for  the  benefit  of  the  estate  as  aforesaid.  And 
the  court  may  order  such  conveyance  as  shall  be  necessary 
to  carry  the  purposes  of  this  section  into  effect : 

Provided,  That  nothing  herein  contained  shall  have  the 
effect  to  destroy  or  impair  the  title  obtained  by  such  levy, 
judgment,  attachment,  or  other  lien,  of  a  bona  fide  pur- 
chaser for  value  who  shall  have  acquired  the  samewithout 
notice  or  reasonable  cause  for  inquiry. 

For  method  of  computing  time  vmder  this  act,  see  Sec.  31  a  and  notes 
ante. 

Judgment  within  four  months  not  void  but  merely  the  lien  is  armulled 
by  the  bankruptcy  proceedings.  In  re  Pease  (1900),  N.  Dist.  N.  Y., 
Hotchkiss,  R.,  4  A.  B.  R.,  547;  2  N.  B.  N.,  1108. 

The  trustee  has  only  the  rights  of  the  bankrupt's  creditors  to  all  acts 
and  transfers;  such  rights  do  not  enable  the  trustee  to  defeat  a  prior 
attachment  of  creditors  of  transferee.  In  re  Mullen  (1900),  Dist.  Mass., 
101  Fed.,  413;  4  A.  B.  R.,  224;  2  N.  B.  N.,  701. 

Trustee  may  maintain  action  to  set  aside  transfer  made  by  a  firm  and 
its  members  of  which  he  is  trustee.  Barber  v.  Franklin  (1902),  Sup.  Ct. 
N.  Y.,  Gildersleeve,  J.,  37  Misc.,  292;  75  N.  Y.,  Supp.,  305;  8  A.  B.  R.,  468. 

A  chattel  mortgage  with  permission  for  mortgagee  to  make  sales  of  the 
property  is  void  in  South  Dakota  as  to  creditors  and  is  void  in  bank- 
ruptcy. Elgin  State  Bank  v.  Rice  (1902),  C.  C.  A.,  8th  Cir.,  Lochren,  J., 
119  Fed.,  107. 

Preferential  conveyance  six  months  old  but  recorded  within  four 
months  is  valid  and  not  affected  by  the  bankruptcy  act.  Miller  v. 
Shiver  (1900),  Sup.  Ct.  Pa.,  Fell,  J.,  197  Pa.  St.,  191. 


§67f.]  LIENS.  ^31 

Injunction  to  restrain  attaching  creditor  and  sheriff  preliminary  to  ap- 
pointment of  trustee  is  proper.  In  re  Goldberg  (1902),  N.  Dist.  N.  Y., 
Ray,  J.,  117  Fed.,  692;  9  A.  B.  R.,  156. 

This  section  applies  to  voluntary  cases.  Judgment  transferred  by  a 
testatum  fi  fa  to  another  cotmty  within  the  four  months  period  comes  tinder 
the  statute  so  far  as  that  new  county  is  concerned.  Mencke  v.  Rosen- 
berg (1902),  Sup.  Ct.  Pa.,  Mestrezot,  J.,  202  Pa.  St.  Rep.,  131;  9  A.  B.  R., 
323. 

Execution  on  old  judgment  issued  within  the  four  months  cannot  be 
enjoined  by  bankruptcy  court.  White  v.  Thompson  et  al.  (1903) ,  C.  C.  A., 
5th  Cir.,  119  Fed.,  868. 

Lien  on  seat  in  stock  exchange  held  good  though  acqiiired  within  the 
four  months  no  knowledge  of  insolvency  being  shown  on  part  of  claimant. 
Hutchinson  v.  Otis  (1902),  C.  C.  A.,  1st  Cir.,  Putnam,  J.,  115  Fed.,  937;  8 
A.  B.  R.,  382. 

Claims  for  sheriff's  fees  for  attachment  within  the  four  months  period 
rendered  void  by  bankruptcy.  In  re  Jennings  (1902),  W.  Dist.  N.  Y., 
Hotchkiss,  R.,  8  A.  B.  R.,  358. 

Money  paid  to  execution  creditors  before  filing  of  petition  within  the 
four  months  does  not  come  within  this  section.  Levor  v.  Setter  (1902), 
Sup.  Ct.  N.  Y.,  Patterson,  J.,  8  A.  B.  R.,  459. 

Trustee  should  apply  to  the  coiirt  granting  the  attachment  for  dissolu- 
tion of  the  attachment  rendered  void  under  this  section.  Hardt  v. 
Schuylkill  Plush  &  Silk  Co.  (1902),  Sup.  Ct.  N.  Y.,  Ingraham,  J.,  69  App. 
Div.,  90;  74  N.  Y.  Supp.,  549;  8  A.  B.  R.,  479. 

Garnishment  judgment  void  where  made  within  the  four  months  and 
garnishee  ordered  to  pay  into  court  the  amotmt  owing  the  bankrupt. 
In  re  Beals  (1902),  Dist.  Ind.,  Baker,  J.,  116  Fed.,  530;  8  A.  B.  R.,  639. 

Levy  made  within  the  four  months  void,  though  judgment  on  which 
the  execution  issued  more  than  six  years  old.  In  re  Darwin  (1902), 
C.  C.  A.,  6th  Cir.,  Day,  J.,  117  Fed.,  407;  8  A.  B.  R.,  703. 

Mechanic's  lien — sub-contractors  held  to  have  no  right  to.  Ludowice 
Rootling  Tile  Co.  v.  Penn.  Inst,  for  the  Blind  (1902),  C.  C.  E.,  Dist.  Pa., 
Archbald,  J.,  116  Fed.,  661;  8  A.  B.  R.,  739. 

Lien  of  chattel  mortgage  inside  of  four  months  good  only  for  that  part 
of  the  consideration  that  was  present.  Stedman  v.  Bank  of  Monroe  (1902) , 
C.  C.  A.,  8th  Cir.,  Lochren,  J.,  117  Fed.,  237;  9  A.  B.  R.,  4. 

The  lien  given  by  attachment  or  judgment  on  creditors'  bill  which  is 
merged  in  the  judgment  is  the  lien  here  indicated  by  the  statute  and  the 
four  months  commences  with  the  date  of  the  attachment  and  not  of  the 
judgment.  Metcalf  v.  Barker  (1902) ,  Sup.  Ct.  U.  E.,  Fuller  J.,  9  A.  B.  R., 
36. 


232  LIENS.  [§67f. 

Lien  filed  after  debtor  is  adjudged  a  bankrupt  is  void.  Loggori  v. 
Haven   (1902),  Sup.  Ct.  N.  Y.,  Gildersleeve,  J.,  79  N.  Y..  Supp..  395. 

Loan  given  under  a  promise  of  a  mortgage  which  was  not  delivered 
imtil  subsequent  and  within  four  months  is  not  a  preference.  Murray  v. 
Beal  (1901),  Sup.  Ct.  Utah,  Miner,  J.,  23  Utah,  548. 

Banker  has  no  lien  on  deposits  before  maturity  of  notes.  Pearsoll  v. 
Nassau  Nat.  Bank  (1902),  Sup.  Ct.  N.  Y.,  Jenks,  J.,  74  N.  Y.  App.,  Div., 
89. 

Lien  of  execution  on  exempt  property  not  divested  by  bankruptcy  pro- 
ceedings where  exemption  law  requires  debtor  to  file  schedule  with  officer 
within  ten  days ;  he  must  do  so  irrespective  of  his  filing  petition  in  bank- 
ruptcy. Doyle  V.  Hall  (1899),  App.  Ct.  111.,  1st  Dist.,  Horton,  J.,  86  111. 
App.,  163. 

The  eflfect  of  this  clause  is  not  felt  where  a  Uen  by  attachment  was 
acquired  more  than  four  months  before  proceedings  although  the  judg- 
ment was  within  the  four  months.  Wakeman  v.  Throckmorton  (1902), 
Sup.  Ct.  Conn.,  Baldwin,  J.,  51  Atl.,  554. 

Trustee  may  bring  trespass  against  constable  who  sold  property  after 
adjudication  of  bankruptcy  of  owner  where  the  property  had  been  seized 
on  attachment  within  the  four  months.  Wallal  v.  Camp  (1901),  Sup. 
Ct.  Pa.,  Beaver,  J.,  200  Pa.  St.,  220. 

Judgment  obtained  within  four  months  is  void.  Clause  c  does  not 
limit  f.  National  Bank  and  Loan  Co.  v .  S pencer  {1900) ,  Sup.  Ct.  N.  Y., 
Spring,  J.,  53  N.  Y.  App.,  Div.,  547. 

Attachments  %\4thin  fotir  months  are  good  (1)  where  attmchment 
action  was  brought  without  knowledge  of  the  debtor;  (2)  the  creditor  had 
no  knowledge  of  the  insolvency  of  his  debtor;  (3)  attachment  is  not  predi- 
cated upon  insolvency  or  attempts  of  the  debtor  to  conceal  and  dispose 
of  his  property,  and  (4)  the  creditor  no  reason  to  believe  his  debtor  con- 
templated bankruptcy.  Ex  parte  Chase  (1900),  Sup.  Ct.,  S.  C. ;  Pope,  J.; 
62  S.  C,  353. 

Mortgagor  who  receives  a  discharge  in  bankruptcy  pending  foreclostire 
proceedings  is  not  liable  to  a  decree  for  deficiency.  Prcntis  v.  Richard- 
son's estate  (1898),  Sup.  Ct.  Mich.,  Moore,  J.,  118  Mich.,  259. 

Lien  dissolved  by  bankruptcy  proceeding — stay  of  judgment.  Pink- 
hard  V.  Willis  &  Bro.  (1900),  Sup.  Ct.  Tex.,  Gill,  J.,  24  Tex.,  Civ.  App., 
69. 

A  foreign  attachment  dissolved  by  bankruptcy  proceedings.  Keeler  v. 
Ft.  Wayne  Electric  Co.  (1899),  Cir.  Ct.  la.,  Craig,  J.,  23  Pa.  C.  C,  637. 

Bankrupt  may  testify  on  behalf  of  his  estate  that  conveyance  made  by 


§67f.]  LIENS.  233 

him  was  made  when  he  knew   himself   to  be  in    failing    circumstances. 
Supple  V.  Hall  (1902),  Sup.  Ct.  Conn.,  Hamersby,  J.,  52  Atl.,  407. 

Attachment  lien  levied  more  than  four  months  before  proceedings  up- 
held. Stickney  and  Babcock  Coal  Co.  v.  Goodwin  (1901),  Sup.  Ct. 
Me.,  Wiswell,  J.,  75  Me.,  246. 

This  section  only  affects  liens  against  the  trustee  as  to  the  rest  of  the 
world  thus  involved.  Frazee  et  al.  v.  Nelson  (1901),  Sup.  Ct.  Mass.,  Mor- 
ton, J.,  179  Mass.,  456. 

Attachment  within  four  months  dissolved  by  bankruptcy  proceedings. 
In  re  Kemp  (1900),  Dist.  Colo.,  Hallet,  J.,  101  Fed.,  689;  4  A.  B.  R.,  242; 
2  N.  B.  N.,  565. 

The  preferential  giving  of  a  mortgage  within  the  four  months  with 
knowledge  on  the  part  of  the  mortgagee  of  the  intent  will  be  declared  void 
and  set  aside  by  decree  of  the  district  court.  In  re  Teague  (1899),  Dist. 
Ind.,  Baker,  J.,  2  A.  B.  R.,  168;  1  N.  B.  N.,  310. 

Lien  by  attachment  within  four  months  of  adjudication  vacated — word 
"permitted"  synonomous  with  "suffered,"  or  "allowed."  In  re  Arnold 
(1899),  Dist.  Ky.,  Evans,  J.,  94  Fed.,  1001;  2  A.  B.  R.,  180;  1  N.  B.  N., 
334. 

Judgment  levy  in  four  months  nvdlified  and  creditor  compelled  to  return 
money  in  plenary  suit.  Levor  v.  Setter  et  al.  (1901),  N.  Y.  Sup.  Ct., 
Leventritt,  J.,  5  A.  B.  R.,  576. 

This  section  does  not  relate  to  judgments  after  petition  but  a  stay  of 
proceedings  will  be  ordered.  Kinmouth  v.  Brarutigan  (1900) ,  N.  Y.  Sup. 
Ct.,  46  Atlantic,  769;  4  A.  B.  R.,  344. 

Suits  under  67e  may  be  brought  in  the  Supreme  Court  of  N.  Y.  Jones 
v.  Schermerhorn  (1900),  Sup.  Ct.,  N.  Y.,  Adams,  J.,  53  N.  Y.  App.  Div., 
494. 

Where  evidence  does  not  show  gross  inadequacy  of  consideration  by  the 
purchaser,  nor  knowledge  of  insolvency,  the  purchaser  is  not  open  to 
attack.  Dunlap  v.  Thomas  (1902),  Sup.  Ct.  Wash.,  White,  J.,  68  Pac, 
909. 

Agreement  to  make  payment  out  of  a  particular  ftmd  or  to  give  a  lien 
if  done  within  the  four  months,  is  void.  Torrence  v.  Win-field  Nat.  Bank 
(1903),  Sup.  Ct.  Kans.,  Greene,  J.,  71  Pac,  235. 

Nothing  need  be  shown  except  the  fact  of  insolvency  and  subsequent 
adjudication.  Severin  v.  Robinson  (1901),  App.  Ct.  of  Ind.,  Wiley,  J.,  27 
Ind.  App.,  55. 

Judgment  procured  after  adjudication  will  not  be  vacated  on  motion  in 
state  court  quaere.  The  bankrupt  may  deem  the  judgment  void.  Kin- 
mouth  V.  Braeniigam  (1900),  Sup.  Ct.  N.  J.,  CoUins,  J.,  65  N.  J.  L.,  165. 


234  LIENS.  [§67f. 

Lien  of  workingmen  on  goods  in  their  hands  recognized.  In  re  Loiven- 
sohn  (1900),  S.  Dist.  N.  Y.,  Brown,  J.,  100  Fed.,  776;  4  A.  B.  R.,  79;  2  N. 
B.  N.,  871. 

This  section  does  not  include  mechanic's  liens.  In  re  Emslie  &  Co. 
(1900),  C.  C.  A.,  2nd  Cir.,  Wallace  J.,  98  Fed.,  716;  4  A.  B.  R.,  126;  2  N. 
B.  N.,  324. 

This  clause  (f)  controls  clause  C — lien  obtained  by  legal  proceedings 
within  four  months  void.  In  re  Rhoads  1899),  W.  Dist.  Penn.,  Buffing- 
ton,  J.,  98  Fed.,  399;  3  A.  B.  R.,  380;  2  N.  B.  N.,  301. 

This  section  applies  only  to  involuntary  cases.  In  r/Easley,  (1898) 
W.  Dist.  Va.,  Paul,  J.,  93  Fed.,  419;  1  A.  B.  R.,  715;  1  N.  B.  N.,  230. 

Section  f  includes  both  voluntary  and  involuntary  petitions.  In  re 
Dobson  (1899),  N.  Dist.  111.,  Kohlsaat,  J.,  98  Fed.,  86;  3  A.  B.  R.,  420; 
2N.  B.  N.,  514. 

Mortgaged  property  should  not  be  sold  free  of  liens  tmless  it  appears 
that  the  sale  will  be  for  the  benefit  of  the  estate.  In  re  Styer  (1899),  E. 
Dist.  Penn.,  McPherson,  J.,  98  Fed.,  290;  3  A.  B.  R.,  424;  2  N.  B.  N., 
205. 

A  garnishee  who  has  paid  before  bankruptcy  proceedings  is  not  to  be 
disturbed.  In  re  Sharp  (1899),  Dist.  of  Ky.,  Durett,  R.,  1  A.  B.  R., 
379. 

Attachment  issued  in  pending  case  within  the  fotir  months  rendered 
void  by  bankruptcy  act.  In  re  Higgins  (1899),  Dist.  Ky.,  Evans,  J.,  97 
Fed.,  775;  3  A.  B.  R.,  364;  1  N.  B.  N.,  992. 

A  mechanic's  lien  which  is  created  by  notice  and  which  is  given  within 
the  fotu-  months  is  avoided.  In  re  Emslie  &  Sons,  S.  Dist.,  Brown,  J., 
98  Fed.,  716;  3  A.  B.  R.,  282;  2  N.  B.  N.,  992. 

Lien  of  creditor  disallowed,  being  part  of  a  fraudulent  transaction.  In 
re  Hugill  (1899),  N.  Dist.  O.,  100  Fed.,  616;  3  A.  B.  R.,  686;  2  N.  B.  N., 
433. 

Attachments  levied  within  the  fotw  months  and  prosecuted  to  judg- 
ment set  aside  by  bankruptcy  court  and  proceeds  taken  by  trustee;  sum- 
mary proceedings  and  rule  to  show  cause  appropriate.  Such  creditors 
are  not  third  parties  claiming  estate  adversely.  Bear  &  Co.  v.  Chase 
(1899),  C.  C.  A.,  Waddill,  J.,  3  A.  B.  R.,  746. 

General  assignment  held  void  as  against  trustee  in  bankruptcy  pro- 
ceedings. In  re  Gutwillig  (1899),  C.  C.  A.,  Wallace,  J.,  92  Fed..  337;  1 
A.  B.  R.,  388;  1  N.  B.  N.,  554. 

Lien  of  attachment  within  four  months  will  not  be  destroyed  by  the 
adjudication  of  the  defendant  in  bankruptcy  where  the  action  was  begun 


§67f.]  LIENS.  235 

more  than  four  months  prior  to  the  filing  of  the  petition.  The  act  looks  to 
the  beginning  of  the  suit.  In  re  De  Lue  (1899),  Dist.  Mass.,  Lowell,  J., 
91  Fed.,  510;  1  A.  B.  R.,  387;  1  N.  B.  N.,  555. 

The  lien  of  an  unrecorded  chattel  mortgage  is  good  even  as  to  creditors 
who  gave  credit  after  execution  and  before  recording.  In  re  Adams  (1899) 
E.  Dist.  Mich.,  Swan,  J.,  97  Fed.,  188;  2  A.  B.  R.,  415;  1  JN.  B.  N., 
530. 

Judgment  as  used  in  this  section  is  sufficiently  broad  to  include  judg- 
ment of  state  court  appointing  a  receiver  and  adjudication  of  bankruptcy 
nullifies  such  judgment.  Mauran  v.  Crown  Carpet  Lining  Co.  (1901) ,  Sup. 
Ct.  R.  I.,  Rogers,  J.,  6  A.  B.  R.,  734. 

Receiver  holding  property  under  appointment  from  state  cotirt  en- 
titled to  expenses  and  fees  incurred  before  adjudication.     Idem. 

This  clause  applies  to  voluntary  and  involvmtary  petitions.  Brown  v. 
Case,  Sup.  Jud.  Ct.,  Mass.,  Lathrop,  J.,  61  N.  E.,  279;  6  A.  B.  R.,  744. 

Adjudication  defined,  Sec.  1,  Sub.  (2).  When  a  person  is  deemed  to  be 
insolvent.  Sec.  1  (15).  "f  "  of  this  section  destroys  and  supersedes  "c." 
In  re  Tune  (1902),  N.  Dist.  Ala.,  Jones,  J.,  115  Fed.,  906;  8  A.  B.  R.,  285. 

Adjudication  in  bankruptcy  annuls  a  levy  on  attachment  in  state 
court  on  property  claimed  as  exempt,  even  though  there  is  waiver  of  ex- 
emption in  judgment  notes.  In  re  Time,  N.  Dist.  Ala.,  Jones,  J.,  115 
Fed.,  906;  8  A.  B.  R.,  285. 

Preferential  payment  is  not  shown  where  it  was  necessary  to  procvu-e 
consent  of  landlord  to  effect  a  sale  of  the  property  and  if  sale  was  not 
made  so  much  less  would  have  been  realized.  In  re  Pearson  (1899),  S. 
Dist.  N.  Y.,  Brown,  J.,  95  Fed.,  425;  2  A.  B.  R.,  482;  1  N.  B.  N.,  474. 

"f"  applies  only  to  involuntary  petitions.  " c  "  applies  to  either.  If 
suit  was  commenced  more  than  four  months  prior  to  the  filing  of  the  peti- 
tion the  judgment  will  be  a  prior  claim.  In  re  CoUins  (1899),  S.  Dist. 
la..  Sawyer,  R.,  2  A.  B.  R.,  1;  1  N.  B.  N.,  290. 

Title  to  property  levied  on  by  the  sheriff  on  execution  obtained  within 
four  months  is  rendered  void  by  the  adjudication,  and  the  sheriff  may  by 
summary  process  be  ordered  to  surrender  the  same.  In  re  Francis  Valen- 
tine (1899),  N.  Dist.  Cal.,  Haven,  J.,  93  Fed.,  953;  2  A.  B.  R.,  188;  1  N, 
B.  N.,  532. 

"c"  and  "f  "  do  not  remove  a  mechanic's  lien  given  by  statute,  but 
statutory  provisions  must  be  strictly  compUed  with.  In  re  Kerby-Denis 
Co.  (1899),  E.  Dist.  Wis.,  Seaman,  J.,  94  Fed.,  818;  2  A.  B.  R.,  218;  1 
N.  B.  N.,  399. 

Levy  after  passage  of  act  on  judgment  recovered  prior  to  the  enact- 


236  LIENS.  [§67f. 

ment  vacated  by  the  adjudication.  In  re  Adams  (1899),  Moss,  R.,  N.  Dist. 
N.  Y.,  1  A.  B.  R.,  94;  1  N.  B.  N.,  167. 

Judgment  obtained  within  the  three  months;  Hen  thereof  avoided  by 
the  act.  In  re  Hopkins  (1899),  N.  Dist.  Ala.,  Turner,  R.,  1  A.  B.  R.,  209; 
IN.  B.  N.,71. 

This  section  appHes  to  both  volvmtary  and  involuntary  bankrupts.  In 
re  Richards  (1899),  W.  Dist.  Wis.,  Bunn,  J.,  95  Fed.,  258;  2  A.  B.  R., 
518. 

Variations  of  the  terms  of  promissory  notes  by  agreement  between 
parties  without  consideration  void  as  against  existing  creditors.  In  re 
Powers  (1899),  Dist.  Vt.,  Mott,  R.,  1  A.  B.  R.,  432. 

Preferences  within  four  months  preceding  adjudication  are  void  and 
the  plaintiff  treated  as  an  unsecured  creditor.  In  re  Huffman  (1899),  W. 
Dist.  Penn.,  Myers,  R.,  1  A.  B.  R.,  587;  1  N.  B.  N.,  215. 

An  attachment  execution  issued  within  four  months  prior  to  adjudica- 
tion is  void.  Peck  Lumber  Mfg.  Co.  v.  Mitchell,  Lackawanna  Co.  Ct., 
Common  Pleas,  Edwards,  J.,  1  A.  B.  R.,  701;  1  N.  B.  N.,  262. 

This  section  relates  to  voltmtary  as  well  as  involvmtary  proceedings. 
Idem. 

Right  to  join  tmder  Section  59  exists  only  during  pendency  of  case. 
Neustadier  v.  Chicago  Dry  Goods  Co.  (1899),  Dist.  Wash.,  96  Fed.,  830;  3 

A.  B.  R.,  96;  1  N.  B.  N.,  552. 

To  the  same  effect  see  Worden  v.  Columbus  Electric  Co.  (1899),  Dist. 
Ind.,  Baker,  J.,  96  Fed.,  803;  3  A.  B.  R.,  186. 

An  attachment  on  mesne  process  in  Vermont  constitutes  only  an  in- 
choate hen  which  is  merged  in  the  subsequent  judgment,  and  if  within 
four  months  of  bankruptcy  the  lien  is  cut  off.  In  re  Johnson  (1901). 
Dist.  Vt.,  Wheeler,  J.,  108  Fed.,  373;  6  A.  B.  R.,  202. 

To  avoid  such  liens  it  must  appear  the  bankrupt  was  insolvent.  Simp- 
son V.  Van  Etten,  C.  Ct.,   E.    Dist.  Penn.,  Dallas,  J.,  108  Fed.,  199;   6  A. 

B.  R.,  204. 

Lien  created  by  attachment  more  than  four  months  old  is  not  avoided. 
In  re  Blair  (1901),  Dist.  Mass.,  Lowell,  J.,  108  Fed.,  529;  6  A.  B.  R.,  206. 

Referee  has  jurisdiction  to  order  sale  of  property  free  and  clear  of  liens. 
Construction  of  mechanic's  lien  law  of  Ark.  In  re  Matthews  (1901) ,  W. 
Dist.  Ark.,  Rogers,  J.,  109  Fed.,  603;  6  A.  B.  R.,  96. 

On  sale  of  property  free  and  clear  of  liens  the  order  of  distribution 
should  be  first  costs  of  sale,  then  the  liens  according  to  priority.  In  re 
SanderUn,  E.  Dist.  N.  C,  PumeU,  J.,  109  Fed.,  857;  6  A.  B.  R.,  384. 

Validity  of  liens  may  be  inquired  into  by  bankruptcy  covirt  and  the 


§67f.]  LIENS.  237 

property  sold  free  and  clear.     In  re  Kellogg,  McMasters,  R.,  W.  Dist. 
N.  Y.,  6  A.  B.  R.,  389. 

Lien  of  attachment  more  than  foiir  months  old  remains  although  judg- 
ment therevmder  is  within  the  five  months  period.  Sheriff  allowed  his 
fee  although  case  commenced  more  than  four  monthsjbefore.  In  re 
Beaver  Coal  Co.  (1901),  Dist.  Or.,  Bellinger,  J.,  110  Fed.,  630;  6  A.  B. 
R.,  404. 

Lien  of  creditor's  bill  in  state  court  filed  more  than  four  months  does 
not  come  under  this  clause  and  the  proceedings  may  not  be  interrupted  by 
the  district  court.  Metcalf  Bros.  v.  Barker  (Dec,  1902),  U.  S.  Sup. 
Ct.,  Fuller,  C.  J.,  6  A.  B.  R.,36, 

Sheriff  required  to  turn  over  to  trustee  proceeds  of  execution  made 
within  four  months.  In  re  Kenney  (1900),  C.  C.  A.,  2nd  Cir.,  Lacombe, 
J.,  105  Fed.,  897;  5  A.  B.  R.,  355. 

Contra  the  doctrine  of  last  case.  In  re  Seebold  (1901),  C.  C.  A.,  5th 
Cir.,  McCormick,  J.,  105  Fed.,  910;  5  A.  B.  R.,  358. 

This  section  does  not  apply  to  judgments  entered  after  date  of  adjudica- 
tion— no  lien  can  be  acquired  after  adjudication  by  a  judgment.  In  re 
Engle  (1901),  E.  Dist.  Penn.,  McPherson,  J.,  105  Fed.,  893;  5  A.  B.  R., 
372. 

Liens  by  distraint  dissolved  by  bankruptcy  proceedings.  In  re 
Doughtery  &  Co.  (1901),  N.  Dist.  Ga.,  Newman,  J.,  109  Fed.,  480;  6 
A.  B.  R.,  457. 

Trustee  must  obtain  an  order  to  restrain  the  attachment  of  property 
belonging  to  the  bankrupt.  Watschke  v.  Thompson  (1901),  Sup.  Ct. 
Minn.,  Lewis,  J.,  7  A.  B.  R.,  504. 

Lien  of  attachment  may  continue  to  exist  after  the  debt  is  barred  by 
bankruptcy.  Powers  Dry  Goods  v.  Nelson  (1901),  Sup.  Ct.  N.  D.,  Yotmg 
J.,  7  A.  B.  R.,  506. 

A  lien  on  exempt  property  is  subject  to  the  jurisdiction  of  the  State 
court  solely.     Idem. 

A  lien  on  exempt  property  is  subject  to  the  jurisdiction  of  the  State 
court  solely  Attachment  lien  more  than  four  months  old  not  merged 
in  the  judgment  and  remains  a  valid  lien.  In  re  Beaver  Coal  Co.  (1902) , 
C.  C.  A.,  9th  Cir.,  Gilbert,  J.,  113  Fed.,  889;  7  A.  B.  R.,  542. 

See  contra  to  this  doctrine  in  re  Lesser,  C.  C.  A.,  2nd  Cir.,  Shipman, 
J.,  5  A.  B.  R.,  326. 


238  SET-OFFS  AND  COUNTERCLAIMS.  [§68ab. 

Sec.  68.     Set-Offs  and  Counterclaims. 

a  [Mutual  debts  and  credits.]  In  all  cases  of  mutual 
debts  or  mutual  credits  between  the  estate  of  a  bankrupt 
and  a  creditor  the  accoimt  shall  be  stated  and  one  debt 
shall  be  set  off  against  the  other,  and  the  balance  only  shall 
be  allowed  or  paid. 

As  to  cases  of  mutual  credit  after  preference,  see  Section  60c  ante. 

See  also  notes  under  Sec.  .57g. 

Unpaid  subscription  to  stock  of  a  bankrupt  corporation  due  from 
payee  of  bankrupt's  note  will  bar  proof  of  claim  either  in  his  hands  or  in 
the  hands  of  assignee,  same  being  non-negotiable.  In  re  Albert  Goodman 
Shoe  Co.  (1899),  E.  Dist.  Penn.,  McPherson,  J.,  3  A.  B.  R.,  200. 

Separate  debt  due  trustee  cannot  be  set  off  against  a  liability  due 
creditors  jointly  with  others.  In  re  Chrystal  Spring  Bottling  Co.  (1900) , 
Dist.  Va.,  Wheeler,  J.,  96  Fed.,  945;  4  A.  B.  R.,  55;  3  N.  B.  N.,  179. 

b  [When  not  allowed.]  A  set-off  or  counterclaim  shall 
not  be  allowed  in  favor  of  any  debtor  of  the  bankrupt  which 

(1)  [Not  provable.]  is  not  provable  against  the  estate; 
or 

As  to  provable  debts  see  Sec.  63  and  notes,  and  Sec.  17. 

(2)  [Purchased  after  petition.]  was  purchased  by  or 
transferred  to  him  after  the  filing  of  the  petition,  or 
within  four  months  before  such  filing,  with  a  view  to  such 
use  and  with  knowledge  or  notice  that  such  bankrupt  was 
insolvent,  or  had  committed  an  act  of  bankruptcy. 

Payment  on  money  accounts  not  allowed  as  set-off.  In  re  Christen- 
sen,  N.  Dist.  la.,  James,  R.,  4  A.  B.  R.,  202;  2  N.  B.  N.,  695. 

Set  off  allowed  in  bankruptcy  though  not  imder  State  law.  In  re 
Meyer  &  Dickinson  (1901),  E.  Dist.  N.  Y.,  Thomas,  J.,  107  Fed.,  86;  5 
A.  B.  R.,  593. 

Set-off  denied  in  favor  of  maker  of  notes  endorsed  by  bankrupt  for 
his  accommodation  unmatured  and  held  by  a  bank  as  against  claim  due 
the  bankrupt  on  advances  made  by  him  to  such  maker.     Idem. 

Set-off  by  defendant  in  suit  by  trustee  of  claim  arising  by  payment  of 


§69  a.]  POSSESSION  OF  PROPERTY.  239 

debt  which  bankrupt  had  covenanted  to  pay,  allowed  as  a  mutual  credit, 
although  not  provable  in  bankruptcy  by  reason  of  preferences  received 
by  the  original  creditor.  Morgan  v.  Worc/e// (1901),  Sup.  Ct.  Mass., 
Holmes,  J.,  59  N.  E.,  1,037;  6  A.  B.  R.,  167. 

Sec.  69.     Possession  of  Property. 

a    [Warrant  may  issue  to  seize  and  hold  property.]    A 

judge  may,  upon  satisfactory  proof,  by  affidavit,  that  a 
bankiiipt  against  whom  an  involimtary  petition  has  been 
filed  and  is  pending  has  committed  an  act  of  bankruptcy, 
or  has  neglected  or  is  neglecting,  or  is  about  to  so  neglect 
his  property  that  it  has  thereby  deteriorated  or  is  thereby 
deteriorating  or  is  about  thereby  to  deteriorate  in  value, 
issue  a  warrant  to  the  marshal  to  seize  and  hold  it  subject 
to  further  orders.  Before  such  warrant  is  issued  the  peti- 
tioners applying  therefor  shall  enter  into  a  bond  in  such  an 
amoimt  as  the  judge  shall  fix,  with  such  sureties  as  he  shall 
approve,  conditioned  to  indemnify  such  bankrupt  for  such 
damages  as  he  shall  sustain  in  the  event  such  seizure  shall 
prove  to  have  been  wrongfully  obtained.  Such  property 
shall  be  released,  if  such  bankrupt  shall  give  bond  in  a  sum 
which  shall  be  fixed  by  the  judge,  with  such  sureties  as  he 
shall  approve,  conditioned  to  turn  over  such  property,  or 
pay  the  value  thereof  in  money  to  the  trustee,  in  the  event 
he  is  adjudged  a  bankrupt  pursuant  to  such  petition. 

For  form  of  warrant  to  seize  goods  and  return  thereon,  see  form  No. 
S  post. 

Affidavits  vmder  this  section  should  be  as  specific  as  possible  in  the 
statement  of  all  essential  facts.  In  re  Kelley  (1899),  W.  Dist.  Tenn., 
Hammond,  J.,  91  Fed.,  504;  1  A.  B.  R.,  306;  1  N.  B.  N.,  240. 

The  marshal  may  not  seize  property  in  hands  of  third  person  claim- 
ing adversely  on  the  claim  that  it  was  fraudulently  conveyed  by  the 
bankrupt.  In  re  Kelley  (1899),  W.  Dist.  Tenn..  Hammond,  J.,  91  Fed., 
504;  1  A.  B.  R.,  300;  1  A.  B.  N.,  240. 

Stunmary  process  to  compel  bankrupt  to  strrrender  property  in  an  in- 
volimtary  case  is  not  favored.  In  re  Ogles  (1899) ,  W.  Dist.  Tenn.,  Walk- 
HT,  R.,  2  A.  B.  R.,  514;  1  N.  B.  N.,  326. 


240  POSSESSION  OF  PROPERTY.  [§69  a. 

A  sheriff  who  has  seized  property  under  writs  of  attachment  within 
the  four  months  may  not  retain  custody  to  secure  his  fees.  The  court 
will  give  them  in  due  season.  In  re  Francis  Valentine  Co.  (1899),  C. 
C.  A.,  9th  Cir.,  Gilbert,  J.,  93  Fed.,  953;  2  A.  B.  R.,  522;  1  N.  B.  N.,  529. 

Proceedings  to  compel  bankrupt  to  pay  over  money  to  trustee  must 
be  in  name  of  trustee.  In  re  Rothschild  (1901),  S.  Dist.  Ga.,  Crovatt, 
R.,  5  A.  B.  R.,  587; 

Injunction  will  issue  to  stay  sale  tmder  foreclosiire  where  it  appears 
there  is  margin  over  the  mortgage  debt.  In  re  Sabine  (1899),  N.  Dist. 
N.  Y.,  Hotchkiss,  J.,  1  A.  B.  R.,  315;  1  N.  B.  N.,  45. 

This  section  does  not  authorize  the  marshal  to  seize  property  not  in 
the  bankrupt's  possession.  In  re  Rockwood  (1899),  N.  Dist.  la.,  Shiras, 
J.,  91  Fed.,  363;  1  A.  B.  R.,  272;  1  N.  B.  N.,  134. 

The  trustee  in  bankruptcy  may  appear  in  County  Court  and  contest 
the  accotmt  of  the  bankrupt  who  is  administrator  of  his  father's  estate. 
In  re  Clute  (1899),  Superior  Ct.,  SanFrancisco,  Coffey,  J.;  2  A.  B.  R.,  376; 
1  N.  B.  N.,  386. 

It  is  contempt  for  bankrupt  to  refuse  to  turn  over  property  to  trustee 
on  the  order  of  the  referee — practice  therein.  In  re  Pearson  (1899)  E. 
Dist.  Penn.,  Coffin,  R.;  2  A.  B.  R.,  819;  1  N.  B.  N.,  475. 

Bankruptcy  court  may  order  its  Marshal  to  take  possession  of  prop- 
erty in  the  hands  of  assignee  under  general  assignment  pending  appoint- 
ment of  trustee,  and  may  restrain  assignee  from  disposing  of  or  interfering 
with  the  property.  Davis  v.  Bohle  (1899),  C.  C.  A.,  »th  Cir.,  Thayer, 
J.,  92  Fed.,  325;  1  A.  B.  R.,  412;  1  N.  B.  N.,  216. 

A  creditor  who  subsequent  to  petition  levies  replevin  writ  is  liable 
to  injtmction  and  order  to  return  property.  In  re  Huddleston  (1899), 
N.  Dist.  Ala.,  Turner,  R.;  1  A.  B.  R.,  572;  1  N.  B.  N.,  214. 

Where  property  is  in  hands  of   agent  of   bankrupt,  summary  process 
appropriate.     Mullet  v.  Nugent,  supra. 

Section  69  does  not  authorize  the  seizure  of  property  which  is  in  the 
hands  of  third  person.  In  re  Rockwood  (1899),  N.  Dist.  la.,  Shiras,  J., 
91  Fed.,  363;  1  A.  B.  R.,  272;  1  N.  B.  N.,  134. 

Trustee  may  take  possession  by  summary  process  of  property  in 
bankrupt's  possession  but  claimed  by  the  wife,  where  claim  proves  fraudu- 
lent. In  re  Smith  (1899),  S.  Dist.  Ga.,  Speer,  J.,  100  Fed.,  795;  3  A. 
B.  R.,  95;  1  N.  B.  N.,  533. 

Parties  holding  property  of  estate  not  tmder  adverse  title  may  be 
compelled  to  surrender  to  trustee  on  summary  order.  In  re  Moore,  Dist 
W.  Va.,  Jackson,  J.,  104  Fed.,  869;  5  A.  B.  R.,  151. 


§70 a.]  TITLE  TO  PROPERTY.  241 

Property  transferred  after  filing  of  involuntary'  petition  must  be  re- 
stored to  trustee.  In  re  Corbett  (1900),  E.  Dist.  Wis.,  Seaman,  J.,  104 
Fed.,   872;   5  A.   B.   R.,   224. 

Improper  meddling  with  assets  by  either  bankrupt  or  creditor  after 
petition  filed  is  contempt  of  court.  In  re  Amett  (1901),  W.  Dist.  Tenn. 
Hammond,  J.,  112  Fed.,  770;  7  A.  B.  R.,  522. 

Property  secured  by  the  bankrupt  vmder  fraudtilent  representations 
can  be  reclaimed  by  the  vendor.  Bloomingdale  v.  Empire  Rubber  Mfg. 
Co.  (1902),  E.  Dist   N.  Y.,  Thomas,  J.,  114  Fed.,  1016;  8  A.  B.  R.,  74. 

Jurisdiction  of  the  property  of  the  bankrupt  is  not  obtained  by  the  filing 
of  the  petition  alone.  A  replevin  suit  brought  after  the  filing  and  prior 
to  adjudication  in  the  State  court  will  give  priority  of  jurisdiction  to 
the  latter  court.  In  re  Wells  (1902),  W.  Dist.  Mo.,  McPherson,  J.,  114 
Fed.,  222;  8  A.  B.  R.,  75. 

Mortgagee  took  possession  after  petition  in  involuntary  bankruptcy 
was  filed  against  the  mortgagor.  The  receiver  in  bankruptcy  ousted 
him  and  he  brought  suit  in  the  State  court — held  he  should  be  enjoined. 
In  re  Gutman  &  Wenk  (1902),  S.  Dist.  N.  Y.,  Adams,  J.,  114  Fed.,  1009; 
8  A.  B.  R.,  252. 

Sec.  70.     Title  to  Property. 

a  [Title  vested  in  trustee.]  The  trustee  of  the  estate  of 
a  bankrupt,  upon  his  appointment  and  qualification,  and 
his  successor  or  successors,  if  he  shall  have  one  or  more,  upon 
his  or  their  appointment  and  qualification,  shall  in  turn  be 
vested  by  operation  of  law  with  the  title  of  the  bankrupt, 
as  of  the  date  he  was  adjudged  a  bankrupt,  except  in  so 
far  as  it  is  to  property  which  is  exempt,  to  all 

(1)  [Documents.]  Documents  relating  to  his  prop- 
erty; 

The  bankrupt  may  be  compelled  to  deliver  to  the  trustee  his  books 
of  accovmt  although  they  contain  incriminating  evidence.  In  re  Sapiro 
(1899),  E.  Dist.  Wis.,  Seaman,  J.,  92  Fed.,  340;  1  A.  B.  R.,  296;  1  N.  B. 
N.,  137. 

(2)  [Patents,  copyrights  and  trademarks.]  Interest  in 
patents,  patent  rights,  copyrights,  and  trademarks ; 


242  TITLE  TO  PROPERTY.  [§70a. 

Application  for  letters  patent  does  not  pass  to  trustee.  In  re  Mc- 
Donnell (1900),  N.  Dist.  la.,  Shiras,  J.,  101  Fed.,  239;  4  A.  B.  R.,  92. 

(3)  [Powers.]  Powers  which  he  might  have  exercised 
for  his  own  benefit,  but  not  those  which  he  might  have  ex- 
ercised for  some  other  person ; 

Tenancy  by  cottrtesy  in  the  husband  after  issue  bom  does  not  pass 
to  trustee — is  it  not  an  asset.  Hessletine  v.  Prince,  Dist.  Mass.,  Lowell,  J., 
95  Fed.,  802;  2  A.  B.  R.,  600,  1  N.  B.  N.,  528. 

A  liquor  license  is  an  asset  and  bankrupt  compelled  to  surrender  the 
same  to  be  sold  by  the  .trustee.  In  re  Fisher  (1899),  Dist.  Mass.,  01m- 
stead,  R.;  1  A.  B.  R.,  557;  1  N.  B.  N.,  209. 

Right  to  apply  for  liquor  license  passes  from  the  bankrupt  to  the  trus- 
tee— siunmary  process  to  compel  nominal  co-owner  to  surrender  same 
not  proper,  but  equitable  petition  may  preserve  it.  In  re  Brodbine, 
Dist.  Mass.,  Lowell,  J..  93  Fed.,  643;  2  A.  B.  R.,  53;  1  N.  B.  N.,  279. 

Under  Penn.  laws  a  liquor  license  is  not  distrainable  for  rent,  nor  can 
a  landlord  claim  a  prior  lien  on  the  proceeds,  nor  can  bankrupt  claim  ex- 
emption therein.  In  re  Myers  (1900),  E.  Dist.  Pa.,  McPherson,  J.,  102 
Fed.,  869;  4  A.  B.  R..  536. 

License  to  occupy  stall  in  city  market  is  property  of  trustee.  In  re 
Emerich,  W.  Dist.  Penn.,  Buffington,  J.,  101  Fed.,  231;  4  A.  B.  R.,  89; 
2  N.  B.  N.,  656. 

Liquor  license  an  asset  which  trustee  takes.  In  re  Fisher  (1899),  Dist. 
Mass.,  Lowell,  J.,  98  Fed.,  89;  3  A.  B.  R.,  406;  2  N.  B.  N.,  221. 

Right  of  action  for  tort  committed  against  the  bankrupt  does  not 
pass  to  the  trustee.  In  re  Haensel  (1899),  Dist.  Col.,  DeHaven,  J.,  91 
Fed.,  355;  1  A.  B.  R..  286;  1  N.  B.  N.,  240. 

Unpaid  balance  of  legacy  goes  to  trustee — also  liquor  license.  In  re 
May,  Dist.  Minn.,  Merriman,  R.;  5  A.  B.  R.,  1. 

Seat  in  stock  exchange  is  an  asset.  In  re  Page  (1901),  C.  C.  A.,  3rd 
Cir..  Bradford,  J.,  107  Fed.,  89;  5  A.  B.  R.,  707.  Also  Page  v.  Edmunds 
(Oct.,  1902),  U.  S.  Sup.  Ct.,  McKenna,  J. 

Membership  in  stock  exchange  is  property  subject  to  constitution 
of  the  exchange  and  passes  to  trustee.  In  re  Gaylord  (1901),  E.  Dist. 
Mo.,  Shiras,  J.,  Ill  Fed.,  717;  7  A.  B.  R.,  195. 

Membership  in  stock  exchange  is  asset  which  passes  to  trustee.  In  re 
Page,  E.  Dist.  Penn.,  McPherson,  J.,  102  Fed.,  746;  4  A.  B.  R.,  467;  2. 
N.  B.  N.,  1,069 

Transfer  of  certificate  of  membership  of  Chamber  of  Commerce  after 


§70a.]  TITLE  TO  PROPERTY.  243 

discharge  of  holder  in  bankruptcy  by  the  trustee  cannot  be  blocked  by 
objection  of  fellow-member  creditor  whose  claims  are  barred,  there  being 
no  lien  on  the  membership  conferred  by  the  laws  by.  State  ex  rel  Crane 
et  al.  V.  Chamber  of  Commerce  of  Minneapolis  (1899),  Sup.  Ct.  Minn., 
Canty,  J.,  77  Minn.,  308. 

(4.)  [Property^  transferred  in  fraud.]  Property  trans- 
ferred by  him  in  fraud  of  his  creditors; 

(5)  [Property  which  might  have  been  transferred  or 
levied  on.]  Property  which  prior  to  the  filing  of  the  peti- 
tion he  could  by  any  means  have  transferred  or  which  might 
have  been  levied  upon  and  sold  under  judicial  process 
against  him: 

Fraudulent  transfer  avoided  by  trustee — third  persons  innocent  of 
the  fraud  not  proper  parties.  North  v.  Taylor  et  al..  Sup.  Ct.  N.  Y.,  Parker 
J.;  6  A.  B.  R.,  233. 

State  insolvency  laws  suspended  by  the  operation  of  the  bankrupt 
act  and  no  title  remains  in  a  trustee  in  insolvency  to  avoid  preferential 
conveyance  made  by  the  debtor  while  in  failing  circumstances  with  in- 
tent to  defraud  his  creditors.  Ketcham  v.  McNamara,  Sup.  Ct.  Conn., 
Baldwin,  J.;  6  A.  B.  R.,  160. 

Partnership  assignment  by  one  member  of  firm  followed  by  adjudica- 
tion in  bankruptcy  of  the  firm — court  will  issue  summary  order  com- 
pelling assignee  to  surrender  assets  to  trustee.  In  re  Stokes  et  al.  (1901), 
E.  Dist.  Penn.,  McPherson,  J.,  106  Fed.,  312;  6  A.  B.  R.,  262. 

Wife  under  no  estoppel  to  claim  furniture  which  was  appraised  in  her 
presence  as  that  of  her  husband.  In  re  Jamieson  (1901),  Dist.  R.  I., 
Littlefield,  R.;  6  A.  B.  R.,  601. 

Trustee  of  bankrupt  contractor  receiving  satisfaction  of  mechanic's 
lien  must  pay  out  of  amount  received  a  sub-contractor  who  had  perfected 
his  lien.     In  re  Huston  (1901),  S.  Dist.  N.  Y.,  Holt,  R.;  7  A.  B.  R.,  92- 

Law  of  the  United  States  and  not  of  State  prevails  as  to  validity  of 
chattel  mortgage.  In  re  Hull  (1902),  Dist.  Vt.,  Wheeler,  J.,  115  Fed., 
858;  8  A.  B.  R.,  302. 

Trustee  takes  no  title  to  policy  of  insitrance  which  has  no  cash  sur- 
render value — cannot  maintain  action  to  set  aside  transfer  of  same. 
Morris  et  al.  v.  Dodd  (1900),  Sup.  Ct.  Ga.,  Fish,  J.,  110  Ga.,  606. 

The  surplus  income  of  a  trust  fund  beyond  the  amount  necessary  to 
support  the  beneficiary  is  an  asset  of  the  bankrupt's  estate,  which  passes 


244  TITLE  TO  PROPERTY.  [§70a. 

to  the  trustee.     Brown  v.  Barker  (1902),  Sup.  Ct.  N.  Y.,  Hiscock,  J.,  68 
App.  Div.,  594;  74  N.  Y.  Supp.,  43;  8  A.  B.  R.,  450. 

Property  of  a  corporation  for  which  bankrupt  works  cannot  be  reached 
by  trustee  even  where  all  the  stock  is  owned  by  his  wife.  Campbell  v. 
Thompson  (1902),  Sup.  Ct.  Colo.,  Thompson,  J.,  70  Pac,  161. 

Money  deposited  in  bank  by  insolvent  partnership  to  be  pro  rated 
among  the  creditors  of  the  firm  as  their  interests  appear  is  on  bank- 
ruptcy proceedings  a  trust  fund  that  passes  to  the  trustee.  In  reDavis 
(1903),  W.  Dist.  Texas,  Moxey,  J.,  119  Fed.,  950. 

The  holder  of  an  imrecorded  bill  of  sale  of  chattels  given  for  security  for 
loan  has  title  against  the  trustee.  Haskell  v.  Merrill  et  al.  (1900),  Sup. 
Ct.  Mass.,  Holmes,  J.,  179  Mass.,  120. 

Growing  crops  are  assets  which  pass  to  trustee.  In  re  Barrows, 
W.  Dist.  Va.,  Paul,  J.,  98  Fed.,  582;  3  A.  B.  R.,  414. 

An  inalienable  contingent  remainder  does  not  vest  in  the  trustee.  In 
re  Hoadley  &  Munroe  (1900),  S.  Dist.  N.  Y.,  Brown,  J.,  97  Fed.,  765; 
3  A.  B.  R.,  780;  2  N.  B.  N.,  704. 

The  prohibition  by  Congress  on  conveyance  by  certain  Indians  of  lands 
for  a  term  of  years  will  preclude  creditors  claiming  such  land  in  volun- 
tary proceedings  by  such  Indian.  In  re  Russie  (1899),  Dist.  Or.,  Bell- 
inger, J.,  96  Fed.,  609;  3  A.  B.  R.,  6. 

All  the  assets  of  the  bankrupt  pass  to  the  trustee  whether  named  in 
this  section  or  not — surplus  of  life  income  by  will  under  N.  Y.  law  is 
available  to  creditors  and  can  in  bankruptcy  proceedings  be  reached  by 
summary  process.  In  re  Baudoine  (1899),  S.  Dist.  N.  Y.,  Brown,  J. 
96  Fed.,  536;  3  A.  B.  R.,  55;  1  N.  B.  N.,  506. 

Liability  of  stockholders  to  bankrupt  corporation  is  an  asset — trustee 
should  make  the  call.  In  re  Chrystal  Springs  Bottling  Co.  (1899) ,  Dist. 
Vt.,  Wheeler,  J.,  96  Fed.,  945;  3  A.  B.  R.,  194. 

Income  of  bankrupt  under  will  providing  it  should  not  be  alienable 
or  subject  to  claim  of  creditors,  does  not  pass  to  trustee.  Munroe  v. 
Dewey  (1900),  Sup.  Ct.  Mass.,  Holmes,  J.,  4  A.  B.  R.,  264;  2  N.  B.  N., 
840. 

Trustee  no  interest  in  estate  created  by  will  where  estate  has  not  vested 
In  re  Wetmore,  E.  Dist.  Penn.,  McPherson,  J.,  99  Fed.,  703;  4  A.  B.  R. 
335;  3  N.  B.  N.,  143. 

Bankrupt  ordered  to  turn  over  money  to  trustee.  In  re  Kuntz  (1899) , 
Dist.  Minn.,  Dovan,  R.,  1  N.  B.  N.,  256. 

Money  in  hands  of  sheriff  arising  from  execution  sale  ordered 
paid  to  trustee.  Rose  v.  Vinton  (1900),  Penn.,  Court  Com.  Pleas, 
WE^llace,  J.,  1  N.  B.  N.,  544. 


1 70a.]  TITLE  TO  PROPERTY.  ^45 

Contingent  remainder  not  a  vested  estate  and  does  not  pass  to  trustee 
[n  re  Ehle  (1901),  Dist.  Vt.,  Wheeler,  J.,  6  A.  B.  R.,  476. 

Where  husband  has  possession  of  wife's  lands  by  courtesy  the  pro- 
ducts of  that  land  pass  to  trustee  as  part  of  husband's  estate  in  bank- 
i-uptcy.  In  re  Ehle  (1901),  Dist.  Vt.,  Wheeler,  J.,  109  Fed.,  625;  6  A. 
B.  R.,  476. 

Rent  accruing  after  bankruptcy  part  of  estate  going  to  trustee  In 
re  Case  (1901),  N.  Dist.  Ohio,  Remington,  R.,  6  A.  B.  R.,  721. 

Trustee's  title  is  no  better  than  the  bankrupt — a  defective  mortgage 
good  as  to  the  creditors  is  good  as  to  the  trustee.  In  re  Ohio  Co-operative 
Shear  Co.  (1899),  N.  Dist.  O.,  Fay,  R.,  2  A.  B.  R.,  775;  1  N.  B.  N.,  477. 

In  conditional  sales  title  to  property  passes  to  the  trustee.  In  re 
Yukon  Woolen  Co.  ei  al.  (1899),  Dist.  Conn.,  Thompson,  J.,  2  A.  B.  R., 
805;  1  N.  B.  N.,  420. 

Where  property  held  by  bankrupt  imder  contract  of  conditional  sale 
bankrupt's  title  vests  in  the  trustee  subject  to  all  equities.  In  re  Boze- 
man  (1899),  S.  Dist.  Ga.,  Myrick,  R.,  2  A.  B.  R.,  809;  1  N.  B.  N.,  479. 

Title  to  property  passes  to  trustee  whether  or  not  lien  on  same  is 
affected  by  bankruptcy  proceedings.  In  re  Benedict  (1902),  Sup.  Ct. 
N.  Y.,  Houghton,  J.,  8  A.  B.  R.,  463. 

Building  materials  belonging  to  a  contractor  on  the  grotmd  for  con- 
struction of  building  for  bankrupt,  whose  contract  provided  that  in  case 
of  default  by  the  contractor  bankrupt  might  go  on  and  furnish  bvdlding 
materials  are  not  subject  to  a  lien,  and  trustee  takes  no  title  to  the  same. 
Duplan  Silk  Co.  v.  Spencer  (1902),  C.  C.  A.,  3rd  Cir.,  Gray,  J.,  115  Fed., 
689;  8  A.  B.  R.,  367. 

Bankrupt  may  give  a  title  by  transfer  after  the  day  of  filing  the  pe- 
tition (involuntary)  before  the  date  of  adjudication.  Bankrupt  owns 
all  he  may  acquire  after  the  date  of  filing  the  petition.  In  re  Gany,  W. 
Dist.  N.  Y.,  Brown,  J.,  103  Fed.,  930;  4  A.  B.  R.,  576;  2  N.  B.  N.,  1,082. 

Section  70  construed  in  re  Burka,  E.  Dist.  Mo.,  Adams,  J.,  104  Fed., 
326;  5  A.  B.   R.,   12. 

Trustee  takes  no  title  to  exempt  property.  In  re  Wells  (1900),  W. 
Dist.  Ark.,  Rogers,  J.,  105  Fed.,  762;  5  A.  B.  R.,  308. 

Mortgaged  property  should  not  be  brought  into  bankruptcy  proceed- 
ings vmless  there  is  an  equity  of  value.  In  re  Utt,  C.  C,  A.,  7th  Cir., 
Woods,  J.,  105  Fed.,  754;  5  A.  B.  R.,  383. 

Trustee  takes  same  title  as  bankrupt  to  assets  subject  to  equitable 
liens.  In  re  KUngeman  (1899),  S.  Dist.  la.,  Galer,  R.,  2  A.  B.  R.,  44; 
1  N.  B.  N.,  294. 


246  TITLE  TO  PROPERTY.  [§70a. 

The  trustee  gets  no  title  to  property  held  by  the  bankrupt  under  con- 
ditional sales  not  completed.  In  re  McKay  (1899),  N.  Dist.  O.,  Wheeler, 
R.;  1  A.  B.  R.,  292;  1  N.  B.  N.,  133. 

Title  of  trustee  siurendered  to  creditor  where  goods  were  obtained  by 
false  representations  of  the  bankrupt,  which  constituted  the  material 
consideration  for  the  credit.  In  re  Gany  (1900),  S.  Dist.  N.  Y.,  Brown, 
J.,  133  Fed.,  930;  4  A.  B.  R.,  576;  2  N.  B.  N.,  1,082. 

Title  held  by  receiver  vmder  State  proceedings  to  property  fraudu- 
lently conveyed  more  than  four  months  before  does  not  vest  in  the  trustee. 
In  re  Meyers  &  Co.  (1899),  N.  Dist.  N.  Y.,  Hotchkiss,  R.,  1  A.  B.  R.,347; 
1  N.  B.  N.,  293. 

Where  the  unsupported  evidence  of  the  bankrupt  as  to  his  disposi- 
tion of  large  svuns  of  money  is  improbable  he  may  be  ordered  to  turn  the 
money  over  to  a  trustee.  In  re  Friedman  (1899),  S.  Dist.  N.  Y.,  Holt, 
R.,  2  A.  B.  R.,  201;  1  N.  B.  N.,  332. 

Trustee  occupies  the  position  of  purchase-  for  value  without  notice 
— ^unrecorded  lien  void  as  to  him.  In  re  Booth  (1899),  Dist.  Or.,  Bel- 
Unger,  J.,  96  Fed.,  942;  3  A.  B.  R.,  574;  2  N.  B.  N.,  377. 

A  conditional  sale  where  vendee  is  expected  to  consume  or  sell  the 
property  is  fraudulent  and  void — title  of  trustee  is  same  as  bankrupt 
except  in  cases  tainted  with  fraud.  In  re  Gracewich  (1902),  C.  C.  A., 
2nd  Cir.,  WaUace,  J.,  8  A.  B.  R.,  149. 

Mortgage  covering  part  of  goods  not  sold  at  time  by  mortgagee  to  mort- 
gagor— such  goods  pass  to  trustee.  In  re  Hull  (1902) ,  Dist.  Vt.,  Wheeler, 
J..  115  Fed.,  858;  8  A.  B.  R.,  302. 

Title  of  trustee  to  property  purchased  by  bankrupt  subject  to  a  chattel 
mortgage  which  he  assvunes  to  pay  is  the  same  as  that  of  bankrupt  and 
imder  the  same  estoppel.  In  re  Standard  Laundry  Co.,  (1901),  N.  Dist. 
Gal.,  DeHaven,  J.,  112  Fed.,  126;  7  A.  B.  R.,  254. 

Trustee  of  bankrupt  grantee  of  deed  of  trust  who  received  same  without 
beneficial  interest  gets  no  title.  In  re  Davis  (1901),  Dist.  Mass.,  Lowell 
J.,  112  Fed.,  129;  7  A.  B.  R.,  258. 

Wife  of  bankrupt  may  not  redeem  from  sale  by  trustee  under  order  of 
referee.  In  re  Novak,  N.  Dist.  la.,  Shiras,  J.,  Ill  Fed.,  161;  7  A.  B.  R., 
267. 

Trustee  has  no  better  title  to  property  than  the  bankrupt,  and  in  case 
of  conditional  sale  title  remaining  in  vendor,  trustee  of  bankrupt  vendee 
gets  title.  In  re  Kellogg  (1901),  W.  Dist.  N.  Y.,  Hazel,  J.,  112  Fed., 
52;  7  A.  B.  R.,  270. 

Equitable  replevin  by  creditors  claiming  fraudulent  representation 
pass  title,  facts  not  justifying  restoration.  In  re  Davis  (1901),  S.  Dist.  N. 
Y.,  Adams,  J.,  112  Fed.,  294;  7  A.  B.  N.,  276. 


§70a.]  TITLE  TO  PROPERTY.  247 

Improper  meddling  with  assets  by  either  bankrupt  or  creditor  after 
petition  filed  is  contempt  of  court.  In  re  Amett  (1901),  W.  Dist.  Tenn., 
Hammond,  J.,  112  Fed.,  770;  7  A.  B.  R..  522. 

Equity  of  redemption  of  bankrupt  not  enlarged  by  bankruptcy  pro- 
ceeding. In  re  Goldman  (1900),  S.  Dist.  N.  Y.,  Brown,  J.,  102  Fed., 
122;  4  A.  B.  R.,  100;  2  N.  B.  N.,  818. 

Trustee  does  not  take  title  to  contingent  remainder.  In  re  Wetmore 
(1900),  S.  Dist.  Penn.,  McPherson,  J.,  102  Fed.,  290;  4  A.  B.  R.,  335; 
3  N.  B.  N.,  443. 

Title  of  trustee  in  vested  remainder — statement  of  under  New  York 
Statute.     In  re  St.  John,  N.  Dist.  N..  Y.,  Coxe,  J.,  105  Fed.,  234;  5  A. 

B.  R.,  190. 

Where  the  property  is  in  the  possession  of  the  trustee  the  court  will 
enjoin  an  interference  by  an  adverse  claimant.     In  re  Whitener  (1900), 

C.  C.  A.,  5th  Cir.,  Pardee,  J.,  105  Fed.,  180;  5  A.  B.  R.,  198. 

Proceeds  of  property  levied  on  tmder  State  proceedings  within  four 
months  prior  to  the  bankruptcy  vest  in  the  trustee.  Schmilovitz  v. 
Bernstein  (1901),  Sup.  Ct.  R.  I.,  Douglass,  J.,  5  A.  B.  R.,  265. 

Contingent  remainder  does  not  vest  title  in  trustee.  In  re  Gardiner 
(1901),  S.  Dist.  N.  Y.,  Brown,  J.,  106  Fed.,  670;  5  A.  B.  R.,  432. 

No  claim  against  the  estate  by  wife  where  gift  has  not  been  delivered. 
In  re  Chapman  (1900),  N.  Dist.  111.,  Kohlsaat,  J.,  105  Fed.,  901;  5  A.  B. 
R.,  570. 

Contingent  estate  not  vested  in  trustee.  In  re  Wetmore,  C.  C.  A.,  4th 
Cir.,  Bradford,  J.,  108  Fed..  991;  6  A.  B.  R.,  210. 

Trustee  holding  property  where  facts  show  it  to  be  in  custodia  legis 
and  subject  to  inter\'ening  claims.  AIcFarland  Carriage  Co.  v.  Solanas 
et  al,  (1901),  E.  Dist.  La.,  Boarman,  J.,  108  Fed.,  532;  6  A.  B.  R.,  221. 

Rescission  of  contract  on  grotmd  of  fraudulent  representation — vendor 
may  avoid  the  sale  irrespective  of  contract  of  vendee  not  to  pay  for  them. 
In  re  Epstein  (1901),  E.  Dist.  Ark.,  Trieber,  J.,  109  Fed.,  874;  6  A.  B.  R., 
60. 

Trustee's  title  to  contingent  interest  to  estate  imder  clause  of  contin- 
gency where  contingency  relates  to  an  event  and  not  to  person  taken 
by  devisee  as  vested  interest  and  passes  to  trustee  in  bankruptcy.  In  re 
Twaddell  (1901),  Dist.  Del.,  Bradford,  J.,  110  Fed.,  145;  6  A.  B.  R.,  539. 

Mere  agreement  by  mortgagee  to  collect  rent  for  mortgagee  not  suffi- 
cient to  vest  title.  In  re  Dole  (1901) ,  Dist.  Vt.,  Wheeler,  J.,  110  Fed.,  926; 
7  A.  B.  R.,  21. 

Trustee  succeeds  to  the  interest  of  the  bankrupt  in  the  eqmty  of  re- 
demption. In  re  Novak  (1901),  N.  Dist.  la.,  Shiras,  J.,  Ill  Fed.,  161, 
7  A.  B.  R..  27. 


248  TITLE  TO  PROPERTY.  [§70a. 

State  law  prevails  as  to  assignment  of  dower.  Expenses  must  be 
first  paid  where  land  is  sold  free  of  dower  with  wife's  consent.  In  re 
Forbes  (1901),  N.  Dist.  O.,  Doyle,  R.;  7  A.  B.  R.,  42. 

Vested  remainder  passes  to  trustee.  (ILL.  law)  as  to  what  is  a  vested 
remainder.  In  re  McHarry  (1901),  C.  C.  A.,  7th  Cir.,  Grosscup,  J.,  Ill 
Fed.,  498;  7  A.  B.  R.,  83. 

Property  held  under  conditional  sale  does  not  pass  to  trustee.  In 
re  Hinsdale  (1901),  Dist.  Vt.,  Wheeler,  J.,  lll^Fed.,  502;  7  A.  B.  R.,  85. 

Tnistee's  title  not  that  of  attaching  creditor,     idem . 

[Policy  of  Insurance.]  Promded,  That  when  any  bank- 
rupt shall  have  any  insurance  policy  which  has  a  cash  sur- 
render value  payable  to  himself,  his  estate,  or  personal  rep- 
resentatives, he  may,  within  thirty  days  after  the  cash 
surrender  value  has  been  ascertained  and  stated  to  the 
trustee  by  the  company  issuing  the  same,  pay  or  secure  to 
the  trustee  the  sum  so  ascertained  and  stated,  and  continue 
to  hold,  own,  and  carry  such  policy  free  from  the  claims  of 
the  creditors  participating  in  the  distribution  of  his  estate 
under  the  bankruptcy  proceedings,  otherwise  the  policy 
shall  pass  to  the  trustee  as  assets ;  and 

Where  bankrupt  conveys  an  insurance  policy  which  has  a  cash  sur- 
render value  to  his  wife  more  than  four  months  prior  to  filing  of  petition 
the  trustee  must  first  institute  proceedings  to  set  aside  conveyance  of  the 
policy.  In  re  Graks  (1899),  S.  Dist.  O.,  Geiger,  R.,  1  A.  B.  R.,  465;  1 
N.  B.  N.,  164. 

This  provision  applies  only  to  insurance  policy  that  has  a  cash  surrender 
value  to  the  bankrupt.  A  policy  the  value  of  which  is  dependent  on  the 
release  by  the  bankrupt's  wife  of  her  interest  does  not  come  within  this 
section.     In  re  Henrich  (1899),  Dist.  Md.,  Hisky,  R.,  1  A.  B.  R.,  713. 

Policies  of  insiirance  ha\'ing  a  surrender  value  payable  to  the  bank- 
rupt's estate  are  assets  in  spite  of  the  State  law  declaring  them  exempt. 
In  re  Steel  &  Co.  (1899),  S.  Dist.  la.,  Shiras,  J.,  98  Fed.,  78;  3  A.  B.  R., 
549;  2  N.  B.  N.,  281. 

Tontine  insurance  policy  payable  to  bankrupt  on  a  date  named,  and 
if  he  die  before,  payable  to  his  wife,  has  a  cash  surrender  value  and  belongs 
to  the  trustee.  In  re  Boardman,  Dist.  Mass..  Lowell,  J.,  103  Fed.,  783; 
4  A.  B.  R.,  620;  2  N.  B.  N.,  821. 

Advance    for  premiiuns  made  by  wife  of  bankrupt  on    endowment 


§70 a.]  TITLE  TO  PROPERTY.  240 

policy  protected.     In  re  Diack  (1899),  S.  Dist.  N.  Y.,  Brown,  J.,  100  Fed., 
770;  3  A.  B.  R..  723;  2  N.  B.  N.,  664. 

It  is  proper  to  require  the  bankrupt  to  execute  an  assignment  of  his 
insurance  policies.  In  re  Madden,  (1901),  C.  C.  A.,  2nd  Cir.,  110  Fed., 
34&;  6  A.  B.  R.,  614. 

A  policy  of  insurance  which  is  transferrable  and  has  a  market  value 
passes  to  the  trustee,  although  it  has  no  surrender  value.  In  re  Sling- 
luff  (1900),  Dist.  Md.,  Morris,  J.,  105  Fed.,  502;  5  A.  B.  R.,  76. 

Although  State  law  permits  exemption  of  life  insurance  policy,  one 
that  has  a  cash  surrender  value  is  controlled  by  Section  70  and  passes 
to  the  trustee.  In  re  Scheld  (1900),  C.  C.  A.,  9th  Cir.,  Ross,  J.,  104  Fed., 
870;  5  A.  B.  R.,  102. 

A  policy  of  insurance  which  has  a  cash  sturender  value  does  not  pass 
as  exempt  although  State  law  may  so  provide.  In  re  Holden  (1902) , 
C.  C.  A.  9th  Cir.,  McKenna,  J.,  113  Fed.,  141;  7  A.  B.  R.,  615. 

Policy  of  insurance  to  benefit  of  assured  goes  to  the  trustee.  In  re 
Lange,  N.  Dist.  la.,  Shiras,  J.,  91  Fed.,  631;  1  A.  B.  R.,  189;  1  N.  B.  N.,  44. 

(6)  [Rights  of  action]  rights  of  action  arising  upon 
contracts  or  from  the  unlawful  taking  or  detention  of,  or 
injury  to,  his  property. 

Bankrupt  is  guilty  of  contempt  for  failing  to  turn  over  property  to 
the  trustee  on  the  order  the  referee.  In  re  Tudor  (1899),  Dist.  Colo., 
Hallett,  J.,  96  Fed.,  361;  2  A.  B.  R.,  808;  1  N.  B.  N.,  339. 

Trover  against  a  trustee  may  be  maintained  in  state  court  for  invading 
the  possession  of  chattels  purchased  from  the  bankrupt  a  short  time  prior 
to  the  bankruptcy.  Weeks  v.  Fowler  (1902),  Sup.  Ct.  N.  H.,  Chase,  J., 
51  Atl..  543. 

A  cause  of  action  which  wotdd  survive  and  pass  to  the  personal  repre- 
sentative of  the  plaintiff  will  pass  to  the  trustee.  So  does  a  claim  for 
damages  against  a  Itmiber  dealer's  association  for  unlawful  conversion. 
Cleland  v.  Anderson  (1902),  Sup.  Ct.  Neb.,  Pound,  J.,  92  N.  W.,  306. 

Bankrupt  cannot  after  discharge  prosecute  a  claim  which  he  failed  to 
schedule  as  an  asset  as  the  trustee  took  title  to  all  his  property  and  title 
did  not  invest  in  him  after  discharge.  Scruhy  v.  Norman  (1901),  Ct.  of 
App.,  of  Mo.,  Smith,  J.,  91  Mo.  App.,  517. 

Trustee  has  no  title  to  property  acquired  after  the  filing  of  the  petition. 
In  re  Harris  (1899),  N.  Dist.  111.,  Wean,  R.,  2  A.  B.  R.,  359;  1  N.  B.  N., 
384. 

Section  70  is   controlled  by  Section  6  in  the  matter  of  exemptions. 


250  TITLE  TO  PROPERTY.  (§70bcde. 

In  re  Steel  &  Co.  (1899),  S.  Dist.  Iowa,  Shiras,  J.,  98  Fed.,  78;  3  A.  B. 
R.,  549;  2  N.  B.  N.,  281. 

b  [Approval  and  sale  of  property.]  All  real  and  per- 
sonal property  belonging  to  bankrupt  estates  shall  be 
appraised  by  three  disinterested  appraisers;  they  shall  be 
appointed  by,  and  report  to,  the  court.  Real  and  personal 
property  shall,  when  practicable,  be  sold  subject  to  the  ap- 
proval of  the  court ;  it  shall  not  be  sold  otherwise  than  sub- 
ject to  the  approval  of  the  court  for  less  than  seventy-five 
per  centum  of  its  appraised  value. 

As  to  sales  of  property  see  general  order  XVIII.  As  to  appointment 
of  appraisers,  oath,  see  form  No.  13  post. 

Sale  by  trustee  does  not  carry  wife's  inchoate  right  of  dower — a  sale 
of  realty  will  not  be  ordered  imless  it  appears  that  it  will  produce  re- 
sults to  the  estate.  In  re  Shaeflfer  (1900),  E.  Dist.  Perm.,  McPherson, 
J.,  104  Fed.,  973;  5  A.  B.  R.,  248. 

Title  to  real  estate  vests  in  trustee  after  appointment.  In  re  Stoner,' 
(1901),  E.  Dist.  Penn.,  McPherson,  J..  105  Fed.,  752;  5  A.  B.  R.,  402. 

c  [Trustee  to  convey  title.]  The  title  to  property  of  a 
bankrupt  estate  which  has  been  sold,  as  herein  provided, 
shall  be  conveyed  to  the  purchaser  by  the  trustee. 

d    [Composition    set    aside — vesting    title    in    trustee.] 

Whenever  a  composition  shall  be  set  aside,  or  discharge  re- 
voked, the  trustee  shall,  upon  his  appointment  and  quali- 
fication, be  vested  as  herein  provided  with  the  title  to  all  of 
the  property  of  the  bankrupt  as  of  the  date  of  the  final  de- 
cree setting  aside  the  composition  or  revoking  the  dis- 
charge. 

e    [Avoiding    certain    transfers — recovery  of  property.] 

The  trustee  may  avoid  any  transfer  by  the  bankrupt  of  his 
property  which  any  creditor  of  such  bankrupt  might  have 
avoided,  and  may  recover  the  property  so  transferred, 
or  its  value,  from  the  person  to  whom  it  was  transferred, 
unless  he  was  a  bona  fide  holder  for  value  prior  to  the  data 


§70f.]  TITLE  TO  PROPERTY.  251 

of  the  adjudication.  vSuch  property  may  be  recovered  or 
its  value  collected  from  whoever  may  have  received  it,  ex- 
cept a  bona  fide  holder  for  value. 

*For  the  purpose  of  such  recovery  any  court  of  bank- 
ruptcy as  hereinbefore  defined,  and  any  state  court  which 
would  have  had  jurisdiction  if  bankruptcy  had  not  inter- 
vened, shall  have  concurrent  jurisdiction.* 

As  amended  by  Act  of  1903.  See  Amendment  page  ,  post,  new  additional  matter 
found  between  stars. 

As  to  suits  by  trustee  see  Sec.  11  and  Sec.  23. 

As  to  title  which  trustee  takes  see  tn  re  Gray,  N.  Y.  Sup.  Ct.,  Barrett, 
J.;  3  A.  B.  R.,  647.  Also  in  re  Adams,  N.  Dist.  N.  Y.,  Moss.  R.;  1  A.  B. 
R.,    94. 

Trustee  has  only  the  rights  of  bankrupt's  creditors.  In  re  Miller  (1900) 
Dist.  Mass.,  Lowell,  J.,  101  Fed.,  413;  4  A.  B.  R.,  224;  2  N.  B.  N.,  701. 

A  trustee  has  no  better  title  than  the  bankrupt  of  his  creditors  have. 
In  re  New  York  Economical  Printing  Co.  (1901),  C.  C.  A.,  2nd  Cir.,  Wal- 
lace, J.,  110  Fed.,  514;  6  A.  B.  R.,  615. 

/    [Revestment  of  title  on  confirmation  of  composition.] 

Upon    the    confirmation    of    a    composition    offered    by 

a  bankrupt,  the  title  to  his  property  shall  thereupon  revest 

in  him. 

As  to  compositions  see  Sec.  12  and  13  ante. 

An  involimtary  petition  filed  November  1st,  1899,  was  not  premature, 
Leidigh  Carriage  Co.  v.  Stengel  (1899),  C.  C.  A.,  6th  Cir.,  Taft,  J.,  95  Fed., 
637;  2  A.  B.  R.,  383;  1  N.  B.  N.,  296. 

An  act  of  bankruptcy  committed  before  November  1st,  1898,  when 
involuntary  petitions  could  be  filed  may  be  the  basis  for  petition.     Idem. 

Between  July  1st,  1898,  and  November  1st,  1898,  while  no  involuntary 
petition  could  be  filed  no  equity  for  injtanction  to  restrain  disposal  of 
goods  by  mortgagee  under  mortgage  which  was  assailable  under  the 
bankruptcy  act.  Ellis  v.  L.  Hayes  Saddlery  &  Leather  Co.  (1902),  Sup. 
Ct.  Kas.,  Smith,  J.;  8  A.  B.  R.,  110. 


252  time  act  in  effect. 

The  Time  when  this  Act  shall  go  into  Effect. 

a    [Force  and  effect.]    This  Act  shall  go  into  full  force 

and    effect    upon    its    passage:    Provided,    however,    That 

no  petition  for  voluntary  bankruptcy  shall  be  filed  within 

one  month  of  the  passage  thereof,   and  no  petition  for 

involuntary  bankruptcy  shall  be  filed  within  four  months 

of  the  passage  thereof. 

Act  became  operative  July  1,  1898,  and  deprived  the  state  courts  of  all 
^wer  and  jurisdiction  except  to  wind  up  the  estate  in  its  hands.  First 
'Nca.  Bank  of  Griljord  v.  Ware  (1901),  Sup.  Ct.  Me.,  Emery,  J.,  388. 

Bankruptcy  law  did  not  suspend  state  insolvency  laws  in  respect  to 
j/HJceedings  already  commenced — subsequent  filing  of  petition  in  bank- 
ruptcy, the  administration  of  the  estate  in  that  court  and  the  insolvent's 
discharge  does  not  deprive  the  state  court  of  jurisdiction  to  entertain 
suit  by  assignee  to  recover  property  fraudulently  conveyed.  Oshornv. 
Tender  (1903),  Sup.  Ct.  Minn.,  Lewis,  J.,  92  N.  W.,  1114. 

Bankruptcy  act  does  not  affect  proceedings  begun  under  state  in- 
solvency law  before  its  passage.  Hood  v.  Blair  State  Bank  (1902) ,  Sup. 
Ct.  Neb.,  Barnes,  J.,  91  N.  W.,  701. 

Creditor's  bill  filed  prior  to  passage  of  the  act  does  not  abate  by  pro- 
ceedings in  bankruptcy  subsequently  instituted  by  judgment  creditors — 
proceedings  to  recover  assets  fraudulently  conveyed  permitted  to  be 
carried  on.  National  Bank  of  the  Republic  v.  Hobbs  (1901),  C.  C.  S.,  Dist. 
Ga.,  Speer,  J.,  9  A.  B.  R.,  190.  To  the  same  effect  Metcalf  v.  Barker  (1902) 
Sup.  Ct.  of  U.  S.,  Fuller,  J.,  9  A.  B.  R.,  3i. 

State  insolvency  law  abrogated  by  the  act.  Parmentier  Mfg.  Co.  v. 
Hamilton  (1899),  Sup.  Ct.  Mass.,  Knowlton,  J.;  1  A.  B.  R.,  39;  1  N.  B. 
N.,  8. 

State  insolvency  law  suspended  by  act — act  operates  from  July  1st. 
The  dates  for  filing  petitions  in  voluntary  and  individual  cases  merely 
matter  of  procedtire.  In  re  Bruss-Ritter  Co.  (1899) ,  Seaman,  J.,  E.  Dist. 
Wis.,  90  Fed.,  651;  1  A.  B.  R.,  58;  1  N.  B.  N.,  39. 

Jurisdiction  of  State  courts  ousted  immediately  on  commencement 
of  proceedings  in  bankruptcy.  In  re  McKee  (1899),  Jefferson  Co.  Ct., 
Gregory,  J.,  Ky.;  1  A.  B.  R.,  311;  1  N.  B.  N.,  139. 

General  assignment  imder  State  law  act  of  bankruptcy  and  voidable. 
Lea  Bros.  v.  West  (1899),  E.  Dist.  Va.,  Waddill,  J.,  91  Fed.,  237;  1  A.  B. 
R.,   261;   1   N.   B.   N.,   79. 

Jurisdiction  of  bankruptcy  court  exclusive,  not  concurrent  with  State 


TIME  ACT  IN  EFFECT.  253 

courts —  receiver  will  be  appointed  to  take  property  from  assignee  im- 
mediately and  before  adjudication.  In  re  John  A.  Etheridge  Furniture 
Co.  (1899),  Barr,  J.,  Dist.  Ky.,  92  Fed.,  329;  1  A.  B.  R.,  112;  1  N.  B.  N., 
139. 

Distinction  between  general  insolvency  and  general  assignment  stat- 
utes; former  derives  its  potency  from  the  law,  latter  from  deed  of  deb- 
tor— former  and  not  latter  procedure  is  superseded  by  the  act.  The 
general  assignment  is  voidable  on  the  adjudication  only.  In  re  Sievers 
(1899),  Adams,  J.,  E.  Dist.  Mo.,  91  Fed.,  366;  1  A.  B.  R.,  117;  1  N.  B.  N., 
69. 

Indiana  law  for  general  assignments  declared  in  effect  an  insolvency 
statute  and  made  void  by  the  act,  and  assignee  by  simimary  process 
ordered  to  surrender  assets  to  the  bankruptcy  court.  In  re  Smith  & 
Dodson  (1899),  Dist.  Ind.,  Baker,  J.;  2  A.  B.  R.,  9;  1  N.  B.  N.,  356. 

Assignee  under  general  assignment  allowed  no  compensation  or  at- 
torney's fees.  In  re  Kingman  (1899),  Dist.  Mass.,  Farmer,  R.;  5  A. 
B.  R.,  251. 

b  [Cases  pending  under  state  laws.]  Proceedings  com- 
menced under  State  insolvency  laws  before  the  passage 
of  this  Act  shall  not  be  affected  by  it. 

Prior  to  the  commencement  of  bankruptcy  proceedings  the  State  law 
for  winding  up  corporations  is  not  suspended.  State  v.  Sup.  Ct.  of  King 
Co.  (1899),  Sup.  Ct.  of  Wash.,  Beavis,  J.;  2  A.  B.  R.,  92;  1  N.  B.  N.,  309. 

Bankruptcy  act  suspends  general  insolvency  law  and  proceedings 
thereunder  are  void.  In  re  Curtis  (1899),  S.  Dist.  111.,  Allen,  J.,  91  Fed., 
737;  1  A.  B.  R.,  440;  1  N.  B.  N.,  163. 

Before  the  expiration  of  the  four  months  when  involimtary  petitions 
could  be  filed  injunction  may  issue  to  restrain  attaching  creditors.  Blake 
et  al.  V.  Francis  Valentine  Co.  (1898) ,  N.  Dist.  Cal.,  Hawlet,  J.,  89  Fed.,  691 ; 
1  A.  B.  R.,  372;  1  N.  B.  N.,  47. 

A  general  insolvency  law  is  suspended  by  the  bankruptcy  act  and 
proceedings  under  it  are  void,  not  merely  voidable — law  of  111.  governs 
general  assignment-,  held  to  be  a  general  insolvency  law.  In  re  Curtis, 
(1899),  S.  Dist.  111.,  Allen,  J.,  91  Fed.,  737;  1  A.  B.  R.,  440;  1  N.  B.  N.,  163. 

Court  of  bankruptcy  may  restrain  the  further  administration  of  the 
estate  assignee  under  State  law  and  complete  administration  of  the  es- 
tate through  its  own  officers.  Lea  Bros.  v.  West  (1899),  E.  Dist.  Va., 
Waddill,  J.,  91  Fed.,  237;  1  A.  B.  R.,  261;  1  N.  B.  N.,  79. 

Trustee  may  sue  either  in  law  or  equity  to  set  aside  fraudulent  con- 
veyance. Four  months  time  does  not  affect.  Andrews  v.  Mathes  (1902) . 
Sup.  Ct.  Ala.,  Harolson,  J.,  32  So.,  738. 


254  TIME  ACT  IN  EFFECT. 

Trustee  may  set  aside  sale  of  mortgaged  chattels  with  the  consent  of 
the  mortgagee  as  mortgagee  not  a  bona  fide  holder.  Skillum  v.  Edelman 
(1902),  Sup.  Ct.  N.  Y.,  Gilderslieve,  J.,  79  N.  Y.,  Supp.,  413. 

See  70e. 

Trustee  not  a  purchaser  for  value  without  notice — has  no  better  right 
to  property  than  bankrupt.  Goodyear  Rubber  Co.  v.  Schreiber  (1902), 
Sup.  Ct.  Wash.,  Fullerton,  J.,  69  Pac,  648. 

Action  sustained  by  trustee  in  bankruptcy  to  set  aside  conveyance  of 
real  estate  made  by  the  bankrupt  in  fraud  of  creditors  six  months  before 
the  filing  of  the  petition  in  bankruptcy.  Mueller  v.  Bruss  (1901),  Sup. 
Ct.  Wis.,  Bardun,  J.,  8  A.  B.  R.,  442. 

Where  chattel  mortgage  and  bill  of  sale  were  fraudulent  and  void, 
trustee  may  bring  action  in  state  court  to  set  the  same  aside.  Small  v. 
Mueller  (1901),  Sup.  Ct.  N.  Y.,  Bartlett,  J.,  67  App.  Div.,  143;  8  A.  B. 
R.,  448. 

Trustee  un*der  this  section  must  give  security  for  costs.  Joseph  v. 
Raff  (1902),  Sup.  Ct.  N.  Y.,  O'Brien,  J.,  9  A.  B.  R.,  227;  Barber  v.  Frank- 
jin  (1902),  Sup.  Ct.  N.  Y.,  Gilderslieve,  J.,  37  Misc.,  292;  75  N.  Y.  Sup., 
305;  8  A.  B.  R.,  468. 

State  insolvency  laws  suspended  by  the  passage  of  the  bankruptcy 
act  and  proceedings  thereunder  staid.  In  re  McKee  (1899),  Jefferson 
Co.,  Ky.,  Ct.,  Gregory,  J.;  1  A.  B.  R.,  311;  1  N.  B.  N.,  139. 

Bankruptcy  court  has  jurisdiction  to  preserve  assets  of  estate  from 
seizure  on  attachment  proceedings  pending  filing  of  petition.  Blake 
et  al.  V.  Valentine  &  Co.  (1899),  N.  Dist.  Cal.,  Hawley,  J.,  89  Fed.,  691; 
1  A.  B.  R.,  372;  1  N.  B.  N.,  47. 

An  action  by  receiver  under  State  proceedings  to  set  aside  a  convey- 
ance is  not  a  proceeding  under  State  insolvency  law.  In  re  Meyers  &  Co. 
(1899),  N.  Dist.  N.  Y.,  Hotchkiss,  R.;  1  A.  B.  R.,  347;  1  N.  B.  N.,  293. 

An  assignee  under  general  assignment  is  not  entitled  to  fee  as  such, 
nor  is  he  entitled  to  fee  for  his  attorney,  but  he  should  be  paid  for  his 
services  as  custodian  and  should  be  allowed  his  expenses  in  preserving 
the  estate.  In  re  Pauley  (1899),  N.  Dist.  N.  Y.,  Hotchkiss,  R.;  2  A.  B. 
R.,  333;  1  N.  B.  N.,  405. 

The  Pennsylvania  statute  as  to  domestic  attachments  is  not  suspended 
by  the  bankruptcy  act.  McCollough  &  Linn  v.  Goodheart,  Cumberland 
Co.  (1899),Com.  PleasCt.,Biddle,  J.;3A.  B.  R.,  85;  1  N.  B.  N.,  512. 

State  insolvency  proceedings  commenced  before  bankruptcy  not 
affected,  nevertheless  claims  provable  in  bankruptcy  irrespective  of 
such  proceedings.  In  re  Bates,  Dist.  Vt.,  Wheeler,  J.,  100  Fed.,  263; 
4  A.  B.  R.,  56;  2  N.  B.  N.,  208. 


§  71.]  TIME  ACT  IN  EFFECT.  255 

State  insolvency  proceedings  commenced  after  July  1,  1898,  are 
void.  Westcott  Co.  v.  Berry  et  al.  (1899),  Sup.  Ct.,  N.  H.  Young,  J.,  45 
Atl.,  352;  4  A.  B.  R.,  264. 

To  entitle  assignee  under  general  assignment  to  compensation  for 

services  rendered  they  must  have  been  beneficial  to  the  estate — no  dupli- 
cation of  charges  permitted.  In  re  Kingman  (1899),  Dist.  Mass.,  Far- 
mer, R.;  1  N.  B.  N.,  618. 

When  goods  are  stored  under  general  assignments  landlord  is  entitled 
to  fuU  rent  for  a  reasonable  period  during  assignment.  In  re  Kingman, 
Dist.  Mass.,  Farmer,  R.;  1  N.  B.  N.,  518. 

A  fraudulent  assignment  of  a  claim  long  prior  to  passage  of  bankruptcy 
act  held  void.  Scot  v.  Devlin  et  dl.  (1898),  S.  Dist.  N.  Y.,  Brown,  J., 
89  Fed.,  970;  1  N.  B.  N.,     561. 

The  statute  of  fraud  of  California  not  abrogated  by  bankruptcy  act. 
In  re  Taylor,  N.  Dist.  Cal.,  Holland,  R.;  1  N.  B.  N.,  412. 

Assignee  of  creditors  tmder  voluntary  assignment  allowed  no  fees 
for  services  but  is  allowed  his  disbursements  and  fees  as  custodian,  but 
no  attorney's  fees.  In  re  Bussey  (1901),  W.  Dist.  Mo.,  Crittenden,  R.; 
6  A.  B.  R.,  603. 

Assignment  for  creditors  does  not  warrant  paying  assignee  compensa- 
tion for  services.  In  re  Tatem,  Mann  &  Co.  (1901),  E.  Dist.  N.  C,  Pur- 
neU,  J.,  110  Fed.,  519;  7  A.  B.  R.,  52;  Wilbur  v.  Watson  (1901),  Dist.  R. 
I.,  Brown,  J.,     Ill  Fed.,    493;  7  A.  B.  R.,  54. 

State  insolvency  laws  suspended  by  the  bankruptcy  act — neverthe- 
less proceedings  in  State  Cotirt  to  foreclose  a  mortgage  combined  with 
allegations  in  petitions  which  would  have  invoked  the  State  insolvency 
law  does  not  vitiate  that  part  which  covers  the  foreclosure.  Carling 
V.  Seymour  Lumber  Co.  (1902),  C.  C.  A.,  5th  Cir.,  Shelby,  J.,  113  Fed., 
483;  8  A.  B.  R.,  29. 

The  bankruptcy  receiver  will  take  possession  of  all  property  not  covered 
by  the  foreclosure.  Comity  reqviires  that  bankruptcy  receiver  first 
apply  to  State  court.     Idem. 

Proceedings  for  winding  up  a  corporation  imder  State  insolvency  law 
does  not  deprive  the  bankruptcy  court  of  jurisdiction.  In  re  Storck  Lum- 
ber Co.  (1902),  Dist.  Md.,  Morris,  J.,  114  Fed.,  360;  8  A.  B.  R.,  86. 

*Sec.  71.  [Clerks  to  keep  indexes  and  issue  certifieates  of 
search.]  That  the  clerks  of  the  several  district  courts 
of  the  United  States  shall  prepare  and  keep  in  their  respective 
offices  complete  and  convenient  indexes  of  all  petitions 
and    discharges    in    bankruptcy    heretofore    or    hereafter 


256  COMPENSATION  OF  REFEREE  AND  TRUSTEE.  [§72. 

filed  in  said  courts,  and  shall  when  requested  so  to  do, 
issue  certificates  of  search  certifying  as  to  whether  or  not 
any  such  petitions  or  discharges  have  been  filed;  and  said 
clerks  shall  be  entitled  to  receive  for  such  certificates 
the  same  fees  as  now  allowed  by  law  for  certificates  as  to 
judgments  in  said  courts;  Provided,  that  said  bankruptcy 
indexes  and  dockets  shall  at  all  times  be  open  to  inspection 
and  examination  by  all  persons  or  corporations  without 
any  fee  or  charge  therefor.* 

Ab  amended  by  Act  of  Feb.  5,  1903.    Amendment  inserts'  entire  new  section. 

*Sec.  72.  [Referee  and  trustee  not  to  receive  extra  com- 
pensation.] That  neither  the  referee  nor  the  trustee  shall 
in  any  form  or  guise  receive,  nor  shall  the  coiurt  allow 
them,  any  other  or  further  compensation  for  their  services 
than  that  expressly  authorized  and  prescribed  in  this  act.* 

As  amended  by  Act  of  Feb.  5,1903.     Amendment  inserts  new  section. 

[Time  amendment  of  Feb.  5,  1903,  goes    into  effect] 

*That  the  provisions  of  this  amendatory  act  shall  not  apply 
to  bankruptcy  cases  pending  when  this  act  takes  effect 
but  such  cases  shall  be  adjudicated  and  disposed  of  con- 
formably to  the  provisions  of  the  said  Act  of  July  first, 
eighteen  hundred  and  ninety-eight.* 

As  amended  by  Sec.  19  of  act  of  Feb.  5,  1903. 

[This  act  was  signed  by  the  President  at  4:30  p.  m.,  of  Feb.  5th,  1903.] 


GENERAL  ORDERS  IN  BANKRUPTCY. 


Supreme  Court  of  United  States. 
October  Term,  1898. 


I.  Docket. 

Clerk  to   keep  Docket.     Memo- 
randum of  Proceedings. 

II.  Filing  of  Papers. 
Time   of  filing  noted. 

III.  Process. 

Process  to  issue  out  of  Court — 
tested  by  clerk. 

IV.  Conduct  of  Proceedings. 
May  be  in  person  or  by  attorney. 

V.  Frame  of  Petition. 
Petition    to    be   without  abbre- 
viations. 

VI.  Petitions    in    Different 

Districts. 
Hearing  in  district  of  debtor's 
domicile. 

VII.  Priority    op    Petitions. 
Petition     alleging    earliest     act 
of  bankruptcy  to  be  heard  first. 

VIII.  Proceedings  in  Partner- 

ship Cases. 
Partner  may  contest — notice  of 
filing. 

IX.  Schedule   in   Involuntary 

Cases. 
When  creditors  to  file. 

X.  Indemnity  for  Expenses. 
Officers  may  require  advance 
payment. 

XI.  Amendments. 

Court  may  allow — practice. 

XII.  Duties  of  Referee. 

(1)  Bankrupt  subject  to  orders 
of  referee  after  reference. 

(2)  Time  and  place  where  refer- 
ee acts. 

(3)  What    matters    heard    by 
judge — reference  on  facts. 

XIII.  Appointment  and  Remo- 
val OF   Trustees. 

Appointed  by  creditors — removal 
by  judge. 

XIV.  No  Official  or  General 

Trustee. 
Court  not  to  appoint. 

XV.  Trustees  not  Appointed 
IN  Certain  Cases. 

No  assets  and  no  creditors,  no 
trustee. 

257 


XVI.  Notice  to  Trustee  op  his 
Appointment. 

Referee    to    notify    trustee    of 
appointment ;   acceptance . 

XVII.  Duties  of  Trustee. 
Prepare  inventory — make  report 
— duty  of  referee  to  compel. 

XVIII.  Sales    of    Property. 

(1)  To  be  at  public  auction. 

(2)  When    trustee    authorized 
to   sell. 

(3)  Sale  of  perishable  property. 

XIX.  Accounts  of  Marshal. 
Accounts  vmder  oath. 

XX.  Papers  filed   after  Ref- 

erence. 
Filed  either  with  referee  or  clerk. 

XXI.  Proof  of  Debts. 

(1)  Depositions — what  to  show. 

(2)  Creditor  may  have  notices 
sent  to  his  address. 

(3)  Assigned  claims — notice  to 
claimant. 

(4)  Contingent    claims. 

(5)  Acknowledgement  of  letters 
of  attorney. 

(6)  Re-examination  of    claims 
— practice. 

XXII.  Taking  of  Testimony. 
Examinations — how  conducted. 

XXIII.  Orders  of  Referee. 
What  order  to  recite. 

XXIV.  Transmission  of  Proved 
Claims    to     Clerk. 

Referee  to  transmit  list  to  clerk. 

XXV.  Special  Meeting  of  Cred- 

itors. 
Court  may  call  when  necessary. 

XXVI.  Accounts  of  referee. 
Referee  to  keep  account  of  ex- 
penses. 

XXVII.  Review   by  Judge. 
Petition  for  review  to  be  filed 
with  the  referee. 

XXVIII.  Redemption  of  Prop- 
erty and  Compounding  of 
Claims. 

Trustee    or    creditor    may    file 
petition  for. 

XXIX.  Payment  of  Moneys  De- 


258 


GENERAL  ORDERS  IN  BANKRUPTCY. 


Money  drawn  on  check;  counter- 
signed by  the  judge  or  referee. 

XXX.  Imprisoned    Debtor. 
Court  may  issue  writ  of  habeas 
corpus  for  imprisoned  debtor — 
practice. 

XXXI.  Petition  for  Discharge 
What  to  state. 

XXXII.  Opposition    to    Dis- 
charge OR  Composition. 

Creditor  must  enter  appearance — 
must  file  specifications  of  ground. 

XXXIII.  Arbitration. 

What  appUcation  for  authority 
to   shall   state. 

XXXIV.  Costs     in    Contested 
Adjudications. 

Successful  petitioning  creditor 
to  recover  costs — debtor  to  re- 
cover  when. 

XXXV.  Compensation  of  Clerk 
Referees  and  Trustees. 

(1)     What  clerk's  fees  to  cover — 


copies  and  notices. 

(2)  What  referee's  fees  to  cover 
— not    expenses. 

(3)  What  compensation  of  trus- 
tee   to    cover;    not    expenses. 

(4)  Fees  in  pauper  cases — how 
collected. 

XXXVI.  Appeals. 

(1)  Appeals  to  Circuit  Court 
of  Appeals  —  equity  practice 
governs. 

(^)  Appeals  to  Supreme  Court 
of  United  States — thirty  day 
limit. 

(3)  Record  on  appeal  to  Su- 
preme Court  of  United  States. 

XXXVII.  General  Provisions. 
Equity  rules  to  control  in  equity 
cases — law  rules  in  law  cases — 
time  for  process,  etc. 

XXXVIII.  Forms. 

Official  forms  to  be  used  in  pro- 
ceedings. 


In  pursuance  of  the  powers  conferred  by  the  Constitution  and  laws 
upon  the  Supreme  Court  of  the  United  States,  and  particularly  by  the 
act  of  Congress  approved  July  1,  1898,  entitled  "An  act  to  estabUsh 
a  uniform  system  of  bankruptcy  throughout  the  United  States,"  it 
is  ordered,  on  this  28th  day  of  November,  1898,  that  the  following  rules 
be  adoped  and  established  as  general  orders  in  bankruptcy,  to  take 
effect  on  the  first  Monday,  being  the  second  day,  of  January,  1899.  And 
it  is  further  ordered  that  all  proceedings  in  bankruptcy  had  before  that 
day,  in  accordance  with  the  act  last  aforesaid,  and  being  in  substantial 
conformity  either  with  the  provisions  of  these  general  orders,  or  else 
with  the  general  orders  established  by  this  court  under  the  bankrupt 
act  of  1867  and  with  any  general  niles  or  special  orders  of  the  courts 
in  bankruptcy,  stand  good,  subject,  however,  to  such  ftuther  regulation 
by  rule  or  order  of  those  courts  as  may  be  necessary  or  proper  to  carry 
into  force  and  effect  the  bankrupt  act  of  1898  and  the  general  orders  of 
this   covirt. 

Section  30  provides  that  all  rules,  forms  and  orders  prescribed  by 
the  Supreme  Court  govern  as  to  procedure. 

Where  rules  differ  from  statutes,  statute  controls.  In  re  Sop>er  &  Slada 
(1899).  N.  Dist.  N.  Y.,  Hotchkiss,  R.;  1  A.  B.  R.,  193;  1  N.  B.  N.,  182. 


GENERAL  ORDERS  IN  BANKRUPTCY.  259 

I. 

DOCKET. 

[Clerk  to  keep  docket — Memorandum  of  proceedings.]   The 

clerk  shall  keep  a  docket,  in  which  the  cases  shall  be  entered 
and  niimbered  in  the  order  in  which  they  are  commenced. 
It  shall  contain  a  memoranditm  of  the  filing  of  the  petition 
and  of  the  action  of  the  court  thereon,  of  the  reference  of 
the  case  to  the  referee,  and  of  the  transmission  by  him 
to  the  clerk  of  his  certified  record  of  the  proceedings,  with 
the  dates  thereof,  and  a  memorandtim  of  all  proceedings  in 
the  case  except  those  duly  entered  on  the  referee's  certified 
record  aforesaid.  The  docket  shall  be  arranged  in  a  man- 
ner convenient  for  reference,  and  shall  at  all  times  be  open 
to  public  inspection. 

As  to  duties  of  clerks  see  ante  Section  51.  See  Gen.  Ord.  II  as  to  filing 
of  papers.  As  to  reference,  see  Sec.  22a,  also  Form  No.  14  for  order  of 
reference.     As  to  referee's  records,  see  Sec.  42a  and  b. 

11. 

FILING  OF  PAPERS. 

[Time  of  filing  noted.]  The  clerk  or  the  referee  shall  in- 
dorse on  each  paper  filed  with  him  the  day  and  hour  of 
filing,  and  a  brief  statement  of  its  character. 

See  ante  as  to  duties  of  clerk,  Section  51.  As  to  filing  of  papers  after 
reference  see  Gen.  Ord.  XX. 

Petition  delivered  to  the  clerk  and  endorsed  filed,  after  office  hours 
and  not  in  his  office,  is  filed  according  to  law.  In  re  Wolf  (1899) ,  Dist. 
N.  J.,  Kirkpatrick,  J.,  98  Fed.,  84;  2  A.  B.  R.,  322;  1  N.  B.  N.,  505. 

m. 

PROCESS. 

[Process  to  issue  out  of  court — tested  by  derk.]  All  process, 
summons  and  subpoenas  shall  issue  out  of  the  court,  tmder 
the  seal  thereof,  and  be  tested  by  the  clerk;  and  blanks, 


260  GENERAL  ORDERS  IN  BANKRUPTCY. 

with  the  signature  of  the  clerk  and  seal  of  the  court,  may, 
upon  application,  be  furnished  to  the  referees. 

As  to  process  see  United  States  equity  rules  7  to  16  inclusive. 

IV. 

CONDUCT    OF    PROCEEDINGS. 

[May  be  in  person  or  by  attorney.]  Proceedings  in  bank- 
ruptcy may  be  conducted  by  the  bankrupt  in  person  in  his 
own  behalf  or  by  a  petitioning  or  opposing  creditor ;  but  a 
creditor  will  only  be  allowed  to  manage  before  the  court  his 
individual  interest.  Every  party  may  appear  and  conduct 
the  proceedings  by  attorney,  who  shall  be  an  attorney  or 
coimselor  authorized  to  practice  in  the  circuit  court  or 
district  court.  The  name  of  the  attorney  or  coimselor, 
with  his  place  of  business,  shall  be  entered  upon  the  docket,- 
with  the  date  of  the  entry.  All  papers  or  proceedings 
offered  by  an  attorney  to  be  filed  shall  be  indorsed  as  above 
required,  and  orders  granted  on  motion  shall  contain  the 
name  of  the  party  or  attorney  making  the  motion.  Notices 
and  orders  which  are  not,  by  the  act  or  by  these  general 
orders,  required  to  be  served  on  the  party  personally  may 
be  served  upon  his  attorney. 

Appearance  of  attorney  for  the  baokrupt  who  has  not  been  admitted 
to  district  court  will  not  vitiate  petition.  In  re  Kindt  (1900),  S.  Dist. 
la.,  Shiras,  J.,  101  Fed.,  107;  3  A.  B.  R.,  546;  2  N.  B.  N.,  306. 

Attorney  for  the  bankrupt  should  not  be  the  attorney  for  claimant. 
In  re  Kimball  (1899),  Dist.  Mass.,  Lowell,  J.,  97  Fed.,  29;  4  A.  B.  R.,  144; 
2  N.  B.  N.,  46. 

V. 

FRAME  OF  PETITIONS. 

(Petition  to  be  without  abbreviations.]  All  petitions  and 
the  schedules  filed  therewith  shall  be  printed  or  written 
out  plainly,  without  abbreviation  or  interlineation,  except 


GENERAL  ORDERS  IN  BANKRUPTCY.  261 

where  such  abbreviation  and  interlineation  may  be  for  the 
purpose  of  reference. 

As  to  form  of  petitions  and  schediiles  see  Form  No.  1. 

A  petition  praying  adjudication,  seizure  by  the  Marshal  of  goods 
of  bankrupt,  and  injunction  is  multifarious  and  should  be  dismissed — 
official  form  No.  3  must  be  followed.  In  re  Ogles  (1899),  W.  Dist.Tenn. 
Hammond,  J.,  93  Fed.,  426;  1  A.  B.  R.,  672;  1  N.  B.  N.,  400. 

The  only  prayer  that  should  be  contained  in  a  petition  in  bankruptcy 
is  that  the  insolvent  debtor  be  adjudged  a  bankrupt.  A  petition  con- 
taining more  than  this  is  multifarious.  Mather  v.  Coe,  Powers  &  Coe 
(1899),  N.  Dist.  Ohio,  Rick,  J.,  92  Fed.,  133;  1  A.  B.  R.,  504;  1  N.  B., 
N.,  554. 

VI. 

PETITIONS    IN    DIFFERENT    DISTRICTS. 

[Hearing  to  be  in  district  of  debtor's  domicile.]  In  case 
two  or  more  petitions  shall  be  filed  against  the  same  in- 
dividual in  different  districts,  the  first  hearing  shall  be  had 
in  the  district  in  which  the  debtor  has  his  domicil,  and  the 
petition  may  be  amended  by  inserting  an  allegation  of  an 
act  of  bankruptcy  committed  at  an  earlier  date  than  that 
first  alleged,  if  such  earlier  act  is  charged  in  either  of  the 
other  petitions ;  and  in  case  of  two  or  more  petitions  against 
the  same  partnership  in  different  courts,  each  having  jur- 
isdiction over  the  case,  the  petition  first  filed  shall  be  first 
heard,  and  may  be  amended  by  an  insertion  of  an  allegation 
of  an  earlier  act  of  bankruptcy  than  that  first  alleged,  if 
such  earlier  act  is  charged  in  either  of  the  other  petitions ; 
and,  in  either  case,  the  proceedings  upon  the  other  petitions 
may  be  stayed  until  an  adjudication  is  made  upon  the 
petition  first  heard;  and  the  court  which  makes  the  first 
adjudication  of  bankruptcy  shall  retain  jurisdiction  over 
all  proceedings  therein  until  the  same  shall  be  closed.  In 
case  two  or  more  petitions  shall  be  filed  in  different  districts 
by  different  members  of  the  same  partnership  for  an  ad- 
judication of  the  bankruptcy  of  said  partnership,  the  court 


262  GENERAL  ORDERS  IN  BANKRUPTCY. 

in  which  the  petition  is  first  filed  having  jurisdiction  shall 
take  and  retain  jurisdiction  over  all  proceedings  in  such 
bankruptcy,  until  the  same  shall  be  closed ;  and  if  such  peti- 
tions shall  be  filed  in  the  same  district,  action  shall  be  first 
had  upon  the  one  first  filed.  But  the  court  so  retaining 
jurisdiction  shall,  if  satisfied  that  it  is  for  the  greatest 
convenience  of  parties  in  interest,  that  another  of  said 
courts  should  proceed  with  the  cases,  order  them  to  be 
transferred  to  that  court. 

Petitions  may  be  amended  on  leave  granted.     Gen.  Ord.  XI. 

Petitions  in  different  districts — practice  concerning.  In  re  Waxel- 
baum  (1899)),  S.  Dist.  N.  Y.,  Brown,  J.,  98  Fed.,  689;  3  A.  B.  R.,  392; 
2  N.   B.   N.,   103. 

VII. 

PRIORITY    OF  PETITIONS  . 

[Petition  alleging  earliest  act  of  bankruptcy  to  be  first 
heard.]  Whenever  two  or  more  petitions  shall  be  filed  by 
creditors  against  a  common  debtor,  alleging  separate  acts 
of  bankruptcy  committed  by  said  debtor  on  different  days 
within  four  months  prior  to  the  filing  of  said  petitions,  and 
the  debtor  shall  appear  and  show  cause  against  an  adjudica- 
tion of  bankruptcy  against  him  on  the  petitions,  that 
petition  shall  be  first  heard  and  tried  which  alleges  the  com- 
mission of  the  earliest  act  of  bankruptcy;  and  in  case  the 
several  acts  of  bankruptcy  are  alleged  in  the  different 
petitions  to  have  been  committed  on  the  same  day,  the 
court  before  which  the  same  are  pending  may  order  them  to 
be  consoldiated,  and  proceed  to  a  hearing  as  upon  one 
petition;  and  if  an  adjudication  of  bankruptcy  be  made 
upon  either  petition,  or  for  the  commission  of  a  single  act 
of  bankruptcy,  it  shall  not  be  necessary  to  proceed  to  a 
hearing  upon  the  remaining  petitions,  imless  proceedings  be 
taken  by  the  debtor  for  the  purpose  of  causing  such  ad- 
judication to  be  annulled  or  vacated. 


GENERAL  ORDERS  IN  BANKRUPTCY.  263 

VIII. 
proceedings' IN   PARTNERSHIP    CASES. 

[Partner  may  contest  notice  of  filing.]  Any  member  of  a 
partnership,  who  refuses  to  join  in  a  petition  to  have  the 
partnership  declared  bankrupt,  shall  be  entitled  to  resist 
the  prayer  of  the  petition  in  the  same  manner  as  if  the 
petition  had  been  filed  by  a  creditor  of  the  partnership 
and  notice  of  the  filing  of  the  petition  shall  be  given  to  him 
in  the  same  manner  as  provided  by  law  and  by  these  rules 
in  the  case  of  a  debtor  petitioned  against ;  and  he  shall  have 
the  right  to  appear  at  the  time  fixed  by  the  court  for  the 
hearing  of  the  petition  and  to  make  proof,  if  he  can,  that 
the  partnership  is  not  insolvent  or  has  not  committed  an 
act  of  bankuptcy,  and  to  make  all  defenses  which  any  debtor 
proceeded  against  is  entitled  to  take  by  the  provisions  of  the 
act ;  and  in  case  an  adjudication  of  bankruptcy  is  made  upon 
the  petition,  such  partner  shall  be  required  to  file  a  schedule 
of  his  debts  and  an  inventory  of  his  property  in  the  same 
manner  as  is  required  by  the  act  in  cases  of  debtors  against 
whom  adjudication  of  bankruptcy  shall  be  made. 

See  Sec,  5  as  to  partners  ante. 

Prayer  of  partnership  petition  should  be  to  have  firm  adjudicated 
bankrupt.  Defective  petition  may  be  amended.  In  re  Meyers  (1899), 
S.  Dist.  N.  Y.,  Brown.  J.,  96  Fed.,  408;  2  A.  B.  R.,  770;  2  N.  B.  N.,  111. 

Notice  must  be  given  to  all  members  of  a  partnership  before  firm  ad- 
judication. In  re  Murray,  et  al.  (1899),  N.  Dist.  la.,  Shiras,  J.,  96  Fed., 
600;  3  A.  B   R.,  601;  1  N.  B.  N.,  532. 

All  partners  must  be  notified.  In  re  Russell  (1899),  N.  Dist.  la., 
Shiras,  J.,  101  Fed.,  248;  3  A.  B.  R.,  91;  1  N.  B.  N.,  532. 

IX. 

SCHEDULE    IN    INVOLUNTARY    BANKRUPTCY. 

[Wlien  creditor  to  file.]  In  all  cases  of  involimtary  bank- 
ruptcy in  which  the  bankrupt  is  absent  or  cannot  be  found, 


264  GENERAL  ORDERS  IN  BANKRUPTCY. 

it  shall  be  the  duty  of  the  petitioning  creditor  to  file,  within 
five  days  after  the  date  of  the  adjudication,  a  schedule 
giving  the  names  and  places  of  residence  of  all  the  creditors 
of  the  bankrupt,  according  to  the  best  information  of  the 
petitioning  creditor.  If  the  debtor  is  found,  and  is  served 
with  notice  to  furnish  a  schedule  of  his  creditors  and  fails 
to  do  so,  the  petitioning  creditor  may  apply  for  an  attach- 
ment against  the  debtor,  or  may  himself  ftimish  such 
schedule  as  aforesaid. 

Addresses  of  creditors  should  state  street  and  number  or  schedules 
will  be  defective.  If  street  and  ntunber  not  given  it  must  be  shown  that 
a  diligent  effort  was  made  to  obtain  them.  In  re  Brumelkamp  (1899) , 
N.  Dist.  N.  Y.,  Stone,  R.,  95  Fed.,  814;  2  A.  B.  R.,  318;  1  N.  B.  N.,  360. 

X. 

INDEMNITY    FOR    EXPENSES. 

[Officers  may  require  advance  payment.]  Before  incurring 
any  expense  in  publishing  or  mailing  notices  or  in  traveling 
or  in  procuring  the  attendance  of  witnesses,  or  in  perpetuat- 
ing testimony,  the  clerk,  marshal  or  referee  may  require, 
from  the  bankrupt  or  other  person  in  whose  behalf  the  duty 
is  to  be  performed,  indemnity  for  such  expense.  Money 
advanced  for  this  purpose  by  the  bankrupt  or  other  person 
shall  be  repaid  him  out  of  the  estate  as  part  of  the  cost  of 
administering  the  same. 

As  to  expenses  of  administration  see  Section  62. 

XL 

AMENDMENTS. 

[Court  may  allow — practice.]  The  court  may  allow  amend- 
ments to  the  petition  and  schedule  on  application  of  the 
petitioner.  Amendments  shall  be  printed  or  written, 
signed  and  verified,  like  original  petitions  and  schedules. 
If  amendments  are  made  to  separate  schedules,  the  same 


GENERAL  ORDERS  IN  BANKRUPTCY.  265 

must  be  made  separately,  with  proper  references.     In  the 

appHcation  for  leave  to  amend,  the  petitioner  shall  state 

the  cause  of  the  error  in  the  paper  originally  filed. 

No  summons,  writ,  declaration,  return,  process,  judgment, 
or  other  proceedings  in  civil  causes,  in  any  court  of  the  United  States 
shall  be  abated,  arrested,  quashed  or  reversed  for  any  defect  or  want  of 
form;  but  such  court  shall  proceed  and  give  judgment  according  as  the 
right  of  the  cause  and  matter  in  law  shall  appear  to  it,  without  regarding 
any  such  defect,  or  want  of  form,  except  those  which,  in  cases  of  de- 
murer, the  party  demurringspeciallysetsdown,togetherwithhisdemurrer, 
as  the  cause  thereot;  and  such  court  shall  amend  every  such  defect  and 
want  of  form,  other  than  those  which  the  party  demurring  so  expresses; 
and  may  at  any  time  permit  either  of  the  parties  to  amend  any  defect 
in  the  process  or  pleadings,  upon  such  conditions  as  it  shall,  in  its  dis- 
cretion and  by  its  rules,  prescribe.     Rev.  Stat.  U.  S.  sec.  954. 

Amendments  to  specifications  of  objection  to  discharge  allowed  liberal- 
ly; even  new  grounds  of  objection  may  come  in  by  amendment.  In  re 
Glass  (1902),  W.  D.  Tenn.,  Hammond,  J.,  119  Fed.,  509. 

Amendments  to  a  petition  of  involuntary  bankruptcy  alleging  causes 
arising  more  than  four  months  prior  to  the  petition  allowed.  The  bank- 
rupt's attorney's  fees  were,  however,  assessed  against  the  petitioners. 
In  re  Strait  (1899),  N.  Dist.  N.  Y.,  King,  R.;  2  A.  B.  R.,  308;  1  N.  B.  N., 
354. 

An  amended  schedule  should  be  filed  as  of  the  date  of  filing  the  origi; 
nal  petition.     In  re  Harris  (1899),  N.  Dist.  Ills.,  Wean,  R.;  1  N.  B.  N.,  384. 

XII. 

DUTIES    OF    REFEREE. 

1.    [Bankrupt  subject  to  orders  of  referee  after  reference.] 

The  order  referring  a  case  to  a  referee  shall  name  a  day  upon 
which  the  bankrupt  shall  attend  before  the  referee;  and 
from  that  day  the  bankrupt  shall  be  subject  to  the  orders 
of  the  court  in  all  matters  relating  to  his  bankruptcy,  and 
may  receive  from  the  referee  a  protection  against  arrest, 
to  continue  until  the  final  adjudication  on  his  application 
for  a  discharge,  unless  suspended  or  vacated  by  order  of 
the  court.  A  copy  of  the  order  shall  forthwith  be  sent  by 
mail  to  the  referee,  or  be  delivered  to  him  personally  by  the 


^66  GENERAL  ORDERS  IN  BANKRUPTCY. 

clerk  or  other  officer  of  the  court.  And  thereafter  all  the 
proceedings,  except  such  as  are  required  by  the  act  or  by 
these  general  orders  to  be  had  before  the  judge,  shall  be 
had  before  the  referee. 

As  to  form  of  order  of  reference  see  form  No.  14. 

2.  [Time  and  place  when  referee  acts.]  The  time  when 
and  the  place  where  the  referees  shall  act  upon  the  matters 
arising  under  the  several  cases  referred  to  them  shall  be 
fixed  by  special  order  of  the  judge,  or  by  the  referee;  and 
at  such  times  and  places  the  referees  may  perform  the 
duties  which  they  are  empowered  by  the  act  to  perform. 

Referee's  finding  as  to  fact  will  not  be  disturbed  unless  manifestly 
wrong. 

In  re  Waxelbaura  (1900),  N.  Dist.  Ga.,  Newman,  J.,  101  Fed.,  228. 

3.  [What  matters  heard  by  judge — refference  on  facts.] 

Applications  for  a  discharge,  or  for  the  approval  of  a  com- 
position, or  for  an  injunction  to  stay  proceedings  of  a  court 
or  officer  of  the  United  States  or  of  a  State,  shall  be  heard 
and  decided  by  the  judge.  But  he  may  refer  such  an  ap- 
plication, or  any  specified  issue  arising  thereon,  to  the 
referee  to  ascertain  and  report  the  facts. 

This  rule  must  be  followed  in  involuntary  cases.  In  re  Humbert  Co. 
(1900),  N.  Dist.  la.,  Shiras,  J.,  100  Fed.,  439;  4  A.  B.  R.,  76. 

Questions  arising  on  discharge  may  be  referred  to  referee  by  the  judge. 
In  re  McDuff  (1900),  C.  C.  A.,  5th  Cir.,  Pardee,  J.,  101  Fed.,  241;  4  A. 
B.  R.,  110. 

Sufficiency  of  answer  to  an  involuntary  petition  can  not  be  raised  by 
demurrer.  Case  should  be  set  for  hearing  on  bill  and  answer.  Goldman, 
Beck  &  Co.  V.  Smith  (1899),  Dist.  Ky.,  Barr.,  J.,  93  Fed.,  682;  1  A.  B.  R., 
266;  1  N.  B.  N.,  160. 

A  creditor  may  be  allowed  to  oppose  an  adjudication  by  intervening 
petition.  Goldman,  Beck  &  Co.  v.  Smith  (1899),  Dist.  Ky.,  Barr.,  J., 
93  Fed.,  —682;  1  A.  B.  R..  266;  1  N.  B.  N.,  160. 

Petition  for  review  of  proceedings  before  the  referee  on  a  certificate 
by  the  referee  to  the  judge  is  the  only  mode  of  bringing  the  ruling  of  th.e 
referee  before  the  court.  In  re  Kelley  Dry  Goods  Co.  (1900),  E.  Dist. 
Wis.,  Seaman,  J.,  102  Fed.,  747;  4  A.  B.  R.,  528. 


General  orders  in  bankruptcy.  267 

XIII. 

appointment  and  removal  of  trustee. 

[Appointed  by  creditors — removed  by  judge.]  The  ap- 
pointment of  a  trustee  by  the  creditors  shall  be  subject  to 
be  approved  or  disapproved  by  the  referee  or  by  the  judge ; 
and  he  shall  be  removable  by  the  judge  only. 

XIV. 

no  official  or  general  trustee. 

[Court  not  to  appoint.]  No  official  trustee  shall  be  ap- 
pointed by  the  court,  nor  any  general  trustee  to  act  in 
classes  of  cases. 

As  to  appointment  of  trustee  see  Section  2,  sub.  17. 

XV. 
TRUSTEE    NOT  APPOINTED  IN  CERTAIN  CASES. 

[No  assets  and  no  creditors  no  trustee.]  If  the  schedule 
of  a  volimtary  bankrupt  discloses  no  assets,  and  if  no 
creditor  appears  at  the  first  meeting,  the  court  may,  by 
order  setting  out  the  facts,  direct  that  no  trustee  be  ap- 
pointed; but  at  any  time  thereafter  a  trustee  may  be  ap- 
pointed, if  the  court  shall  deem  it  desirable.  If  no  trustee 
is  appointed  as  aforesaid,  the  court  may  order  that  no 
meeting  of  the  creditors  other  than  the  first  meeting  shall 
be  called. 

Estate  will  not  be  opened  except  for  good  cause.  In  re  Soper  &  Slade 
(1899),  N.  Dist.  N.  Y.,  Hotchkiss.  R.;  1  A.  B.  R.,  193;  1  N.  B.  N.,  182. 

On  the  discovery  of  assets  after  the  first  meeting  of  creditors  at  which 
no  trustee  was  appointed,  a  tnistee  should  be  appointed.  In  re  Smith 
(1899),  W.  Dist.  Tex.,  Maxey,  J.,  93  Fed.,  791;  2  A.  B.  R.,  190;  1  N.  B. 
N.,  532. 


268  GENERAL  ORDERS  IN  BANKRUPTCY. 

XVI. 
NOTICE    TO    TRUSTEE    OF    HIS    APPOINTMENT. 

[Referee  to  notify  trustee  of  appointment — acceptance.] 

It  shall  be  the  duty  of  the  referee,  immediately  upon  the 
appointment  and  approval  of  the  trustee,  to  notify  him  in 
person  or  by  mail  of  his  appointment ;  and  the  notice  shall 
require  the  trustee  forthwith  to  notify  the  referee  of  his 
acceptance  or  rejection  of  the  trust,  and  shall  contain 
a  statement  of  the  penal  sum  of  the  trustee's  bond. 
For  form  of  notice,  see  form  No.  24. 

XVII. 

DUTIES    OP  TRUSTEE. 

[Prepare  inventory — make  report — duty  of  referee  to 
compel.]  The  trustee  shall,  immediately  upon  entering 
upon  his  duties,  prepare  a  complete  inventory  of  all  the 
property  of  the  bankrupt  that  comes  into  his  possession. 
The  trustee  shall  make  report  in  the  court,  within  twenty 
days  after  receiving  the  notice  of  his  appointment,  of  the 
articles  set  off  to  the  bankrupt  by  him,  according  to  the 
provisions  of  the  forty-seventh  section  of  the  act,  with  the 
estimated  value  of  each  article,  and  any  creditor  may  take 
exceptions  to  the  determination  of  the  trustee  within  twenty 
days  after  the  filing  of  the  report  The  referee  may  re- 
quire the  exceptions  to  be  argued  before  him,  and  shall 
certify  them  to  the  court  for  final  determination  at  the 
request  of  either  party:  In  case  the  trustee  shall  neglect 
to  file  any  report  or  statement  which  it  is  made  his  duty  to 
file  or  make  by  the  act,  or  by  any  general  order  in  bankruptcy 
within  five  days  after  the  same  shall  be  due,  it  shall  be  the 
duty  of  the  referee  to  make  an  order  requiring  the  trustee 
to  show  cause  before  the  judge,  at  a  time  specified  in  the 
order,  why  he  should  not  be  removed  from  office.    The 


GENERAL  ORDERS  IN  BANKRUPTCY.  269 

referee  shall  cause  a  copy  of  the  order  to  be  served  upon  the 

trustee  at  least  seven  days  before  the  time  fixed  for  the 

hearing,  and  proof  of  the  service  thereof  to  be  delivered  to 

the  clerk.     All  accounts  of  trustees  shall  be  referred  as  of 

course  to  the  referee  for  audit,  unless  otherwise  specially 

ordered  by  the  court. 

This  rule  must  be  observed  as  to  appointment  of  trustee,  etc.,  before 
the  court  can  test  the  question  of  exemptions.  In  re  Smith  (1899),  W. 
Dist.  Tex.,  Maxey,  J.,  93  Fed.,  791;  2  A.  B.  R.,  190;  1  N.  B.  N.,  532. 

The  20  day  limitation  to  contest  exemptions  does  not  apply  to  the 
bankrupt  but  only  to  creditors.  In  re  White  (1900),  Dist.  Vt.,  Wheeler, 
J.,    103  Fed.,  774;  4  A.  B.  R.,  613;  3  N.  B.  N.,  27. 

Trustee  must  specify  and  separately  appraise  articles  set  off  as  ex. 
empt.  In  re  Manning  (1902),  E.  Dist.  Penn.,  McPherson,  J.,  112  Fed., 
948;   7  A.   B.   R.,  571. 

XVIII. 
SALE  OF  PROPERTY. 

1.  [To  be  at  public  auction.]  All  sales  shall  be  by  public 
auction  unless  ordered  otherwise  by  the  court. 

2.  [Wlien  trustee  autliority  to  selL]  Upon  application 
to  the  court,  and  for  good  cause  shown,  the  trustee  may  be 
authorized  to  sell  any  specified  portion  of  the  bankrupt's 
estate  at  private  sale ;  in  which  case  he  shall  keep  an  accurate 
accoimt  of  each  article  sold,  and  the  price  received  therefors 
and  to  whom  sold ;  which  accoimt  he  shall  file  at  once  with 
the  referee. 

3.  [Sale  of  perishable  property.]  Upon  petition  by  a 
bankrupt,  creditor,  receiver  or  trustee,  setting  forth  that  a 
part  or  the  whole  of  the  bankrupt's  estate  is  perishable, 
the  nature  and  location  of  such  perishable  estate,  and  that 
there  will  be  loss  if  the  same  is  not  sold  immediately,  the 
court,  if  satisfied  of  the  facts  stated  and  that  the  sale  is 
required  in  the  interest  of  the  estate,  may  order  the  same  to. 


270  GENERAL  ORDERS  IN  BANKRUPTCY. 

be  sold,  with  or  without  notice  to  the  creditors,  and  the 
proceeds  to  be  deposited  in  court. 

XIX. 

ACCOUNTS    OF    MARSHAL. 

[Accounts  to  be  under  oath.]  The  marshal  shall  make 
return,  under  oath  of  his  actual  and  necessary  expenses  in 
the  service  of  every  warrant  addressed  to  him,  and  for 
custody  of  property,  and  other  services,  and  other  actual 
and  necessary  expenses  paid  by  him,  with  vouchers  therefor 
whenever  practicable,  and  also  with  a  statement  that  the 
amoimts  charged  by  him  are  just  and  reasonable. 

XX. 

PAPERS  FILED  AFTER  REFERENCE, 

[Filed  either  with  the  referee  or  clerk.]  Proofs  of  claims 
and  other  papers  filed  subsequently  to  the  reference,  ex- 
cept such  as  call  for  action  by  the  judge,  may  be  filed 
either  with  the  referee  or  with  the  clerk. 

See  general  order  II  as  to  filing  of  petition. 

XXI. 
PROOF  OF  DEBTS. 

1.  [Depositions — what  to  show.]  Depositions  to  prove 
claims  against  a  bankrupt's  estate  shall  be  correctly  en- 
titled in  the  court  and  in  the  cause.  When  made  to  prove 
a  debt  due  to  a  partnership,  it  must  appear  on  oath  that  the 
deponent  is  a  member  of  the  partnership ;  when  made  by  an 
agent,  the  reason  the  deposition  is  not  made  by  the  claimant 
in  person  must  be  stated ;  and  when  made  to  prove  a  debt 
due  to  a  corporation,  the  deposition  shall  be  made  by  the 
treasurer,  or,  if  the  corporation  has  no  treasurer  by  the 
ofiicer  whose  duties  most  nearly  correspond  to  those  of 
treasurer.  Depositions  to  proved  debts  existing  in  open 
account  shall  state  when  the  debt  became  or  will  become 
due;  and  if  it  consists  of  items  maturing  at  different  dates 
the  average  due  date  shall  be  stated,  in  default  of  which  it 


GENERAL  ORDERS  IN  BANKRUPTCY.  271 

shall  not  be  necessary  to  compute  interest  upon  it.  All 
such  depositions  shall  contain  an  averment  that  no  note 
has  been  received  for  such  account,  nor  any  judgment 
rendered  thereon.  Proofs  of  debt  received  by  any  trustee 
shall  be  delivered  to  the  referee  to  whom  the  cause  is  re- 
ferred. 

As  to  proof  of  claims  see  Section  67. 

Proof  of  claim  should  state  consideration  and  defective  claims  may 
be  expunged  when  so  defective.  In  re  Scott  (1899),  N.  Dist.  Tex.,  Meek, 
J.;  1  A.  B.  R.,  553;  1  N.  B.  N.,  226. 

Creditors  whose  claims  are  disallowed  should  file  petition  for  review 
of  order  of  referee.  Claims  not  reexamined  after  a  year.  In  re  Chambers, 
Calder  &  Co.,  Dist.  R.  I.,  Littlefield,  R.;  6  A.  B.  R.,  707. 

Proof  of  claim  good  although  acknowledgment  contains  no  venue,  if  it 
was  on  the  form  prescribed  by  the  Supreme  Court.  In  re  Henschel,  (1901) 
C.  C.  A.,  2nd  Cir.,  Wallace,  J.,  109  Fed.,  861;  7  A.  B.  R.,  305. 

This  rtde  refers  only  to  claims  arising  before  the  petition  was  filed, 
not  to  expenses  of  administration — practice  for  creditors  objecting  to 
expenses  of  administration.  In  re  Reliance  Co.  (1900),  E.  Dist.  Penn., 
McPherson,  J.,  100  Fed.,  619;  4  A.  B.  R.,  49. 

Notices  of  special  meetings  to  reexamine  claims  should  be  sent  by 
referee.  In  re  Stoever,  E.  Dist.  Penn.,  McPherson,  J.,  105  Fed.,  355; 
5  A.  B.  R.,  250. 

Bankrupt  may  not  ask  for  examination  of  claims  under  this  clause,  nor 
will  the  trustee  be  required  so  to  do  when  the  resixlt  would  be  to  bar  all 
claims  against  the  estate.  In  re  Lyon  (1901),  S.  Dist.  N.  Y.,  Wise,  R.; 
7  A.  B.  R.,  61. 

Petition  for  review  to  revive  claim  should  be  filed.  Jury  trial  should 
be  allowed  creditor  on  question  of  solvency  when  their  claims  are  at- 
tacked for  preferences.  In  re  Linton  (1902),  E.  Dist.  Penn.,  Hoffman, 
R.;  7  A.  B.  R.,  676. 

2.    [Creditor  may  have  notices  sent  to  his  address.]    Any 

creditor  may  file  with  the  referee  a  request  that  all  notices 
to  which  he  may  be  entitled  shall  be  addressed  to  him  at 
any  place,  to  be  designated  by  the  postoffice  box  or  street 
number,  as  he  may  appoint;  and  thereafter,  and  until 
some  other  designation  shall  be  made  by  such  creditor,  all 
notices  shall  be  so  addressed;  and  in  other  cases  notices 
shall  be  addressed  as  specified  to  the  proof  of  debt. 

As  to  notices  to  creditors  see  Section  58. 


272  GENERAL  ORDERS  IN  BANKRUPTCY. 

3.  [Assigned  claims — notice  to  claimant.]  Claims  which 
have  been  assigned  before  proof  shall  be  supported  by  a 
deposition  of  the  owner  at  the  time  of  the  commencement 
of  proceedings,  setting  forth  the  true  consideration  of  the 
debt  and  that  it  is  entirely  imsecured,  or  if  secured,  the 
security,  as  is  required  in  proving  accrued  claims.  Upon 
the  filing  of  satisfactory  proof  of  the  assignment  of  a  claim 
proved  and  entered  on  the  referee's  docket,  the  referee  shall 
immediately  give  notice  by  mail  to  the  original  claimant  of 
the  filing  of  such  proof  of  assignment ;  and,  if  no  objection  be 
entered  within  ten  days,  or  within  further  time  allowed 
by  the  referee,  he  shall  make  an  order  subrogating  the  as- 
signee to  the  original  claimant.  If  objection  be  made,  he 
shall  proceed  to  hear  and  determine  the  matter. 

4.  [Contingent  claims.]  The  claims  of  persons  contin- 
gently liable  for  the  bankrupt  may  be  proved  in  the  name 
of  the  creditor  when  known  by  the  party  contingently 
liable.  When  the  name  of  the  creditor  is  unknown,  such 
claim  may  be  proved  in  the  name  of  the  party  contingently 
liable;  but  no  dividend  shall  be  paid  upon  such  claim,  ex- 
cept upon  satisfactory  proof  that  it  will  diminish  pro  tanto 
the  original  debt. 

5.  [Acknowledgment  of  letter  of  attorney.]  The  execu- 
tion of  any  letter  of  attorney  to  represent  a  creditor,  or  of 
an  assignment  of  claim  after  proof,  may  be  proved  or  ac- 
knowledged before  a  referee,  or  a  United  States  commis- 
sioner, or  a  notary  public.  When  executed  on  behalf  of  a 
partnership  or  of  a  corporation,  the  person  executing  the 
instrument  shall  make  oath  that  he  is  a  member  of  the 
partnership,  or  a  duly  authorized  officer  of  the  corporation 
on  whose  behalf  he  acts.  When  the  person  executing  is  not 
personally  known  to  the  officer  taking  the  proof  or  acknowl- 
edgment, his  identity  shall  be  established  by  satisfactory 
proof. 


GENERAL  ORDERS  IN  BANKRUPTCY.  273 


Power  of  attorney  to  vote  by  a  partnership  must  be  supported  by  oath 
that  he  is  a  member  of  the  firm.  In  re  Finley  (1900),  S.  Dist.  N.  Y.,' 
Coxe,  J.;  3  A.  B.  R.,  738. 

Wide  discretion  is  left  with  referee  over  allowance  of  claims — ^his 
decisions  on  questions  of  fact  have  great  weight  with  the  covirt.  In  re 
Rider  (1899),  N.  Dist.  N.  Y.,  Cox,  J.,  96  Fed.,  811;  3  A.  B.  R.,  192;  1 
N.  B.  N.,  483. 

Proof  of  claims  of  foreign  creditors  not  within  this  rule.  In  re  Suggen- 
heimer  (1899),  S.  Dist.  N.  Y.,  Brown,  J.;  1  A.  B.  R.,  425;  1  N.  B.  N.,  59 

6.  [Re-examination  of  claims — practice.]  When  the 
trustee  or  any  creditor  shall  desire  the  re-examination  of  any 
claim  filed  against  the  bankrupt's  estate,  he  may  apply 
by  petition  to  the  referee  to  whom  the  case  is  referred  for 
an  order  for  such  re-examination,  and  thereupon  the  referee 
shall  make  an  order  fixing  a  time  for  hearing  the  petition, 
of  which  due  notice  shall  be  given  by  mail  addressed  to  the 
creditor.  At  the  time  appointed  the  referee  shall  take  the 
examination  of  the  creditor,  and  of  any  witnesses  that  may 
be  called  by  either  party,  and  if  it  shall  appear  from  such 
examination  that  the  claim  ought  to  be  expimged  or  dimin- 
ished, the  referee  may  order  accordingly. 


XXII. 

TAKING     OF  TESTIMONY. 

[Examinations — liow  conducted.]  The  examination  of 
witnesses  before  the  referee  may  be  conducted  by  the  party 
in  person  or  by  his  counsel  or  attorney,  and  the  witnesses 
shall  be  subject  to    examination   and  cross-examination, 


274  GENERAL  ORDERS  IN  BANKRUPTCY. 

which  shall  be  had  in  conformity  with  the  mode  now 

adopted  in  courts  of  law.    A  deposition  taken  upon  an 

examination  before  a  referee  shall  be  taken  down  in  writing 

by  him,  or  under  his  direction,  in  the  form  of  narrative, 

imless  he  determines  that  the  examination  shall  be  by 

question  and  answer.     When  completed  it  shall  be  read  over 

to  the  witness  and  signed  by  him  in  the  presence  of  the 

referee.     The  referee  shall  note  upon  the  deposition  any 

question  objected  to,  with  his  decision  thereon;  and  the 

court  shall  have  power  to  deal  with  the  costs  of  incompetent, 

immaterial,  or  irrelevant  depositions,  or  parts  of  them,  as 

may  be  just. 

See  as  to  evidence  Section  21.  Also  Section  39.  As  to  examination 
of  witnesses  see  Section  55. 

Transactions  prior  to  the  passage  of  the  act  if  tending  to  show  fraud 
occtirring  subsequent  may  be  inquired  into.  In  re  Headley,  W.  Dist. 
Mo.,  PhilUps,  J.,  97  Fed.,  765;  5  A.  B.  R..  272;  2  N.  B.  N.,  250. 

XXIII.   - 
ORDERS  OF  REFEREE. 

[What  order  to  recite.]  In  all  orders  made  by  a  referee,  it 
shall  be  recited,  according  as  the  fact  may  be,  that  notice 
was  given  and  the  manner  thereof;  or  that  the  order  was 
made  by  consent;  or  that  no  adverse  interest  was  repre- 
sented at  the  hearing;  or  that  the  order  was  made  after 
hearing  adverse  interests. 

XXIV. 

TRANSMISSION    OF    PROVED     CLAIMS    TO    CLERK. 

[Referee  to  transmit  list  to  the  clerli.]  The  referee  shall 
forthwith  transmit  to  the  clerk  a  list  of  the  claims  proved 
against  an  estate,  with  the  names  and  addresses  of  the  prov- 
ing creditors. 

For  form  of  list  of  claims  see  Form  No.  19. 


GENERAL  ORDERS  IN  BANKRUPTCY.  275 

XXV. 

SPECIAL  MEETINGS  OF  CREDITORS. 

[Court  may  call  when  necessary.]  Whenever,  by  reason  of 
a  vacancy  in  the  office  of  trustee,  or  for  any  other  cause,  it 
becomes  necessary  to  call  a  special  meeting  of  the  creditors 
in  order  to  carry  out  the  purposes  of  the  act,  the  court  may 
call  such  a  meeting,  specifying  in  the  notice  the  purpose  for 
which  it  is  called. 

As  to  meetings  of  creditors  see  Section  55. 

It  is  not  the  proper  practice~to  except  to  referee's  decision — there 
must  be  a  petition  for  review.  In  re  Russell  (1900),N.Dist.Cal.,  DeHaven, 
J.,  105  Fed.,  501;  5  A.  B.  R.,  566. 

Referee's  findings  are  conclusive  on  review  where  no  exceptions  are 
filed  to  the  report.  In  re  Carver  &  Co.  (1902),  E.  Dist.  N.  C,  Pumell. 
J.,  113  Fed.,  113;  7  A.  B.  R.,  539. 

XXVI. 
ACCOUNTS  OF  REFEREE. 

[Referee  to  keep  account  of  expenses.]  Every  referee 
shall  keep  an  accurate  account  of  his  traveling  and  inci- 
dental expenses,  and  of  those  of  any  clerk  or  other  officer 
attending  him  in  the  performance  of  his  duties  in  any  case 
which  may  be  referred  to  him ;  and  shall  make  return  of  the 
same  under  oath  to  the  judge,  with  proper  vouchers  when 
vouchers  can  be  procured,  on  the  first  Tuesday  in  each  month 

Referee's  expenses  may  include  clerk  hire.  In  re  Tebo  (1900) ,  Dist. 
West.  Va..  Jackson,    J.,  101  Fed.,  419;  4  A.  B.  R.,  235. 

XXVII. 

REVIEW  BY  JUDGE. 

[Petition  for  review  to  be  filed  with  the  referee.]  When  a 
bankrupt,  creditor,  trustee,  or  other  person,  shall  desire 
a  review  by  the  judge  of  any  order  made  by  the  referee, 
he  shall  file  with  the  referee  his  petition  therefor,  setting 


276*  GENERAL  ORDERS  IN  BANKRUPTCY. 

out  the  error  complained  of ;  and  the  referee  shall  forthwith 
certify  to  the  judge  the  question  presented,  a  summary 
of  the  evidence  relating  thereto,  and  the  finding  and  order 
of  the  referee  thereon. 

Ruling  of  the  referee  to  which  an  exception  is  desired  to  be  made  to 
the  judge  should  be  followed  by  an  order — petition  for  review  should 
also  be  filed.  In  re  Smith  (1899),  W.  Dist.  Tex.,  Maxey,  J.,  93  Fed., 
791;  2  A.  B.  R.,  190. 

This  rule  must  be  followed  before  a  referee's  decision  can  be  re- 
viewed. In're  Schiller,  W.  Dist.  Va.,  Paul,  J.,  96  Fed.,  400;  2  A.  B.  R.; 
704. 

This  rule  must  be  followed  in  reviewing  referee's  findings.  In  re  Scott, 
E  Dist  N.  C,  Pumell,  J.,  93  Fed.,  418;  3  A.  B.  R.,  625;  2  N.  B.  N.,  440. 

On  appeal  to  court  of  appeals  complaint  of  incomplete  record  not  sus- 
tained, when  shown  that  case  proceeded  from  referee  on  his  certificate 
and  svunmary  of  the  evidence.  Cunningham  v.  Bank  (1900),  101 
Fed.,  977;  C.  C.  A.,  6th  Cir.;  4  A.  B.  R.,  192;  2  N.  B.  N.,  689. 

Petition  for  review  of  proceedings  before  the  referee  for  a  certificate 
by  the  referee  to  the  judge  are  the  only  modes  of  bringing  his  proceedings 
before  the  judge.  No  general  assignment  of  errors  permissible.  In  re 
Kelly  Dry  Goods  Co.  (1900),  E.  Dist.  Wis.,  Seaman,  J.,  102  Fed.,  747; 
4  A.   B.    R.,   528. 

XXVIII. 
REDEMPTION   OF   PROPERTY   AND   COMPOUNDING   OP   CLAIMS. 

[Trustee  or  creditors  may  file  petition  for.]  Whenever  it 
may  be  deemed  for  the  benefit  of  the  estate  of  a  bankrupt 
to  redeem  and  discharge  any  mortgage  or  other  pledge, 
or  deposit  or  lien,  upon  any  property,  real  or  personal,  or 
to  relieve  said  property  from  any  conditional  contract,  and 
to  tender  performance  of  the  conditions  thereof,  or  to  com- 
pound and  settle  any  debts  or  other  claims  due  or  belong- 
ing to  the  estate  of  the  bankrupt,  the  trustee,  or  the  bank- 
rupt, or  any  creditor  who  has  proved  his  debt,  may  file  his 
petition  therefor;  and  thereupon  the  court  shall  appoint 
a  suitable  time  and  place  for  the  hearing  thereof,  notice  of 
which  shall  be  given  as  the  court  shaU  direct,  so  that  all 


GENERAL  ORDERS  IN  BANKRUPTCY.  277 

creditors  and  other  persons  interested  may  appear  and  show 
cause,  if  any  they  have,  why  an  order  should  not  be  passed 
by  the  court  upon  the  petition  authorizing  such  act  on  the 
part  of  the  trustee. 

XXIX. 

PAYMENT    OF   MONEYS    DEPOSITED. 

[Money  drawn  on  check — countersigned  by  judge  or  ref- 
eree.] No  moneys  deposited  as  required  by  the  act  shall 
be  drawn  from  the  depository  imless  by  check  or  warrant, 
signed  by  the  clerk  of  the  court,  or  by  a  trustee,  and  coimter- 
signed  by  the  judge  of  the  court,  or  by  a  referee  designated 
for  that  purpose,  or  by  the  clerk  or  his  assistant  imder  an 
order  made  by  the  judge,  stating  the  date,  the  sum,  and  the 
accoimt  for  which  it  is  drawn ;  and  an  entry  of  the  substance 
of  such  check  or  warrant,  with  the  date  thereof,  the  sum 
drawn  for,  and  the  accoimt  for  which  it  is  drawn,  shall  be 
forthwith  made  in  a  book  kept  for  that  purpose  by  the 
trustee  or  his  clerk;  and  all  checks  and  drafts  shall  be  en- 
tered in  the  order  of  time  in  which  they  are  drawn,  and  shall 
be  numbered  in  the  case  of  each  estate.  A  copy  of  this 
general  order  shall  be  furnished  to  the  depository,  and  also 
the  name  of  any  referee  or  clerk  authorized  to  cotmtersign 
said  checks. 

As  to  deposits  and  depositories  for  money  see  Section  61. 

Referee  must  not  order  payment  of  ftmd  without  authority  from  the 
judge.  In  re  Cobb  (1901),  E.  Dist.  N.  C,  Pumell,  J.,  112  Fed.,  655;  7 
A.  B.  R.,  202. 

XXX. 

IMPRISONED  DEBTOR. 

[Court  may  issue  writ  of  habeas  corpus  for  imprisoned 
debtor.]  If,  at  the  time  of  preferring  his  petition,  the  debtor 
shall  be  imprisoned,  the  court,  upon  application,  may  order 
him  to  be  produced  upon  habeas  corpus,  by  the  jailer  or 


27S  GENERAL  ORDERS  IN  BANKRUPTCY. 

any  officer  in  whose  custody  he  may  be,  before  the  referee, 
for  the  purpose  of  testifying  in  any  matter  relating  to  his 
bankruptcy ;  and,  if  committed  after  the  fiHng  of  his  petition 
upon  process  in  any  civil  action  foimded  upon  a  claim  prov- 
able in  bankruptcy,  the  court  may,  upon  like  application, 
discharge  him  from  such  imprisonment.  If  the  petitioner, 
during  the  pendency  of  the  proceedings  in  bankruptcy,  be 
arrested  or  imprisoned  upon  process  in  any  civil  action, 
the  district  court,  upon  his  application,  may  issue  a  writ 
of  habeas  corpus  to  bring  him  before  the  court  to  ascertain 
whether  such  process  has  been  issued  for  the  collection  of 
any  claim  provable  in  bankruptcy,  and  if  so  provable  he 
shall  be  discharged ;  if  not,  he  shall  be  remanded  to  the  cus- 
tody in  which  he  may  lawfully  be.  Before  granting  the 
order  for  discharge  the  court  shall  cause  notice  to  be  served 
upon  the  creditor  or  his  attorney,  so  as  to  give  him  an 
opportimity  of  appearing  and  being  heard  before  the 
granting  of  the  order. 

XXXI. 

PETITION    FOR   DISCHARGE. 

[What  to  state.]     The  petition  of  a  bankrupt,  for  a  dis- 
charge shall  state  concisely,  in  accordance  with  the  provis- 
ions of  the  act  and  the  orders  of  the  court,  the  proceedings 
in  the  case  and  the  acts  of  the  bankrupt. 

For  forms  of  petitions  for  discharge  see  Form  57. 

XXXII. 

OPPOSITION  TO  DISCHARGE  OR  COMPOSITION. 

[Creditor  must  enter  appearance,  must  file  specifications 
of  grounds.]  A  creditor  opposing  the  application  of  a  bank- 
rupt for  his  discharge,  or  for  the  confirmation  of  a  composi- 
tion, shall  enter  his  appearance  in  opposition  thereto  on  the 


GENERAL  ORDERS  IN  BANKRUPTCV.  27^ 

day  when  the  creditors  are  required  to  show  cause,  and 
shall  file  a  specification  in  writing  of  the  grounds  of  his 
opposition  within  ten  days  thereafter,  unless  the  time  shall 
be  enlarged  by  special  order  of  the  judge. 

See  as  to  discharge  Section  14b. 

Objections  to  discharge  may  be  signed  by  attorneys  at  law  authorized 
to  practice  in  the  United  States  District  Court  without  showing  written 
authorization.  In  re  Gasser  (1900),  C.  C.  A.,  8th  Cir.,  Sanborn,  J. ,104 
Fed.,  537;  5  A.  B.  R.,  32.  Contra  in  re  Glass  (1902),  N.  D.,  Dis.  Tenn., 
Hammond,  J.,  119  Fed.,  501  (excepting  under  special  order  showing  rea- 
sons) . 

Specifications  of  objections  to  discharge  must  be  filed  in  due  season. 
In  re  Albrecht  (1900),  E.  Dist.  Penn.,  McPherson,  J.,  104  Fed.,  974;  5 
A.    B.    R.,    223. 

Objection  to  discharge  must  de  specific,  not  general.  In  re  Hixon 
(1899),  S.  Dist.  la.,  Woolson,  J.,  93  Fed.,  440;  1  A.  B.  R.,  610;  1  N.  B.  N., 
326. 

Specifications  on  objections  to  discharge  must  contain  a  scienter, 
but  need  not  be  with  the  certainty  of  an  indictment.  In  re  Kaiser  (1900) , 
Dist.  Minn.,  Lochren,  J.,  99  Fed.,  689;  3  A.  B.  R.,  767;  2  N.   B.  N.,  123. 

Costs  may  be  awarded  against  creditors  who  file  objections  to  dis- 
charge. In  re  Wolpert  (1899),  N.  Dist.  N.  Y.,  Hotchkiss,  R.;  1  A.  B.  R., 
436;   1   N.   B.   N.,  238. 

Specifications  of  objections  to  discharge  must  be  statements  of  is- 
suable facts,  not  mere  conclusions  of  law.  In  re  Holman,  S.  Dist.  la., 
Woolson,  J.,  92  Fed.,  512;  1  A.  B.  R.,  600;  1  N.  B.  N.,  553. 

Specifications  on  objections  to  discharge  may  in  the  discretion  of  the 
court  be  filed  nunc  pro  tunc.  In  re  Frice  (1899),  S.  Dist.  la.,  Woolson, 
J.,  96  Fed.,  611;  2  A.  B.  R.,  674;  1  N.  B.  N.,  432. 

Specifications  of  objections  to  discharge  must  be  definite  and  certain 
and  allege  statutory  grounds.  In  re  Peacock  (1900),  E.  Dist.  N.  C, 
Pumell,  J.,  101  Fed.,  560;  4  A.  B.  R.,  136;    2  N.  B.  N.,  758. 

For  form  of  specifications  on  objection  see  form  58.  Specifications 
may  be  verified  nunc  pro  tunc.  In  re  Wolfstein  (1899),  N.  Dist.,  N.  Y., 
Brown,  J.;   1   N.   B.   N.,  202. 

Specifications  on  opposition  to  discharge  must  be  clear,  positive  and 
direct.  In  re  McGum  (1900),  Dist.  Nev.,  Hawley,  J.,  102  Fed.,  743;  4 
A.  B.  R.,  459;  2  N.  B.  N.,  877. 

Failure  to  file  supplemental  specifications  with  the  time  limit  will  en- 


280  GENERAL  ORDERS  IN  BANKRUPTCY. 

title  to  dismissal.     In  re  Clothier  (1901),  E.  Dist.  Penn.,  McPherson, 
J.,  108  Fed.,  199;  6  A.  B.  R.,  203. 

Specifications  on  objections  to  discharge  in  nature  of  pleadings.  In 
re  Wetmore,  W.  Dist.  N.  Y.,  Knight,  R.;  6  A.  B.  R.,  703. 

Specifications  on  objections  to  discharge  may  be  made  after  the  ten  days 
for  filing  objections,  provided  they  do  not  allege  new  matter — omitting 
to  allege  the  facts  complained  of  were  done  knowingly  and  fraudulently 
if  not  raised  by  the  bankrupt  on  the  hearing  is  waived  if  hearing  is  had 
on  the  merits.  In  re  Osborne,  C.  C.  A.,  1st  Circt.,  Putnam,  J.;  8  A.  B. 
R.,   165. 

Amendments  liberally  allowed  even  to  introducing  new  grounds  of 
objections  in  the  specifications.  In  re  Glass  (1902),  W.  Dist.  Tenn., 
Hammond,  J.,  119  Fed.,  509. 

XXXIII. 

ARBITRATION. 

[What  application  for  authority  to  shall  state.]  When- 
ever a  trustee  shall  make  application  to  the  court  for  au- 
thority to  submit  a  controversy  arising  in  the  settlement  of 
a  demand  against  a  bankrupt's  estate,  or  for  a  debt  due  to 
it,  to  the  determination  of  arbitrators,  or  for  authority  to 
compound  and  settle  such  controversy  by  agreement  with 
the  other  party,  the  application  shall  clearly  and  distinctly 
set  forth  the  subject-matter  of  the  controversy,  and  the 
reasons  why  the  trustee  thinks  it  proper  and  most  for  the 
interest  of  the  estate  that  the  controversy  should  be  settled 
by  arbitration  or  otherwise. 

XXXIV. 

COSTS  IN  CONTESTED  ADJUDICATIONS. 

[Successful  petitioning  creditor  to  recover  costs — debtor 
to  recover  when.]  In  cases  of  voluntary  bankruptcy,  when 
the  debtor  resists  an  adjudication,  and  the  court,  after 
hearing,  adjudges  the  debtor  a  bankrupt,  the  petitioning 
creditor  shall  recover,  and,  be  paid  out  of  the  estate,  the 
same  costs  that  are  allowed  to  a  party  recovering  in  a  suit 


GENERAL  ORDERS  IN  BANKRUPTCY.  281 

in  equity;  and  if  the  petition  is  dismissed,  the  debtor  shall 

recover  like  costs  against  the  petitioner. 

Attorney  fee  of  bankrupt  not  allowed  when  he  has  opposed  proceedings. 
In  re  Woodard,  E.  Dist.  N.  Carolina,  Purnell,  J.;  2  A.  B.  R.,  692;  1  N. 
B.  N.,  385. 

XXXV. 

COMPENSATION   OF   CLERKS,    REFEREES    AND   TRUSTEES. 

1.  [What  clerk's  fees  to  cover — copies  and  notices.]    The 

fees  allowed  by  the  act  to  clerks  shall  be  in  full  compensa- 
tion for  all  services  performed  by  them  in  regard  to  filing 
petitions  or  other  papers  required  by  the  act  to  be  filed 
with  them,  or  certifying  or  delivering  papers  or  copies  of 
records  to  referees  or  other  officers,  or  in  receiving  or  pay- 
ing out  money;  but  shall  not  include  copies  furnished  to 
other  persons,  or  expenses  necessarily  incurred  in  publish- 
ing or  mailing  notices  or  other  papers. 

As  to  compensation  of  clerks  see  Section  52a.  See  Sec.  72  of  bank- 
ruptcy act. 

2.  [What  referees'  fees  to  cover — expenses.]  The  com- 
pensation of  referees,  prescribed  by  the  act,  shall  be  in  ftdl 
compensation  for  all  services  performed  by  them  under  the 
act,  or  under  these  general  orders,  but  shall  not  include  ex- 
penses necessarily  incurred  by  them  in  publishing  or  mailing 
notices,  in  traveling,  or  in  perpetuating  testimony,  or  other 
expenses  necessarily  incurred  in  the  performance  of  their 
duties  under  the  act  and  allowed  by  special  order  of  the 
judge. 

As  to  referees'  expenses  see  general  order  26;  also  Section  62.  As  to 
compensation  of  referees,  see  Section  40. 

Compensation  not  allowed  referees  for  clerk  hire.  In  re  Carolina  Cop- 
perage  Co.  (1899),  E.  Dist.  N.  C,  PumeU,  J.,  96  Fed.,  950;  3  A.  B.  R., 
154;  1  N.  B.  N.,  534. 

3.  [What  compensation  of  trustees  to  cover — not  ex- 
penses.]   The  compensation  allowed  to  trustees  by  the  act 


2S2  GENERAL  ORDERS  IN  BANKRUPTCY. 

shall  be  in  full  compensation  for  the  services  performed  by 

them ;  but  shall  not  include  expenses  necessarily  incurred  in 

the  performance  of  their  duties  and  allowed  upon  the 

settlement  of  their  accounts. 

As  to  compensation  of  tnxstees,  see  Section  48.  See  as  to  trustee 
compensation  rate  Sec.  72. 

4.    [Fees  in  pauper  eases — how  collected.]    In  any  case 

in  which  the  fees  of  the  clerk,  referee  and  trustee  are  not 

required  by  the  act  to  be  paid  by  a  debtor  before  filing  his 

petition  to  be  adjudged  a  bankrupt,  the  judge,  at  any  time 

during  the  pendency  of  the  proceedings  in  bankruptcy,  may 

order  those  fees,  to  be  paid  out  of  the  estate ;  or  may,  after 

notice  to  the  bankrupt,  and  satisfactory  proof  that  he  then 

has  or  can  obtain  the  money  with  w^hich  to  pay  those  fees, 

order  him  to  pay  them  within  a  time  specified,  and,  if  he 

fails  to  do  so,  may  order  his  petition  to  be  dismissed. 

Petitioner  can  not  pay  his  lawyer  and  then  make  the  affidavit  in  forma 
pauperis.  In  re  Collier  (1899) ,  W.  Dist.  Tenn.,  Hammond,  J.,  93  Fed.,  191 
1  A.  B.  R..  182;  1  N.  B.  N.,  257. 

As  to  filing  petitions  in  forma  pauperis  see  Section  51,  sub.  (2). 

In  pauper  cases  the  costs  of  the  bankrupt  are  not  a  charge  on  his  ex- 
emption— ^he  can  not  be  expected  to  borrow  the  costs.  Sellers  v.  Bell, 
C.  C.  A.,  5th  Cir.,  McCormick,  J.,  94  Fed.,  801;  2  A.  B.  R.,  529. 

XXXVI. 

APPEALS. 

[Appeals  to  Circuit  Court  of  Appeals — equity  practice 
governs.]  Appeals  from  a  cotirt  of  bankruptcy  to  a  circuit 
court  of  appeals,  or  to  the  supreme  court  of  a  Territory, 
shall  be  allowed  by  a  judge  of  the  court  appealed  from  or 
of  the  court  appealed  to,  and  shall  be  regulated,  except  as 
otherwise  provided  in  the  act,  by  the  rules  governing  ap- 
peals in  equity  in  the  courts  of  the  United  States. 


6en£ral  orders  in  bankruptcy.  283 

As  to  appeals  see  Section  25.  As  to  methods  of  perfecting  appeals 
see  supplement  to  Revised  Statutes  of    United    States,    page  902,  903. 

See  also  U.  S.  Eq.  Rules  post. 

2.  [Appeals  to  Supreme  Court  of  U.  S. — thirty  day  limit.] 

Appeals  under  the  act  to  the  Supreme  Court  of  the  United 
States  from  a  circuit  court  of  appeals,  or  from  the  supreme 
court  of  a  Territory,  or  from  the  supreme  court  of  the  District 
of  Coliunbia,  or  from  any  court  of  bankruptcy  whatever, 
shall  be  taken  within  thirty  days  after  the  judgment  or  de- 
cree, and  shall  be  allowed  by  a  judge  of  the  court  appealed 
from,  or  by  a  justice  of  the  Supreme  Coiut  of  the  United 
States. 

3.  [Record  on  appeal  to  Supreme  Court  of  U.S.]    In 

every  case  in  which  either  party  is  entitled  by  the  act  to 
take  an  appeal  to  the  Supreme  Court  of  the  United  States, 
the  court  from  which  the  appeal  lies  shall,  at  or  before  the 
time  of  entering  its  judgment  or  decree,  make  and  file  a 
finding  of  the  facts,  and  its  conclusions  of  law  thereon, 
stated  separately;  and  the  record  transmitted  to  the  Sup- 
preme  Court  of  the  United  States  on  such  an  appeal  shall 
consist  only  of  the  pleadings,  the  judgment  or  decree,  the 
finding  of  facts,  and  the  conclusions,  of  law. 

XXXVII. 

GENERAL   PROVISIONS. 

[Equity  rules  govern  in  equity  cases — law  rules  in  law  eases 
— time  for  process.]  In  proceedings  in  equity,  instituted  for 
the  purpose  of  carrying  into  effect  the  provisions  of  the  act, 
or  for  enforcing  the  rights  and  remedies  given  by  it,  the  rules 
of  equity  practice  established  by  the  Supreme  Coiut  of  the 
United  States  shall  be  followed  as  nearly  as  may  be.  In 
proceedings  at  law,  instituted  for  the  same  ptirpose,  the 
practice  and  procedure  in  cases  at  law  shall  be  followed  as 


284  GENERAL  ORDERS  IN  BANKRUPTCY. 

nearly  as  may  be.  But  the  judge  may,  by  special  order  in 
any  case,  vary  the  time  allowed  for  return  of  process,  for 
appearance  and  pleading,  and  for  taking  testimony  and 
publication,  and  may  otherwise  modify  the  rules  for  the 
preparation  of  any  particular  case  so  as  to  facilitate  a 
speedy  hearing. 

As  to  forms  see  Section  30  and  title  Forms  in  bankruptcy. 

XXXVIII. 

Forms. 
[Official  forms  to  be  used.]    The  several  forms  annexed  to 
these  general  orders  shall  be  observed  and  used,  with  such 
alterations  as  may  be  necessary  to  suit  the  circimistances 
of  any  particular  case. 

As  amended  by  Act  of  1903.   See  4  of  amendment,  page       ,  pott: 


OFFICIAL  FORMS  IN  BANKRUPTCY. 


[N.  B. — Oaths  reqtured  by  the  act,  except  upon  hearings  in  coitrt,  may 
be  administered  by  referees  and  by  officers  authorized  to  administer 
oaths  in  proceedings  before  the  courts  of  the  United  States,  or  vmder 
the  laws  of  the  State  where  the  same  are  to  be  taken.  Bankrupt 
Act  of  1898,  c.  4,  Sec.  20.] 

These  forms  to  be  followed.     Gen.  Ord.  XXXVIII.  Sec,  30. 

[Form  No.  1.] 

DEBTOR'S  PETITION. 

To  the  Honorable , 

Judge  of  the  District  Court  of  the  United  States 

for  the District  of : 

The  petition  of ,  of ,  in  the  county  of  , 


and  district  and  State  of , [state  occupation],  respectfully 

represents: 

That  he  has  had  his  principal  place  of  business  [or  has  resided,  or  has 
had  his  domicil]  for  the  greater  portion  of  six  months  next  immediately 
preceding  the  filing  of  this  petition  at ,  within  said  judicial  dis- 
trict; that  he  owes  debts  which  he  is  iinable  to  pay  in  full;  that  he  is 
willing  to  surrender  all  his  property  for  the  benefit  of  his  creditors  except 
such  as  is  exempt  by  law,  and  desires  to  obtain  the  benefit  of  the  acts 
of  Congress  relating  to  bankruptcy. 

That  the  schedule  hereto  annexed,  marked  A,  and  verified  by  your 
petitioner's  oath,  contains  a  full  and  true  statement  of  all  his  debts,  and 
(so  far  as  it  is  possible  to  ascertain)  the  names  and  places  of  residence 
of  his  creditors,  and  such  further  statements  concerning  said  debts  as 
are  required  by  the  provisions  of  said  acts: 

That  the  schedule  hereto  annexed,  marked  B,  and  verified  by  your 
petitioner's  oath,  contains  an  acctirate  inventory  of  all  his  property, 
both  real  and  personal,  and  such  further  statements  concerning  said 
property  as  are  required  by  the  provisions  of  said  acts: 

Wherefore  your  petitioner  prays  that  he  may  be  adjudged  by  the 
court  to  be  a  bankrupt  within  the  purview  of  said  acts. 


-,  Attorney. 


United  States  of  America,  District  of 
285 


286  OFFICIAL  FORMS  IN  BANKRUPTCY. 

I, ,  the  petitioning  debtor  mentioned  and  described  in 

the  foregoing  petition,  do  hereby  make  solemn  oath  that  the  statements 
contained  therein  are^true  according  to  the  best  of  my  knowledge,  in- 
formation, and  belief. 

,  Petitioner. 

Subscribed  and  sworn  to  before  me  this  day  of  ,  A.  D 

19—. 


(Official  character.) 
Notes, 

Petition  defined  Sec.  1  (20). 

As  to  petitions  see  Sec.  59,  ante,  and  notes. 

Petitions  and  schedules  to  be  printed  or  written  out  plainly  without 
abbreviation  or  interlineation.     Gen.  Ord.  V. 

Addresses  of  creditors  should  state  street  and  number  or  schedules 
will  be  defective.  If  street  and  number  not  given  it  must  be  shown 
that  a  diligent  effort  was  made  to  obtain  them.  Re  Brumelkamp,  (1899) 
Nor.  Dist.  N.  Y.,  Coxe,  J.,  95  Fed.,  814;  2  A.  B.  R.,  318;  1  N.  B.  N.,  360. 

As  to  who  may  become  bankrupts  see  Sec.  4. 

When  petitions  are  filed  against  the  same  person  in  different  districts 
Gen.  Ord.  VI. 

As  to  Residence  of  Petitioner  within  the  District  see  Sec.  2  (1)  ante. 

As  to  bankrupt's  duty  to  file  schedules  see  Sec.  7  (8). 

As  to  verification  of  petition  see  Sec.  18c  and  notes. 


OFFICIAL  FORMS  IN  BANKRUPTCY. 


287 


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SCHEDULE  B.  (6) 

BOOKS,    PAPEBS,    DEEDS,   AND  WSITINGS   RELATING   TO   BANKBtTPTS     B17SINESS  AND  E8TATD. 

The  following  is  a  true  list  of  all  books,  papers,  deeds,  and  writings  relating  to  my  trade, 
business,  dealings,  estate,  and  eflfects,  or  any  part  thereof,  which,  at  the  date  of  this  pe- 
tition, are  in  my  possession  or  under  my  custody  and  control,  or  which  are  in  the  possession 
or  custody  of  any  person  in  trust  for  me,  or  for  my  use,  benefit,  or  advantage;  and  also 
of  all  others  which  have  been  heretofore,  at  any  time,  in  my  possession,  or  under  my 
custody  or  control,  and  which  are  now  held  by  the  parties  whose  names  are  hereinafter 
set  forth,  with  the  reason  for  their  custody  of  the  same. 


Booki. 


Deeds. 


Papers. 


-,  Petitioner. 


Oath  to  Schedule  B. 


United  States  of  America,  District  of ,  ss. 

On  this  day  of ,  A.  D.  19 — ,  before  me  personally  came 

,  the  person  mentioned  in  and  who  was  subscribed  to 

the  foregoing  schedule,  and  who,  being  by  me  first  duly  sworn,  did  de- 
clare the  said  schedule  to  be  a  statement  of  all  his  estate,  both  real  and 
personal,  in  accordance  with  the  acts  of  Congress  relating  to  bankruptcy. 


[Official  character. "l 


Note. 

See  notes  to  schedule  A. 

As  to  title  to  property  see  Sec.  70. 


298 


OFFICIAL  FORMS  IN  BANKRUPTCY. 


I  SUMMARY  OF  DEBTS  AND  ASSETS. 
[From  the  statements  of  the  bankrupt  in  Schedules  A  and  B.] 


Schedule  A.. 


Schedule  A.. 
Schedule  A.. 
Schedule  A.. 

Schedule  A.. 


Schedule  B.. 
Schedule  B.. 


Schedule  B.. 


Schedule  B.. 
Schedule  B.. 
Schedule  B.. 


1  (1)  Taxes  and  debts  due  United  States 

1  (2)  Taxes    due    States,     counties,     districts,    and 
municipalities „ 


1  (3)  Wages 
1(4)  '  - 


1 

2-a 

2-b 

2-c 

2-d 

2-e 

2-f 

I:! 

2-i 

2-k 

2-1 

2-ni 

3-a 

3-b 

3-c 

3-d 

3-« 

4 

5 

6 


Other  debts  preferred  by  law 

Secured  claims » 

Unsecured  claims 

Notes  and  bills  which  ought  to  be  paid  by 

other  parties  thereto 

Accommodation  paper 

Schedule  A,  total 


Real  estate 

Cash  on  hand 

Bills  promissory  notes,  and  securities 

Stock  in  trade _ 

Household  goods,  &c 

Books,  prints,  and  pictures 

Horses,  cows,  and  other  animals.... 

Carriages  and  other  vehicles . 

Farming  stock  and  implements . 

Shipping  and  shares  in  vessels 

Machinery,  tools,  &c 

Patents,  copywrights,  and  trade-marks 

Other  personal  property 

Debts  due  on  open  accounts 

Stocks,  negotiable  bonds,  &c 

Policies  of  insurance 

Unliquidated  claims 

Deposits  of  money  in  banks  and  elsewhere.... 
Property  in  reversion,  remainder,  trust,  &c.. 

Property  claimed  to  be  excepted , 

Books,  deeds,  and  papers 


Schedule  B,  total.. 


OFFICIAL  FORMS  IN  BANKRUPTCY.  299 

[Form  No.  2.] 
Partnership  Petition. 


To  the  Honorable , 

Judge  of  the  District  Court  of  the  United  States 

for  the  District  of : 

The  petition  of respectfully  represents: 

That  your  petitioners  and have  been  partners  under  the 

firm  name  of ,  having  their  principal  place  of  business  at 

,  in  the  county  of ,  and  district  and  State  of ,  for 

the  greater  portion  of  the  six  months  next  immediately  preceding  the 
filing  of  this  petition ;  that  the  said  partners  owe  debts  which  they  are  tm- 
able  to  pay  in  fvtll ;  that  your  petitioners  are  willing  to  surrender  aU  their 
property  for  the  benefit  of  their  creditors,  except  such  as  is  exempt  by 
law,  and  desire  to  obtain  the  benefit  of  the  acts  of  Congress  relating  to 
bankruptcy. 

That  the  schedule  hereto  annexed,  marked  A,  and  verified  by oath 

contains  a  full  and  true  statement  of  all  the  debts  of  said  partners,  and, 
as  far  as  possible,  the  names  and  places  of  residence  of  their  creditors,  and 
such  further  statements  concerning  said  debts  as  are  required  by  the 
provisions  of  said  acts. 

That  the  schedule  hereto  annexed,  marked  B,  verified  by oath  , 

contains  an  accurate  inventory  of  all  the  property,  real  and  personal, 
of  said  partners,  and  such  further  statements  concerning  said  property 
as  are  required  by  the  provisions  of  said  acts. 

And  said further  states  that  the  schedvde  hereto  annexed, 

marked  C,  verified  by  his  oath,  contains  a  full  and  true  statement  of  all 
his  individual  debts,  and,  as  far  as  possible,  the  names  and  places  of 
residence  of  his  creditors,  and  such  further  statements  concerning  said 
debts  as  are  required  by  the  provisions  of  said  acts;  and  that  the  schedule 
hereto  annexed,  marked  D,  verified  by  his  oath,  contains  an  accurate 
inventory  of  all  his  individual  property,  real  and  personal,  and  such  fur- 
ther statements  concerning  said  property  as  are  required  by  the  provisions 
of  said  acts. 

And  said further  states  that  the  schedule  hereto  annexed 

marked  E,  verified  by  his  oath,  contains  a  fuU  and  true  statement  of  aU 
his  individual  debts,  and,  as  far  as  possible,  the  names  and  places  of 
residence  of  his  creditors,  and  such  further  statements  concerning  said 
debts  as  are  required  by  the  provisions  of  said  acts;  and  that  the  schedule 
hereto  annexed,  marked  F,  verified  by  his  oath,  contains  an  accurate 
inventory  of  all  his  individual  property,  real  and  personal,  and  such  fxir- 
ther  statements  concerning  said  property  as  are  required  by  the  provisions 
of  said  acts. 

And  said further  states  that  the  schedule  hereto  an- 


300  OFFICIAL  FORMS  IN  BANKRUPTCY. 

nexed,  marked  G,  verified  by  his  oath,  contains  a  full  and  true  statement 
of  all  his  individual  debts,  and,  as  far  as  possible,  the  names  and  places 
of  residence  of  his  creditors,  and  such  further  statements  concerning  said 
debts  as  are  required  by  the  provisions  of  said  acts;  and  that  the  schedule 
hereto  annexed,  marked  H,  verified  by  his  oath,  contains  an  accurate 
inventory  of  all  his  individual  property,  real  and  personal,  and  such  fur- 
ther statements  concerning  said  property  as  are  required  by  the  provisions 
of  said  acts. 

And  said further  states  that  the  schedule  hereto  an- 
nexed, marked  J,  verified  by  his  oath,  contains  a  full  and  true  statement 
of  all  his  individual  debts,  and,  as  far  as  possible,  the  names  and  places 
of  residence  of  his  creditors,  and  such  further  stateinents  concerning  said 
debts  as  are  required  by  the  provisions  of  said  acts,  and  that  the  schedule 
hereto  annexed,  marked  K,  verified  by  his  oath,  contains  an  accurate 
inventory  of  all  his  individual  property,  real  and  personal,  and  such  fur- 
ther statements  concerning  said  property  as  are  required  by  the  provisions 
of  said  acts. 

Wherefore  your  petitioners  pray  that  said  firm  may  be  adjudged  by  a 
decree  of  the  court  to  be  bankrupts  within  the  purview  of  said  acts. 


Petitioners. 
,  Attorney  . 

,  the  petitioning  debtors  mentioned  and  described  in 

the  foregoing  petition,  do  hereby  make  solemn  oath  that  the  statements 
contained  therein  are  true  according  to  the  best  of  their  knowledge,  in- 
formation, and  belief. 


Petitioners. 

Subscribed  and  sworn  to  before  me  this day  of ,  A.  D. 

19—. 


[Official  character.} 


[Schedules  to  be  annexed  corresponding  with  schedules  under  Form 
No.  1.] 

Notes. 

As  to  partnership  petitions  see  ante  Sec.  5. 

As  to  priority  of  petitions  see  Gen.  Ord.  VII. 

For  proceedings  in  partnership  cases  Gen.  Ord.  VIII. 

For  involuntary  petitions  in  different  districts,  Gen.  Ord.  VI.  As  to 
domicile  and  residence  and  court's  jurisdiction  to  adjudicate  in  bank- 
ruptcy, Sec.  2  (1).     See  notes  to  Form  No.  1,     ante. 


OFFICIAL  FORMS  IN  BANKRUPTCY.  301 

[Form  No.  3.] 

Creditor's  Petition. 

To  the  Honorable ,  judge  of  the  District  Court  of  the 

United  States  for  the District  of : 

The  petition  of ,  of ,  and ,  of , 

and ,  of ,  respectfully  shows: 

That ,  of ,  has  for  the  greater  portion  of  six  months 

next  preceding  the  date  of  filing  this  petition,  had  his  principal  place  of 

business,  [or  resided,  or  had  his  domicil]  at ,  in  the  county  of 

and  State  and  district  aforesaid,  and  owes  debts  to  the  amotint  of  SI, 000. 

That  your  petitioners  are  creditors  of  said  ,  having 

provable  claims  amounting  in  the  aggregate,  in  excess  of  securities  held 
by  them,  to  the  sum  of  $500.  That  the  nature  and  amoxmt  of  your  pe- 
titioners' claims  are  as  follows: 


And  your  petitioners  further  represent  that  said 


solvent,  and  that  within  four  months  next  preceding  the  date  of  this 

petition  the  said committed  an  act  of  bankruptcy,  in  that 

he  did  heretofore,  to  wit,  on  the day  of ■ 

Wherefore  your  petitioners  pray  that  service  of  this  petition,  with  a 

subpoena,  may  be  made  upon ,  as  provided  in  the  acts  of 

Congress  relating  to  bankruptcy,  and  that  he  may  be  adjudged  by  the 
coxirt  to  be  a  bankrupt  within  the  purview  of  said  acts. 


Petitioners. 
Attorney. 


United  States  of  America,  District  of ,  ss: 

, , ,  being  three  of  the  pe- 
titioners above  named,  do  hereby  make  solemn  oath  that  the  statements 
contained  in  the  foregoing  petition,  subscribed  by  them,  are  true. 

Before  me, ,  this day  of ,  19 — . 


(Official   character.) 

[Schedules  to  be  annexed  corresponding  with  schedules  vmder  Form 
No.  1.] 


302  OFFICIAL  FORMS  IN  BANKRUPTCY. 

Notes. 

As  to  creditors  in  involuntary  petitions  see  ante  Sec.  59.  Duty  to 
file  schedules  Gen.  Ord.  XI.  As  to  schedules  in  involuntary  cases,  see 
G^en.  Ord.  IX  and  notes. 

See  notes  to  Form  No.  1. 

As  to  insolvency  and  acts  of  bankruptcy,  see  sec.  3.  As  to  issuance  and 
return  of  the  subpoena,  see  Sec.  18  (a)  and  notes. 

The  schedules  may  be  annexed  to  the  petition  when  it  is  filed,  but 
the  petition  and  schedules  may  be  filed  separately,  the  latter  written  four 
days  after  the  date  of  adjudication,  Gen.  Ord.  XI. 

This  form  must  be  strictly  followed.  The  petition  is  bad  if  it  asks  for 
more  than  to  have  the  insolvent  debtor  declared  bankrupt.  Mather  v. 
Coe,  Powers  &  Co.  (1899),  N.  Dist.  Ohio,  Ricks,  J.,  90  Fed.,  333;  1  A.  B. 
R.,  504;  1  A.  B.  N.,  554. 

Where  rules  of  court  prescribe  printed  form  it  must  bemused.  Mahoney 
V.  Ward  (1900),  E.  Dist.  N.  C,  Pumell,  J.,  100  Fed.,  278;  3  A.  B.  R., 
770;  2.  N.  B.  N.,  538. 

Unless  duplicate  copy  required  by  59c  filed  within  four  months  of  acts 
of  bankruptcy  proceeding  of  no  force  even  if  original  was  filed  in  time, 
/n  re  Stevenson  (1899),  Dist.  Del.,  Bradford,  J.,  94  Fed.,  110;  2  A.  B.  R. 
66;  1   N.   B.   N.,  313. 

Alleging  more  than  found  in  this  petition  is  multifariousness.  Mather 
v.  Coe  (1899),  Nor.  Dist.  O.,  Richs,  J.,  92  Fed.,  333;  1  A.  B.  R.,  504;  1  N. 
B.  N.,  294;  In  re  Ogles  (1899),  W.  Dist.  Tenn.,  Hammond,  J.,  93  Fed., 
426;  1  A.  B.  R.,  671;  1  N.  B.  N.,  326. 

Where  creditor  answers  involuntary  petition  and  alleges  that  defendant 
is  not  insolvent,  the  allegations  of  the  answer  must  be  taken  as  true  if 
the  case  is  submitted  on  pleadings.  In  re  Taylor  (1900),  C.  C.  A.,  7th 
Cir.,  Btmn,  J.,  102  Fed.,  728;  4  A.  B.  R.,  415. 

Form  3  was  clearly  intended  for  a  creditor's  petition  against  a  partner- 
ship, Mather  v.  Coe,  Powers  &  Co.  (1899),  N.  Dist.  Ohio,  Ricks,  J., 
92  Fed.,  333;  1  A.  B.  R.,  504;  1  N.  B,  N.,  554. 


OFFICIAL  FORMS  IN  BANKRUPTCY.  303 


fFORM  No.  4.] 

Order  to  show  Cause  upon  Creditor's  Petition. 
In  the  District  Coixrt  of  the  United  States  for  the District  of 


In  the  matter  of 


In  Bankruptcy. 


Upon  consideration  of  the  petition  of that  • 


be  declared  a  bankrupt,  it  is  ordered  that  the  said do 

appear  at  this  court,  as  a  court  of  bankruptcy,  to  be  holden  at ,  in 

the  district  aforesaid,  on  the  day  of ,  at  —  o'clock  in  the 

noon,  and  show  cause,  if  any  there  be,  why  the  prayer  of  said 

petition  should  not  be  granted;  and 

It  is  further  ordered  that  a  copy  of  said  petition,  together  with  a  writ 

of  subpcEna,  be  served  on  said ,  by  delivering  the  same  to 

him  personally  or  by  leaving  the  same  at  his  last  usual  place  of  abode  in 
said  district,  at  least  five  days  before  the  day  aforesaid. 

Witness  the  Honorable ,  judge  of  the  said  court,  and  the 

seal  thereof,  at ,  in  said  district  on  the day  of ,  A.  D. 

19—. 


SEAL    OP 


I  THE   COURT.  )  Clerk. 

Note. 

As  to  pleadings  and  process  see  ante  Sec.  18  and  notes,  Gen.  Ord.  Ill 
and  XXXVII,  and  Equity  Rules  13-16. 


304  OFFICIAL  FORMS  IN  BANKRUPTCY. 


[Form  No.  5.] 

Subpoena  to  Alleged  Bankrupt. 

United  States  of  America, District  of . 

To ,  in  said  district,  greeting: 

For  certain  causes  offered  before  the  District  Court  of  the  United  States 
of  America  within  and  for  the district  of ,  as  a  court  of  bank- 
ruptcy, we  command  and  strictly  enjoin  you,  laying  all  other  matters 
aside  and  notwithstanding  any  excuse,  that  you  personally  appear  before 

our   said  District  Court  to  be  holden  at ,  in  said  district,  on  the 

day  of ,  A.  D.  19 , to  answer  to  a  petition 

filed  by in  our  said  court,  praying  that  you  may  be  ad- 
judged a  bankrupt;  and  to  do  fvu-ther  and  receive  that  which  our  said 
District  Court  shall  consider  in  this  behalf.  And  this  you  are  in  no  wise 
to  omit,  under  the  pains  and  penalties  of  what  may  befall  thereon. 

Witness  the  Honorable ,  judge  of  said  court,  and  the 

seal  thereof,  at ,  this day  of A.  D.  19 . 


f  Seal  op  the  \  '  Clerk 

\      Court,      j  z,i*r>^. 

Note. 

See  Sec.  18a  and  notes  thereto,  together  with  Gen.  Ord.  XXXVII  and 
Equity  rules  12-21.  relative  to  the  issuance  of,  service  of  and  seal 
on  process. 


.^         -„..^.^t^  ^-_      _._._. 


OFFICIAL  FORMS  IN  BANKRUPTCY. 


305 


[Form  No.  6.] 
Denial  of  Bankruptcy. 
In  the  District  Court  of  the  United  States  for  the  — 


District  of 


In  the  matter  of 


At 


And  now  the  said 


-,  in  said  district,  on  the 


■  In  Bankruptcy. 


day  of 


A.  D.  19- 


appears,  and  denies  that  he  has  com- 
mitted the  act  of  bankruptcy  set  forth  in  said  petition,  or  that  he  is  in- 
solvent, and  avers  that  he  should  not  be  declared  bankrupt  for  any  cause 
in  said  petition  alleged ;  and  this  he  prays  may  be  inquired  of  by  the  court 
[or,  he  demands  that  the  same  may  be  inquired  of  by  a  jury]. 


Subscribed  and  sworn  to  before  me  this 
19—. 


day  of 


-.  A.  D. 


[Official  character.] 

Note. 

As  to  denial  of  bankruptcy  see  Sec.   18b  ante.     Trials  by  jury  See 
Sec.  19. 


306 


OFFICIAL  FORMS  IN  BANKRUPTCY. 


[Form  No  7.] 
Order  for  Jury  Trial. 
In  the  District  Court  of  the  United  States  for  the  - 


District  of  ■ 


In  the  matter  of 


■  In  Bankruptcy. 


At 


-,  in  said  district,  on  the 


day  of 


Upon  the  demand  in  writing  filed  by 


19— 

,  alleged  to  be  a 


bankrupt,  that  the  fact  of  the  commission  by  him  of  an  act  of  bankruptcy 
and  the  fact  of  his  insolvency  may  be  inquired  of  by  a  jury,  it  is  ordered 
that  said  issue  be  submitted  to  a  jury. 


J  Seal  op  the  {. 
J       Cgcrt.      f 


Clerk. 


Note. 

As  to  when  a  jury  trial  may  be  demanded  see  Sec.  19  post  and  notes. 
See  Gen.  Ord.  Ill  as  to  seal  of  court  on  process. 


OFFICIAL  FORMS  IN  BANKRUPTCY.  307 


[Form  No.  8.) 
Specui.  Warrant  to  Marshal. 
In  the  District  Court  of  the  United  States  for  the District  of- 


In  the  matter  of 


■  In  Bankruptcy. 


To  the  marshal  of  said  district  or  to  either  of  his  deputies,  greeting: 

Whereas  a  petition  for  adjudication  of  bankruptcy  was,  on  the day 

of ,  A.    D.    19 — ,   filed   against ,   of   the    Cotmty 

of and  State  of ,  in  said  district,  and  said  petition  is  still 

pending;  and  whereas  it  satisfactorily  appears  that  said  has 

committed  an  act  of  bankruptcy  [or  has  neglected  or  is  neglecting,  or  is 
about  to  so  neglect  his  property  that  it  has  thereby  deteriorated  or  is 
thereby  deteriorating  or  is  about  thereby  to  deteriorate  in  value],  you 
are  therefore  authorized  and  required  to  seize  and  take  possession  of   all 

the  estate,  real  and  personal,  of  said ,  and  of  all  his  deeds, 

books  of  accovmt,  and  papers,  and  to  hold  and  keep  the  same  safely  sub- 
ject to  the  further  order  of  the  court. 

Witness  the  Honorable ,  judge  of  the  said  court,  and 

the  seal  thereof,  at ,  in  said  district,  on  the of ,  A.  D. 

19 . 

1  Seal  or  the  \ 

(  COUBT.         J 


Clerk. 

RETURN  BY  MARSHAL  THEREON. 

By  virtue  of  the  within  warrant,  I  have  taken  possession  of  the  estate 

of  the  within-named ,  and  of  all  his  deeds,  books  of  accotmt, 

and  papers  which  have  come  to  my  knowledge. 


Marshal  [or  Deputy  Marshal.} 


308  OFFICIAL  FORMS  IN  BANKRUPTCY. 

Fees  and  expenaet. 


1.  Service  of  warrant 

2.  Neceasary  travel,  at  the  rate  of  six  cents  a  mile  each  way 


3.  Actual   expenses  in  custody  of  property  and  other  services  as  fol- 


Here  state  the  particulars.} 


Marshal  or  Deputy  Marshal]. 


District  of 


A.  D.  19—. 


Personally  appeared  before  me  the  said 


and  made  oath 


that  the  above  expenses  returned  by  him  have  been  actually  inctirred  and 
paid  by  him,  and  are  just  and  reasonable. 


Referee  in  Bankruptcy. 

Note. 

Sec.  2,  (3) ,  (5) ,  gives  authority  to  bankruptcy  courts  to  appoint  mar- 
shals. As  to  seizure  of  bankrupt's  property  prior  to  adjudication  Sec. 
3e  and  Sec.  69.  See  also  Sec.  18a,  Gen.  Ord.  Ill,  and  Equity  Rule  XV 
as  to  issuance  and  service  of  process. 

Before  the  issuing  of  the  warrant  the  petitioners  must  file  aflfidavits 
showing  that  property  is  deteriorating  in  value  and  file  a  bond  to  in- 
demnify the  bankrupt  for  any  loss  he  may  suffer.  Sec.  69  ante.  See 
also  notes  to  above. 

Gen.  Ord.  XIX  covers  return  of  marshal  under  oath  as  to  his  actual 
and  necessary  expenses.  Oath  may  be  administered  by  persons  specified 
in  Sec  20. 


OFFICIAL  FORMS  IN  BANKRUPTCY.  309 


[Form  No.  9] 

Bond  of  Petitioning  Creditor. 

Know  all  men  by  these  presents;  That  we  , ,  as  principal, 

and ,  as  sureties,  are  held  and  firmly  bound  unto 

,  in  full  and  just  sum  of dollars,  to  be  paid  to  the  said 

,  executors,  administrators,  or  assigns,  to  which  payment, 


well  and  truly  to  be  made,  we  bind  ourselves,  oxxr  heirs,  executors,  and 
administrators,  jointly  and  severally,  by  these  presents. 

Signed  and  sealed  this day  of A.  D.,  19 — . 

The  condition  of  this  obligation  is  such  that  whereas  a  petition  in  bank- 
ruptcy has  been  filed  in  the  district  court  of  the  United  States  for  the 

district  of against  the  said ,  and  the  said has 

applied  to  that  court  for  a  warrant  to  the  marshal  of  said  district  directing 

him  to  seize  and  hold  the  property  of  said ,  subject  to  the 

further  orders  of  said  district  coixrt. 

Now,  therefore,  if  such  a  warrant  shall  issue  for  the  seizure  of  said  prop- 
erty, and  if  the  said shall  indemnify  the  said 

for  such  damages  as  he  shall  sustain  in  the  event  such  seizure  shall  prove 
to  have  been  wrongfluly  obtained,  then  the  above  obligation  to  bejvoid; 
otherwise  to  remain  in  full  force  and  virtue. 

Sealed  and  delivered  in 

presence  of —  [seal.] 

[seal.] 

[seal.] 


Approved  this day  of ,  A.  D.  19 — . 


District  Judge. 

Note. 

See  Sec.  69  as  to  bond  given  on  seizure  of  bankrupts  property  prior  to 
adjudication.  See  also  Sec.  3e  as  to  sureties  on  bonds  see  Sec.  50. 


310  OFFICIAL  FORMS  IN  BANKRUPTCY. 


[Form  No.  10.] 

Bond  to  Marshal. 

Know  all  men  by  these  presents:  That  we, ,  as  principal, 

and ,  as  sureties,  are  held  and  firmly  bound  unto 

,  marshal  of  the  United  States  for  the district  of , 

in  the  full  and  just  sum  of dollars,  to  be  paid  to  the  said 


,  his  executors,  administrators,  or  assigns,  to  which  payment, 

well  and  truly  to  be  made,  we  bind  ourselves,  our  heirs,  executors,  and 
administrators,  jointly  and  severally,  by  these  presents. 

Signed  and  sealed  this day  of A.  D.  19 — . 

The  condition  of  this  obligation  is  such  that  whereas  a  petition  in  bank- 
ruptcy has  been  filed  in  the  district  court  of  the  United  States  for  the 

district  of ,  against  the  said ,  and  the  said 

court  has  issued  a  warrant  to  the  marshal  of  the  United  States  for  said 

district,  directing  him  to  seize  and  hold  property  of  the  said , 

subject  to  the  further  order  of  the  court,  and  the  said  property  has  been 
seized  by  said  marshal  as  directed,  and  the  said  district  court  upon  a 
petition  of  said has  ordered  the  said  property  to  be  re- 
leased to  him. 

Now,  therefore,  if  the  said  property  shall  be  released  accordingly  to 

the  said ,  and  the  said ,  being  adjudged  a 

bankrupt,  shall  turn  over  said  property  or  pay  the  value  thereof  in  money 
to  the  trustee,  then  the  above  obligation  to  be  void;  otherwise  to  remain 
in  full  force  and  virtue. 

Sealed  and  delivered  in  the 

presence  of —  [seal]. 

[seal]. 

[seal.] 

Approved  this day  of ,  A.  D.  19 — . 


District  Judge, 

Note. 

As  to  release  of  seizure  of  the  bankrupt's  property  prior  to  adjudica- 
tion see  Sec.  69  relative  to  the  bond  required  to  be  given  by  him. 


OFFICIAL  FORMS  IN  BANKRUPTCY.  3ll 


[Form  No.  11.] 
Adjudication  that  Debtor  is  not  Bankrupt. 
In  the  District  Court  of  the  United  States  for  the District  of  • 

1 


In  the  matter  of 


In  Bankruptcy. 


At ,  in  said  district,  on day  of ,  A.  D.  19 — ,  before 

the  Honorable ,  judge  of  the district  of . 

This  cause  came  on  to  be  heard  at  ,  in  said  court,  upon  the 

petition  of that be  adjudged  a  bankrupt  within  the  true 

intent  and  meaning  of  the  acts  of  congress  relating  to  bankruptcy,  and 
[Here  state  the  proceedings,  whether  there  was  no  opposition,  or,  if  opposed, 
state  what  proceedings  were  had.] 

And  thereupon,  and  upon  consideration  of  the  proofs  in  said  cause  [and 
the  arguments  of  counsel  thereon,  if  any],  it  was  found  that  the  facts  set 
foi'th  in  said  petition  were  not  proved;  and  it  is  therefore  adjudged  that 

said  was  not  a  bankrupt,  and  that  said  petition  be  dismissed, 

with  costs. 

Witness  the  Honorable ,  judge  of  said  court,  and  the 

seal  thereof,  at ,  in  said  district,  on  the day  of ,  A.  D. 

19—. 


Clerk. 
J  Seal  of  the  j. 

(         C!OURT.         J 

Note. 

For  definition  of  adjudication  see  Sec.   1,  (2). 

As  to  acts  of  bankruptcy  see  Sec.  3;  as  to  who  may  become  bankrupts 
Sec.  4;  as  to  adjudications  in  bankruptcy  Sec.  2  (1),  and  Sec.  18.  See 
Gen.  Ord.  XXXIV  as  to  costs  in  contested  cases. 


312  OFFICIAL  FORMS  IN  BANKRUPTCY. 


[Form  No.  12.] 
Adjudication  op  Bankruptcy. 
In  the  District  Court  of  the  United  States  for  the District  of 


in  the  matter  of 


Bankrupt. 


In  Bankruptcy. 


At  ,  in  said  district,  on  the day  of ,  A.  D.  19 — , 

before  the  Honorable ,  judge  of  said  court  in  bankruptcy, 

the  petition  of that be  adjudged  a  bankrupt, 

within  the  true  intent  and  meaning  of  the  acts  of  Congress  relating  to 
bankruptcy,  having  been  heard  and  duly  considered,  the  said 

is  hereby  declared  and  adjudged  bankrupt  accordingly. 

"^Witness  the  Honorable ,  judge  of  said  court,  and  the 

seal  thereof,  at ,  in_said  district,  on  the day  of ,  A.  D. 

19—. 


Clerk, 


I  Seal  of  the  ) 

1  CiOUBT.         J 

Note. 

See  notes  to  Form  No.  11. 


OFFICIAL  FORMS  IN  BANKRUPTCY. 


313 


[Form  No.  13.] 
Appointment,  Oath,  and  Report  of  Appraisers. 
In  the  District  coiirt  of  the  United  States  for  the district  of  • 


In  the  matter  of 


In  Bankruptcy. 


Bankrupt. 


It  is  ordered  that 

and ,  of 


-,of 


of 


-,  three  disinterested  persons,  be,  and  they 


are  hereby,  appointed  appraisers  to  appraise  the  real  and  personal  prop- 
erty belonging  to  the  estate  of  the  said  bankrupt  set  out  in  the  schedules 
now  on  file  in  this  court,  and  report  their  appraisal  to  the  court,  said 
appraisal  to  be  made  as  soon  as  may  be,  and  the  appraisers  to  be  duly 
sworn. 

Witness  my  hand  this day  of ,  A.  D.  19 — . 


District  of  ■ 


Personally  appeared  the  within  named  • 


Referee  in  Bankruptcy. 
and  severally  made 


oath  that  they  will  fully  and  fairly  appraise  the  aforesaid  real  and  per- 
sonal property  according  to  their  best  skill  and  judgment. 


Subscribed  and  sworn  to  before  me  this 
19—. 


day  of 


-,   A.  D. 


[Official  character.] 

We,  the  undersigned,  having  been  notified  that  we  were  appointed  to 
estimate  and  appraise  the  real  and  personal  property  aforesaid,  have 
attended  to  the  duties  assigned  us,  and  after  a  strict  examination  and 
careful  inquiry,  we  do  estimate  and  appraise  the  same  as  follows: 


314 


OFFICIAL  FORMS  IN  BANKRUPTCY. 


Dollars. 


Cents. 


In  witness  whereof  we  herexmto  set  our  hands,  at ,  this 

day  of ,  A.  D.  19—. 


Note. 
As  to  appointment  of  appraisers  see  Sec.  70b;  as  to  oaths  see  Sec.  20. 


OFFICIAL  FORMS  IN  BANKRUPTCY.  315 


[Form  No.   14.] 
Order  of  Reference. 
In  the  District  Court  of  the  United  States  for  the District  of  ■ 


"1 


In  the  matter  of 


In  Bankruptcy. 


Bankrupt  . 


Whereas ,  of ,  in  the  county  of and  district 

aforesaid,  on  the day  of ,  A.  D.  19 — .  was  duly  adjudged  a 

bankrupt  upon  a  petition  filed  in  this  court  by  [or,  against]  him  on  the 

day  of ,  A.  D.  19 ,  according  to  the  provisions  of  the  acts  of 

Congress  relating  to  bankruptcy. 

It  is  thereupon  ordered,  that  said  matter  be  referred  to , 

one  of  the  referees  in  bankruptcy  of  this  court,  to  take  such  further  pro- 
ceedings therein  as  are  required  by  said  acts ;  and  that  said 

shall  attend  before  said  referee  on  the day  of  at  ,  and 

thenceforth  shall  submit  to  such  orders  as  may  be  made  by  said  referee 
or  by  this  court  relating  to  said bankruptcy. 

Witness  the  Honorable ,  judge  of  the  said  court,  and  the 

seal  thereof,  at ,  in  said  district,  on  the day  of ,  A. 

D.  19—. 


Clerk. 
J  Seai.  op  THB  I 

}         Ck)DRT.          J 

Note. 

As  to  reference  of  cases  after  adjudication  see  Sec.  22,  and  notes.     See 
also  Gen.  Ord.  XII. 

As  to  order  of  reference  in  the  judges  absence  see  Form  15. 


316  OFFICIAL  FORMS  IN  BANKRUPTCY. 


[Form  No.  15] 
Order  of  Reference  in  Judge's  Absence. 
In  the  District  Court  of  the  United  States  for  the District  of 


In  the  matter  of 


In  Bankruptcy. 


Whereas  on  the day  of ,  A.  D.  19 — ,  a  petition  was  filed 

to  have ,  of ,  in  the  cotmty  of and  district 

aforesaid,  adjudged  a  bankrupt  according  to  the  provisions  of  the  acts  of 
Congress  relating  to  bankruptcy ;  and  whereas  the  judge  of  said  court  was 
absent  from  said  district  at  the  time  of  filing  said  petition  [or,  in  case  of 
involuntary  bankruptcy,  on  the  next  day  after  the  last  day  on  which  plead- 
ings might  have  been  filed,  and  none  have  been  filed  by  the  bankrupt 
or  any  of  his  creditors],  it  is  thereupon  ordered  that  said  matter  be  referred 
to ,  one  of  the  referees  in  bankruptcy  of  this  court,  to  con- 
sider said  petition  and  take  such  proceedings  therein  as  are  required  by 

said  acts ;  and  that  the  said shall  attend  before  said  referee 

on  the day  of ,  A.  D.  19 — ,  at . 

Witness  my  hand  and  the  seal  of  the  said  court,  at  ,  in  said 

district,  on  the day  of ,  A.  D.  19 — . 


Clerk. 
I  Seal  or  the  ) 

1  -   COUBT.         ) 

Note. 

As  to  reference  in  the  judge's  absence  see  Sec.  18f,  g.     See  Form  14. 
Use  of  this  form  considered.  In  Re  Munny,  (1899)  N.  Dist.  la.,  Shiras, 

J.,  96  Fed.,  600.    3  A.  B.  R.,  601;  2  N.  B.  N.,  164. 


OFFICIAL  FORMS  IN  BANKRUPTCY.  317 


[Form  No.  16.] 

Referee's  Oath  op  Office. 

I, ,  do  solemnly  swear  that  I  will  administer  justice  with- 
out respect  to  persons,  and  do  equal  right  to  the  poor  and  to  the  rich,  and 
that  I  will  faithfully  and  impartially  discharge  and  perform  all  the  duties 
incumbent  on  me  as  referee  in  bankruptcy,  according  to  the  best  of  my 
abilities  and  understanding,  agreeably  to  the  Constitution  and  laws  of  the 
United  States.     So  help  me  God. 


Subscribed  and  sworn  to  before  me  this day  of ,  A.  D.  19- 


District  Judge. 

Note. 

As  to  oaths  of  office  of  referees  see  Sec.  36.     As  to  Duties   of  Referee 
see  Sees.  33  to  50,  inclusive. 


318  OFFICIAL  FORMS  IN  BANKRUPTCY. 


[Form  No.  17.] 

Bond  of  Referee. 

Know  all  men  by  these  presents:  That  we of 

as  principal,  and of and 


of ,  as  sureties  are   held  and  firmly  bound  to  the 

United  States  of  America  in  the  sum  of dollars,  lawful  money  of 

the  United  States,  to  be  paid  to  the  said  United  States,  for  the  payment 
of  which,  well  and  truly  to  be  made,  we  bind  ourselves,  our  heirs,  ex- 
ecutors, and  administrators,  jointly  and  severally,  by  these  presents. 

Signed  and  sealed  this day  of A.  D.  19 — . 

The  condition  of  this  obligation  is  such  that  whereas  the  said 

,  has  been  on  the day  of ,  A.  D.  19 — ,  appointed  by  the 


Honorable ,  judge  of  the  district  court  of  the  United  States 

for  the district  of ,  a  referee  in   bankruptcy,  in  and  for  the 

county  of ,  in  said  district,  under  the  acts  of  Congress  relating  to 

bankruptcy. 

Now,  therefore,  if  the  said shall  well  and  faithfully 

discharge  and  perform  all  the  duties  pertaining  to  the  said  office  of  referee 
in  bankruptcy,  then  this  obUgation  to  be  void;  otherwise  to  remain  in 
full  force  and  virtue. 

Signed  and  sealed 
in  the  presence  of 

,[l.  s.] 

.[L.S.] 

.[L.S.] 

Approved  this day  of ,  A.  D.  19 — . 


District  Judge. 

Note. 
As  to  bonds  of  referees  and  trustees  see  Sec.  50. 


OFFICIAL  FORMS  IN  BANKRUPTCY.  319 


|F0RM  No.  18.] 

Notice  op  First  Meeting  op  Creditors. 

In  the  District  Court  of  the  United  States  for  the District  of  • 

In  Bankruptcy. 


In  the  matter  of 


>•  In|Bankruptcy. 


Bankrupt. 


To  the  creditors  of ,  of ,  in  the  county  of ',  and 

district  aforesaid,  a  bankrupt. 

Notice  is  hereby  given  that  on  the day  of ,  A.  D.  19 — ,  the 

said was  duly  adjudicated  bankrupt;  and  that  the  first 

meeting  of  his  creditors  will  be  held  at in ,  on  the day 

of ,  A.  D.  19 — ,  at o'clock  in  the noon,  at  which  time 

the  said  creditors  may  attend,  prove  their  claims,  appoint  a  trustee,  ex- 
amine the  bankrupt,  and  transact  such  other  business  as  may  properly 
come  before  said  meeting. 


Referee  in  Bankruptcy. 
-,19-. 


Note. 

As  to  meetings  of  creditors  see  Sec.  58  and  Gen.  Ord.  XXI (a).  As  to 
proof  and  allowance  of  claims  see  Sec.  55,  57.  As  to  appointment  of 
trustees  see  Sec.  2  (17)  44,  and  general  Ord.  XIII.  As  to  examinations 
of  bankrupts  see  Sec.  7a  (1,  9). 


320 


OFFICIAL  FORMS  IN  BANKRUPTCY. 


[Form  No.  19.] 
Lists  op  Debts  Proved  at  First  Meeting. 
In  the  District  Court  of  the  United  States  for  the District  of  ■ 


In  the  matter  of 


Mn  Bankruptcy. 


Bankrupt. 


J 


At 
fore  - 


-.  A.  D.  19—,  be- 


— ,  in  said  district,  on  the day  of  — 

,  referee  in  bankruptcy. 

The  following  is  a  list  of  creditors  who  have  this  day  proved  their  debts: 


Names  of  creditors. 


Residenc3. 


Debts,  proved. 


Dolls.      Cts. 


Referee  in  Bankruptcy. 

Note. 

Referee  to  keep  record  of  all  proceedings  in  each  case  before  him,  see 
Sec.  42.  Referee's  duty  to  transmit  list  of  proved  claims  to  Clerk. 
Gen.  Ord.  XXIV. 


OFFICIAL  FORMS  IN  BANKRUPTCY.  321 

[Form  No.  20.] 

General  letter  of  attorney  in  Fact  when  Creditor  is  not  Repre- 
sented BY  Attorney  at  Law. 

In  the  District  Court  of  the  United  States  for  the District  of 


In  the  matter  of 


>-In  Bankruptcy. 


Bankrupt. 


To 


I, ,  of ,  in  the  county  of and  State  of 


do  hereby  authorize  you,  or  any  one  of  you,  to  attend  the  meeting  or 
meetings  of  creditors  of  the  bankrupt  aforesaid  at  a  comt  of  bankruptcy, 
wherever  advertised  or  directed  to  be  holden,  on  the  day  and  at  the  hoiu* 
appointed  and  notified  by  said  court  in  said  matter,  or  at  such  other  place 
and  time  as  may  be  appointed  by  the  court  for  holding  such  meeting  or 
meetings,  or  at  which  such  meeting  or  meetings,  or  any  adjournment  or 
adjournments  thereof  may  be  held,  and  then  and  there  from  time  to 
time,  and  as  often  as  there  may  be  occasion,  for  me  and  in  my  name  to 
vote  for  or  against  any  proposal  or  resolution  that  may  be  then  sub- 
mitted under  the  acts  of  Congress  relating  to  bankruptcy;  and  in  the 
choice  of  trustee  or  trustees  of  the  estate  of  the  said  bankrupt,  and  for 
me  to  assent  to  such  appointment  of  trutsee;  and  with  like  powers  to 
attend  and  vote  at  any  other  meeting  or  meetings  of  creditors,  or  sitting 
or  sittings  of  the  court,  which  may  be  held  therein  for  any  of  the  purposes 
aforesaid;  also  to  accept  any  composition  proposed  by  said  bankrupt  in 
satisfaction  of  his  debts,  and  to  receive  payment  of  dividends  and  Of 
money  due  me  under  any  composition,  and  for  any  other  purpose  in  my 
interest  whatsoever,  with  full  power  of  substitution. 

In  witness  whereof  I  have  hereunto  signed  my  name  and  aflixed  my 
seal  the day  of ,  A.  D.  19—. 

.[L.S.] 

Signed,  sealed,  and  delivered  in  the  presence  of  — 


Acknowledged  before  me  this day  of ,  A.  D.  19- 


[Ofpcial  character.] 
Note. 

As  to  definition  of  "creditor"  see  Sec.  1  (19).     As  to  who  may  conduct 
proceedings  Gen.  Ord.  IV. 


322  OFFICIAL  FORMS  IN  BANKRUPTCY. 

For  execution  of  Letters  of  Attorney  to  represent  creditors  see  Gen. 
Ord.  XXI  (5). 
As  to  persons  who  may  take  acknowledgments  see  Sec.  20  and  notes. 


[Form  No.  21.] 
Special  Letter  of  Attorney  in  Fact. 


In  the  matter  of 


>In  Bankruptcy. 


Bankrupt. 


To 


I  hereby  authorize  you,  or  any  one  of  you,  to  attend  the  meeting  of  cred- 
itors in  this  matter,  advertised  or  directed  to  be  holden  at ,  on  the 

day  of ,  before ,  or  any  adjournment  thereof,  and 

then  and  there for and  in name  to  vote   for  or 

against  any  proposal  or  resolution  that  may  be  lawfully  made  or  passed 
at  such  meeting  or  adjourned  meeting,  and  in  the  choice  of  trustee  or 
trustees  of  the  estate  of  the  said  bankrupt. 

.      [L.S.] 

In  witness  whereof  I  have  hereunto  signed  my  name  and  affixed  my 

seal  the day  of ,  A.  D.  19 — . 

Signed,  sealed,  and  delivered  in  presence  of — 


Acknowledged  before  me  this day  of ,  A.  D.  19 — . 


(Official  character.) 
See  notes  to  Form  20. 


OFFICIAL  FORMS  IN  BANKRUPTCY. 


323 


[Form  No.  22] 
Appointment  of  Trustee  by  Creditors. 
In  the  District  Court  of  the  United  States  for  the District  of 


In  the  matter  of 


Bankrupt. 


>'In  Bankruptcy. 


At 
fore  - 


-,  in  said  district,  on  the 


day  of 


-,  A.  D.  19—,  be- 


-,  referee  in  bankruptcy. 


This  being  the  day  appointed  by  the  court  for  the  first  meeting  of 
creditors  in  the  above  bankruptcy,  and  of  which  due  notice  has  been  given 
in  the  [here  insert  the  names  of  the  newspapers  in  which  notice  was  pub- 
lished], we,  whose  names  are  hereunder  written,  being  the  majority  in  nimi- 
ber  and  in  amoimt  of  claims  of  the  creditors  of  the  said  bankrupt,  whose 
claims  have  been  allowed,  and  who  are  present  at  this  meeting,  do  hereby 

appoint  — ,  of ,  in  the  cotmty  of and  State  of 

,  to  be  the  trustee —  of  the  said  bankrupt's  estate  and  effects. 


Signatiires  of  creditors. 

Residences  of  the  same. 

Amount  of  debt. 

Dolls. 

Ctfl. 

Ordered  that  the  above  appointment  of  trustee —  be,  and  the  same  is 
hereby  approved. 


Referee  in  Bankruptcy. 

Notes. 

Definition  of  trustee  Sec.  1  (26). 

As  to  appointment  of  trustees  see  Sec.  2  (17),  44,  Gen.  Ord.  XIII,  XIV, 
XV.  As  to  their  qualifications  see  Sec.  44.  As  to  meetings  of  creditors 
see  Sec.  55.  As  to  voters  at  creditors'  meetings  see  Sec.  56.  As  to  notices 
to  which  creditors  entitled  see  Sec.  68,  Gen.  Ord.  XXI  (2) . 


324  OFFICIAL  FORMS  IN  BANKRUPTCY. 


[Form  No.  23.] 
Appointment  op  Trustee  by  Referee. 
In  the  District  Cotirt  of  the  United  States  for  the District  of 


In  the  matter  of 


Bankrupt 


In  Bankruptcy. 


At ,  in  said  district,  on  the day  of ,  A.[D.  19 — ,|be- 

fore ,  referee  in  bankruptcy. 

This  being  the  day  appointed  by  the  coxirt  for  the  first  meeting  of 
creditors  under  the  said  bankruptcy,  and  of  which  due  notice  has  been 
given  in  the  [here  insert  the  names  of  the  newspapers  in  which  notice  was  pub- 
lished] I,  the  imdersigned  referee  of  the  said  court  in  bankruptcy,  sat  at 
the  time  and  place  above  mentioned,  pursuant  to  such  notice,  to  take  the 
proof  of  debts  and  for  the  choice  of  trustee  imder  the  said  bankruptcy; 
and  I  do  hereby  cretify  that  the  creditors  whose  claims  had  been  allowed 
and  were  present,  or  duly  represented,  failed  to  make  choice  of  a  trustee 

of  said  bankrupt's  estate,  and  therefore  I  do  hereby  appoint 

of ,  in  the  coimty  of and  State  of ,  as  trustee  of  the 

same. 


Referee  in  Bankruptcy. 

Notes. 

See  notes  to  Form  22. 
See  also  Form  24. 


OFFICIAL  FORMS  IN  BANKRUPTCY.  325 


[Form  No.  24.] 
Notice  to  Trustee  op  His  Appointment. 
In  the  District  Court  of  the  United  States  for  the District  of  ■ 


In   the  matter  of 


■  In  Bankruptcy. 


Bankrupt. 


To ,  of ,  in  the  county  of ,  and  district  afore- 
said: 

I  hereby  notify  you  that  you  were  duly  appointed  trustee  [or  one  of  the 
trustees]  of  the  estate  of  the  above  named  bankrupt  at  the  first  meeting 

of  the  creditors,  on  the day  of ,  A,  D.  19 — ,  and  I  have  app- 

proved  said  appointment.  The  penal  sum  of  yotir  bond  as  such  trustee 
has  been  fixed  at dollars.  You  are  required  to  notify  me  forth- 
with of  your  acceptance  or  rejection  of  the  trust. 

Dated  at the day  of ,  A.  D.  19—. 


Referee  in  Bankruptcy. 

Note. 

Referee's  duty  to  notify  trustee  of  his  appointment  Gren.  Ord.  XVI. 
As  to  bond  of  trustee  Sec.  50b  and  Form  25. 


326  OFFICIAL  FORMS  IN  BANKRUPTCY. 


[Form  No.  25.] 
Bond  op  Trustee. 

Know  all  men  by  these  presents;  That  we, ,  of ,  as 

principal,  and ,  of ,  and ,  of ,  as 

sureties,  are  held  and  firmly  bound  unto  the  United  States  of  America 

in  the  sum  of dollars,  in  lawful  money  of  the  United  States,  to  be 

paid  to  the  said  United  States,  for  which  payment,  well  and  truly  to  be 
made,  we  bind  ourselves  and  our  heirs,  executors  and  administrators, 
jointly  and  severally,  by  these  presents. 

Signed  and  sealed  this day  of A.  D.  19 — . 

The  condition  of  this  obligation  is  such,  that  whereas  the  above-named 

was,  on  the day  of ,  A.  D.  19 ,  appointed 

trustee  in  the  case  pending  in  bankruptcy  in  said  court,  wherein 


is  the  bankrupt,  and  he,  the  said ,  has  accepted  said 

trust  with  all  the  duties  and  obligations  pertaining  thereunto: 

Now,  therefore,  if  the  said ,  trustee  as  aforesaid,  shall 

obey  such  orders  as  said  court  may  make  in  relation  to  said  trust,  and 
shall  faithfully  and  truly  accoimt  for  all  the  moneys,  assets,  and  effects 
of  the  estate  of  said  bankrupt  which  shall  come  into  his  hands  and  pos- 
session, and  shall  in  all  respects  faithfully  perform  all  his  official  duties  as 
said  trustee,  then  this  obligation  to  be  void;  otherwise,  to  remain  in  full 
force  and  virtue. 

Signed  and  sealed  in 

presence  of — 

,  [seal.] 

,  [seal.] 

,  [seal.] 

Note. 
See  Sec.  50b  and  Form  26. 


OFFICIAL  FORMS  IN  BANKRUPTCY.  327 

[Form  No.  26.] 
Order  Approving  Trustee's  Bond. 

At  a  court  of  bankruptcy,  held  in  and  for  the District  of , 

at , ,  this day  of ,  19 — . 

Before ,  referee  in  bankruptcy,  in  the  District  Court  of 

the  United  States  for  the District  of . 


In  the  matter  of 


^In  Bankruptcy. 


Bankrupt. 


It  appearing  to  the  Court ,  of ,  and  in  said  dis- 
trict, has  been  duly  appointed  trustee  of  the  estate  of  the  above-named 
bankrupt,  and  has  given  a  bond  with  sureties  for  the  faithful  perform- 
ance of  his  ofl&cial    duties,  in  the  amount  fixed  by  the  creditors  [or  by 

order  of  the  court],  to  wit,  in  the  sum  of dollars,  it  is  ordered  that 

the  said  bond  be,  and  the  same  is  hereby  approved. 


Referee  in  Bankruptcy. 
Note. 
As  to  trustee's  bond  see  Sec.  50b  and  Form  25. 


[Form  No.  27.] 
Order  that  no  Trustee  be  Appointed. 
In  the  District  Court  of  the  United  States  for  the District  of- 


In  the  matter  of 


/■In  Bankruptcy, 


Bankrupt. 


It  appearing  that  the  schedule  of  the  bankrupt  discloses  no  assets,  and 
that  no  creditor  has  appeared  at  the  first  meeting,  and  that  the  appoint- 
ment of  a  trustee  of  the  bankrupt's  estate  is  not  now  desirable,  it  is  hereby 
ordered  that,  until  further  order  of  the  court,  no  trustee  be  appointed  and 
no  other  meeting  of  the  creditors  be  called. 

Referee  in  Bankruptcy. 
Note. 

No  trustee  cases  Gen.  Ord.  XV. 


328  OFFICIAL  FORMS  IN  BANKRUPTCY. 

[Form  No.  28] 
Order  for  Examination  op  Bankrupt. 
In  the  District  Court  of  the  United  States  for  the District  of 


In  the  matter  of 


yin  Bankruptcy. 


Bankrupt. 


At ,  on  the day  of ,  A.  D.  19—. 

Upon  the  application  of ,  trustee  of  said  bankrupt,  it  is 

ordered  that  said  bankrupt,  attend  before ,  one  of  the 

referees  in  bankruptcy  of  this  court,  at on  the day  of , 

at  —  o'clock  in  the noon,  to  submit  to  examination  under  the  acts 

of  Congress  relating  to  bankruptcy,  and  that  a  copy  of  this  order  be 

delivered  to  him,  the  said  bankrupt,, forthwith. 

,  Referee  in  Bankruptcy. 

Notes. 

Duty  of  bankrupt  to  attend  meetings  of  creditors  and  submit  to  ex- 
amination Sec.  7a  (1,  9).  Duties  to  appear  in  covu-t  as  witness  Sec.  21a: 
Gen.  Ord.  XII  (1). 


[Form  No.  29] 
Examination  op  Bankrupt  or  Witness. 
In  the  District  Court  of  the  United  States  for  the District  of  • 

"s 


In  the  matter  of 


>-In  Bankruptcy. 


Bankrupt. 


At ,  in  said  district,  on  the day  of ,  A.  D.  19 — ,  be- 
fore   ,  one  of  the  referees  in  bankruptcy  of  said  court. 

,  of ,  in  the  county  of ,and  State  of , 

being  duly  sworn  and  examined  at  the  time  and  place  above  mentioned, 

upon  his  oath  says.     [Here  insert  substance  of  examination  of  party.] 

,  Referee  in  Bankruptcy. 

Notes. 

Examination  and  testimony  of  bankrupts,  Sec.  7a  (1,  9),  21,  Gen.  Ord, 
XXII  and  notes. 

For  contempts  before  referees.  Sec.  41.     See  also  Forms  28,  30l 


OFFICIAL  FORMS  IN  BANKRUPTCY. 


329 


[Form  No.  30.] 
Summons  to  Witness. 


To 


-.of 


-,  in  the  county  of 


-,  and  State 


Whereas 

of  ,  has  been  duly  adjudged  bankrupt,  and  the  proceeding  in 

bankruptcy  is  pending  in  the  District  Coxirt  of  the  United  States  for  the 
District  of , 

These  are  to  require  you,  to  whom  this  summons  is  directed,  personally 

to  be  and  appear  before ,  one  of  the  referees  in  bankruptcy 

of  the  said  court,  at ,  on  the day  of ,  at  —  o'clock  in 

the noon,  then  and  there  to  be  examined  in  relation  to  said  bank- 
ruptcy. 

Witness  the  Honorable  — 
at ,  this day  of 


Judge  of  said  court  and  the  seal  thereof 
-,  A.  D.  19—. 

,  Clerk. 


Return  of  Summons  to  Witness. 
In  the  District  Court  of  the  United  States  for  the District  of 


In  the  matter  of 


Bankrupt  . 


>  In  Bankruptcy. 


On  this day  of ,  A.  D.  19 — ,  before  me  came 

,  in  the  county  of and  State  of ,  and  makes  oath, 

and  says  that  he  did,  on ,  the day  of ,  A.  D.  19 — , 


of 


-,  of 


-,  in    the  county  of 


and 


personally  serve 

State  of ,  with  a  true  copy  of  the  summons  hereto  annexed,  by 

delivering  the  same  to  him;  and  he  further  makes  oath,  and  says  that  he 
is  not  interested  in  the  proceeding  in  bankruptcy  named  in  said  summons. 


Subscribed  and  sworn  to  before  me  this day  of ,  A.  D.  19- 


NOTES. 

Orders  to  require  attendance  of  witnesses,  Sec.  21;  test  and  process 
Gen.  Ord.  III.     Oaths,  Sec.  20. 


330  OFFICIAL  FORMS  IN  BANKRUPTCY. 


[Form  No.  31.] 
Proof  op  Unsecured  Debt. 
In  the  District  Court  of  the  United  States  for  the District  of 

— 1 


In  the  matter  of 


Bankrupt 


In  Bankruptcy. 


At ,  in  said  district  of ,  on  the day  of ,  A.  D. 

19 — ,  came ,of ,  in  the  county  of ,  in  said 

district  of ,  and  made  oath,  and  says  that ,  the  person 

by  [or  against]  whom  a  petition  for  adjudication  of  bankruptcy  has  been 
filed,  was  at  and  before  the  filing  of  said  petition,  and  still  is,  justly   and 

truly  indebted  to  said  deponent  in  the  sum  of dollars;  that    the 

consideration  of  said  debt  is  as  follows: 


that  no  part  of  said  debt  has  been  paid  [except- 


that  there  are  no  set-offs  or  counterclaims  to  the  same  [except- 


]; 

and  that  deponent  has  not,  nor  has  any  person  by  his  order,  or  to  his 
knowledge  or  belief,  for  his  use,  had  or  received  any  manner  of  security 
for  said  debt  whatever. 


Creditor. 
Subscribed  and  sworn  to  before  me  this day  of ,  A.  D.  19 — . 


[Official  character.] 
Notes. 

Proof  and  allowance  of  claims  Sec.  57,  Gen.  Ord.  XXI  (1). 

If  note  given  it  should  be  filed  with  proof,  Sec.  57b.  If  it  is  desired  to 
compute  interest  on  the  claim,  then  a  further  allegation  should  be  made 
setting  out  the  time  when  debt  became  due,  Gen.  Ord.  XXI  (1). 


OFFICIAL  FORMS  IN  BANKRUPTCY.  331 


[Form  No.  32.] 
Proof  op  Secured  Debt. 
In  the  District  Court  of  the  United  States  for  the District  of  • 


^ 


In  the  matter  of 


Bankrupt. 


►  In  Bankruptcy. 


At ,  in  said  district  of ,  on  the day  of ,  A.  D. 

19 — ,  came ,  of ,  in  the  county  of ,  in  said 

district  of ,  and  made  oath,  and  says  that ,  the  person 

by  [or  against]  whom  a  petition  for  adjudication  of  bankruptcy  has  been 
filed,  was  at  and  before  the  filing  of  said  petition,  and  still  is,  justly  and 

truly  indebted  to  said  deponent,  in  the  sum   of dollars;  that  the 

consideration  of  said  debt  is  as  follows -; 

that  no  part  of  said  debt  has  been  paid  [except ]; 

that  there  are  no  set-offs  or  counterclaims  to  the  same  [except ]; 

and  that  the  only  securities  held  by  this  deponent  for  said  debt  are  the 
following : 


Creditor. 
Subscribed  and  sworn  to  before  me  this day  of A.  D.  19 — . 


[Official  character.] 

Notes. 

As  to  secured  debts  see  Sec.  57  and  Gen.  Ord.  XXI.     See  notes  to  Form 
No.  31. 


332  OFFICIAL  FORMS  IN  BANKRUPTCY. 


[Form  No.  33.] 
Proof  of  Debt  Due  Corporation. 
In  the  District  Court  of  the  United  States  for  the District  of 


In  the  matter  of 


Bankrupt. 


>-In   Bankruptcy. 


At ,  in  said  district  of ,  on  the day  of ,  A.  D. 

19 — ,  came ,  of ,  in  the  county  of and  State 

of ,  and  made  oath  and  says  that  he  is of  the ,  cor- 
poration incorporated  by  and  under  the  laws  of  the  State  of ,  and 

carrying  on  business  at  ,  in  the  cotmty  of and  State  of 

,  and  that  he  is  duly  authorized  to  make  this  proof,  and  says  that 

the  said ,  the  person  by  [or  against]  whom  a  petitioner  for 

adjudication  of  bankruptcy  has  been  filed,  was  at  and  before  the  filing 
of  the  said  petition,  and  still  is  justly  and  truly  indebted  to  said  corpora- 
tion in  the  sum  of dollars ;  that  the  consideration  of  said  debt  is  as 

follows:  — — — — 


that  no  part  of  said  debt  has  been  paid  [except- 


claims  to  the  same  [except- 


-] ;  that  there  are  no  set-oflfs  or  counter 
-];  and  that  said  corporation  has  not,  nor  has 


any  person  by  its  order,  or  to  the  knowledge  or  belief  of  said  deponent, 
for  its  use,  had  or  received  any  manner  of  security  for  said  debt  whatever. 

■  of  said  corporation. 


Subscribed  and  sworn  to  before  me  this day  of ,  A.  D.  19 — . 


[Offictal  character.] 
Notes. 

See  notes  to  Forms  31,  32. 

As  to  proofs  of  claim  by  corporation,  Gen.  Ord.  XXI(l). 

As  to  definition  of  corporation,  Sec.  1(b)  and  notes. 


OFFICIAL  FORMS  IN  BANKRUPTCY.  333 


[Form  No.  34.1 
Proof  of  Debt  by  Partnership. 
In  the  District  Court  of  the  United  States  for  the District  of  ■ 


In  the  matter  of 


Vln  Bankruptcy. 


Bankrupt. 


At ,  in  said  district  of ,  on  the day  of ,  A.  D 

19 — ,  came ,  of ,  in  the  county  of ,  in  sai^ 

district  of ,    and  made  oath  and  says  that  he  is  one  of  the  firm  of 

,  consisting  of  himself  and ,  of ,  in 

the  county  of and  State  of ;  that  the  said ,  the 

person  by  [or  against]  whom  a  petition  for  adjudication  of  bankruptcy  has 
been  filed,  was  at  and  before  the  filing  of  said  petition,  and  still  is,  justly 
and  truly  indebted  to  this  deponent's  said  firm  in  the  sum  of dol- 
lars; that  the  consideration  of  said  debt  is  as  follows: 

that  no  part  of  said  debt  has  been  paid  [except ]; 

that  there  are  no  set-offs  or  cotmterclaims  to  the  same  [except ]; 

and  this  deponent  has  not,  nor  has  his  said  firm,  nor  any  person  by  their 
order,  or  to  this  deponent's  knowledge  or  belief,  for  their  use,  had  or  re- 
ceived any  manner  of  security  for  said  debt  whatever. 


Creditor. 
Subscribed  and  sworn  to  before  me  this day  of ,  A.  D.  19 — . 


[Official  character.] 
Notes. 
See  notes  to  forms  31,  32,  33.    See  Gen.  Ord.  XXI. 


334  OFFICIAL  FORMS  IN  BANKRUPTCY. 


'  fFoRM  No.  35.1 

Proof  of  Debt  by  Agent  or  Attorney. 
In  the  District  Court  of  the  United  States  for  the District  of 


In  the  matter  of 


>  In  Bankruptcy. 


Bankrupt. 


At in  said  district  of on  the day  of ,  A.  D. 

19 — ,  came ,  of ,  in  the  coimty  of ,  and  State 

of  ,  attorney  [or  authorized  agent]  of  ,  in  the  county  of 

,  and  State  of ,  and  made  oath  and  says  that , 

the  person  by  [or  against]  whom  a  petition  for  adjudication  of  bankruptcy 
has  been  filed,  was  at  and  before  the  filing  of  said  petition,  and  still  is, 

justly  and  truly  indebted  to  the  said ,  in  the  sum  of 

dollars;  that  the  consideration  of  said  debt  is  as  follows: 


that  no  part  of  said  debt  has  been  paid  [except 

]: 

and  that  this  deponent  has  not,  nor  has  any  person  by  his  order,  or  to  this 
deponent's  knowledge  or  belief,  for  his  use  had  or  received  any  manner  of 
sectirity  for  said  debt  whatever.  And  this  deponent  further  says,  that 
this  deposition  can  not  be  made  by  the  claimant  in  person  because 

and  that  he  is  duly  authorized  by  his  principal  to  make  this  affidavit, 
and  that  it  is  within  his  knowledge  that  the  aforesaid  debt  was  incurred 
as  and  for  the  consideration  above  stated,  and  that  such  debt,  to  the  best 
of  his  knowledge  and  belief,  still  remains  unpaid  and  unsatisfied. 


Subscribed  and  sworn  to  before  me  this day  of ,  A.  D.  19 — . 


Notes. 
See  notes  to  Forms  No.  31,  32,  33,  34. 


[Official  character.] 


OFFICIAL  FORMS  IN  BANKRUPTCY.  335 

[Form  No.  36.] 
Proof  op  Secured  Debt  by  Agent. 
In  the  District  Court  of  the  United  States  for  the District  of . 


In  the  matter  of 


>-In  Bankruptcy. 


Bankrupt. 
y 


At ,  in  said  district  of ,on  the day  of ,  A.  D. 

19 — ,  came ,  of ,  in  the  county  of ,  and  State 

of  ,  attorney  [or  authorized  agent]  of ,  in  the  county  of 

,  and  State  of ,  and  made  oath,  and  says  that , 

tha  person  by  [or  against]  whom  a  petition  for  adjudication  of  bankruptcy 
has  been  filed,  was,  at  and  before  the  fiUng  of  said  petition,  and  still  is, 

justly  and  truly  indebted  to  the  said in  the  sum  of 

dollars;  that  the  consideration  of  said  debt  is  as  follows: 


that  no  part  of  said  debt  has  been  paid  [except- 


that  there  are  no  set-offs  or  coimter  claims  to  the  same  [except- 


. . ]; 

and  that  the  only  securities  held  by  said for  said  debt  are  the  fol- 
lowing:   

and  this  deponent  further  says  that  this  deposition  can  not  be  made  by 
the  claimant  in  person  because 

and  that  he  is  duly  authorized  by  his  principal  to  make  this  deposition, 
and  that  it  is  within  his  knowledge  that  the  aforesaid  debt  was  incvured  as 
and  for  the  consideration  above  stated. 


Subscribed  and  sworn  to  before  me  this day  of ,  A.  D.  19- 


[Official  character.] 
Notes. 
See  notes  to  Forms  31,  32,  33,  34.  ] 


336 


OFFICIAL  FORMS  IN  BANKRUPTCY. 


[Form  No.  37.] 
Affidavit  of  Lost  Bill,  or  Note. 
In  the  District  Court  of  the  United  States  for  the District  of 


In  the  matter  of 


/•In  Bankruptcy. 


Bankrupt. 


day  of  • 


-,  A.  D.  19— ,  at 


-,  came 


-,  and  State  of 


-,  and  makes  oath 


On  this 

of ,  in  the  county  of 

and  says  that  the  bill  of  exchange  [or  note],  the  particulars  whereof  are 
underwritten,  has  been  lost  under  the  following  circumstances,  to  wit. 


and  that  he,  this  deponent,  has  not  been  able  to  find  the  same;  and  this 

deponent  further  says  that  he  has  not,  nor  has  the  said ,  or 

any  person  or  persons  to  their  use,  to  this  deponent's  knowledge  or  belief, 
negotiated  the  said  bill  [or  note],  nor  in  any  manner  parted  with  or  as- 
signed the  legal  or  beneficial  interest  therein,  or  any  ; .  ir  thereof;  and  that 
he,  this  deponent,  is  the  person  now  legally  and  beneficially  interested 
in  the  same. 

Bill  or  note  above  referred  to. 


Date. 


Drawer  or  maker. 


Acceptor. 


Sum. 


Subscribed  and  sworn  to  before  me  this day  of ,  A.  D.  19- 


NOTES, 

See  notes  to  Forms  31,  32,  33,  34. 


(Official  character.) 


OFFICIAL  FORMS  IN  BANKRUPTCY.  337 

[Form  No.  38.] 
Order  Reducing  Claim. 
In  the  District  Court  of  the  United  States  for  the District  of      '    ■  ". 


In  the  matter  of 


>'In  Bankruptcy. 


Bankrupt. 


At ,  in  said  district,  on  the day  of ,  A.  D.  19 — . 

Upon  the  evidence  submitted  to  this  court  the  claim  of against 

said  estate  [and    if  the  fact  be  so,  upon  hearing  coxmsel  thereon],   it   is 

ordered,  that  the  amount  of  said  claim  be  reduced  from  the  sum  of 

as  set  forth  in  the  affidavit  in  proof  of  claim  filed  by  said  creditor  in  said 

case,  to  the  sum  of ,  and  that  the  latter-named  sum  be  entered 

upon  the  books  of  the  trustee  as  the  true  sum  upon  which  a  dividend 
shall  be  computed  [if  with  interest,  with  interest  thereon  from  the  day 
of ,  A.  D.  19—]. 

Referee  in  Bankruptcy. 
Note. 

As  to  re-examination,  reduction,  or  disallowance  of  claims,  see  Sec.  3 
(2),  57d,  f,  k,  1,  and  Gen.  Ord.  XXI  (6). 

[Form  No.  39] 
Order  Expunging  Claim. 
In  the  District  Court  of  the  United  States  for  the District  of   ■  ■"-■". 


In  the  matter  of 


>"In  Bankruptcy. 


Bankrupt  . 
/ 


At ,  in  said  district,  on  the day  of ,  A.  D.  19- 

Upon  the  evidence  submitted  to  the  court  upon  the  claim  of 


against  said  estate  [and,  if  the  fact  be  so,  upon  hearing  conusel  thereon], 
it  is  ordered  that  said  claim  be  disallowed  and  exptmged  from  the  list  of 
claims  upon  the  trustee's  record  in  said  case. 


Referee  in  Bankruptcy. 
Notes. 
See  notes  to  Form  3S. 


338 


OFFICIAL  FORMS  IN  BANKRUPTCY. 


[Form  No.  40.] 

List  of  Claims  and  Dividends  to  be  Recorded  by  Repbreb  and  by 
HIM  Delivered  to  Trustee. 

In  the  District  Court  of  the  United  States  for  the District  of . 


In  the  matter  of 


Bankrupt  . 


>'In  Bankruptcy. 


At 

,  in  said  district,  on  the < 

iay  of 

A.D. 

19—. 

No. 

Creditors. 

[To  be  placed  alphabetically,  and  the  names 
of  all  the  parties  to  the  proof  to  be  care- 
fully set  forth.] 

Sum  proved. 

Dividend. 

- 

Dollars. 

Cents. 

Dollars. 

Cents. 

Referee  in  Bankruptcy. 
Notes. 

Duty  of  referee  to  declare  dividends,  Sec.  39a(l) . 

Declaration  and  payments  of  dividends.  Sec.  47a,  55. 

As  to  notices  to  creditors  of  the  declaration  and  time  of  payment,  Sec. 
58a(5). 


OFFICIAL  FORMS  IN  BANKRUPTCY. 


339 


[Form  No.  41.] 
Notice  of  Dividend. 
In  the  District  Court  of  the  United  States  for  the 


District  of  ■ 


In  the  matter  of 


Bankrupt  . 


►-In  Bankruptcy. 


At 


-,  on  the 


day  of 


-,  A.  D.  19—. 


To 


Creditor  of 


-,  bankrupt: 


I  hereby  inform  you  that  you  may,  on  application  at  my  office, , 

on  the day  of ,  or  on  any  day  thereafter,  between  the  hours  of 


-,  receive  a  warrant  for  the 


dividend  due  to  you  out  of  the 


above  estate.     If  you  can  not  personally  attend,  the  warrant  will  be  de-. 
Uvered  to  yotir  order  on  yoiu"  filling  up  and  signing  the  subjoined  letter 

,  Trustee. 


Creditor's  Letter  to  Trustee. 


To 


-,  bankrupt: 


Trustee  in  bankruptcy  of  the  estate  of 

Please  deliver  to the  warrant  for  dividend  payable  out 


of  the  said  estate  to  me. 

Notes. 

Notices  to  be  given  by  referee,  58. 
See  as  to  notices,  Gen.  Ord.  XXI. 
See  notes  to  Form  No.  40. 


Creditor. 


340  OFFICIAL  FORMS  IN  BANKRUPTCY. 


[Form  No.  42.] 

Petition  and  Order  for  Sale  by  Auction  of  Real  Estate. 
In  the  District  Court  of  the  United  States  for  the District  of  — 


In  the  matter  of 


>-In  Bankruptcy. 


Bankrupt  . 
J 


Respectfully  represents ,  trustee  of  the  estate  of  said  bankrupt 

that  it  would  be  for  the  benefit  of  said  estate  that  a  certain  portion  of  the 
real  estate  of  said  bankrupt,  to  wit;  [here  describe  it  and  its  estimated  value] 
should  be  sold  by  auction,  in  lots  or  parcels,  and  upon  terms  and  con- 
ditions as  follows:—— — — — 

Wherefore  he  prays  that  he  may  be  authorized  to  make  sale  by  auction 
of  said  real  estate  as  aforesaid. 

Dated  this day  of ,  A.  D.  19—. 

,  Trustee. 

The  foregoing  petition  having  been  duly  filed,  and  having  come  on  for 
hearing  before  me,  of  which  hearing  ten  day's  notice  was  given  by  mail  to 
creditors  of  said  bankrupt,  now,  after  due  hearing,  no  adverse  interest 

being  represented  thereat  [or  after  hearing in  favor  of  said 

petition  and in  opposition  thereto],  it  is  ordered  that  the 

said  trustee  be  authorized  to  sell  the  portion  of  the  bankrupt's  real  estate 
specified  in  the  foregoing  petition,  by  auction,  keeping  an  accurate  accotmt 
of  each  lot  or  parcel  sold  and  the  price  received  therefor  and  to  whom  sold; 
which  said  account  he  shall  file  at  once  with  the  referee. 

Witness  my  hand  this day  of ,  A.  D.  19 — . 


Referee  in  Bankruptcy. 
Notes. 

As  to  sale  of  real  and  personal  property,  see  Sec.  70b  and  Gen.  Ord. 
XVIII. 

As  to  notices  to  creditors  of  sales  of  property,  Sec,  58a  (4), 


OFFICIAL  FORMS  IN  BANKRUPTCY.  341 


|F0RM  No.  43.] 
Petition  and  Order  for  Redemption  of  Property  from  Lien. 
In  the  District  Court  of  the  United  States  for  the District  of 


In  the  matter  of 


>In  Bankruptcy. 


Bankrupt 


.y 


Respectfully  represents ,  trustee  of  the  estate  of  said 

bankrupt,  that  a  certain  portion  of  said  bankrupt's  estate,  to  wit:  [here 
describe  the  estate  or  property  and  its  estimated  value]  is  subject  to  a  mort- 
gage [describe  tJie  mortgage],  or  to  a  conditional  contract  [describing  it],  or 
to  a  lien  [describe  the  origin  and  nature  of  the  lien],  [or,  if  the  property  be 
personal  property,  has  been  pledged  or  deposited  and  is  subject  to  a  lien] 
for  [describe  the  nature  of  the  lien],  and  that  it  would  be  for  the  benefit  of 
the  estate  that  said  property  should  be  redeemed  and  discharged  from 
the  lien  thereon.     Wherefore  he  prays  that  he  may  be  empowered  to 

pay  out  of  the  assets  of  said  estate  in  his  hands  the  sum  of ,  being 

the  amount  of  said  hen,  in  order  toredeem  said  property  therefrom. 

Dated  this day  of ,  A.  D.  19—. 

,  Trustee. 

The  foregoing  petition  having  been  duly  filed  and  having  come  on  for 
a  hearing  before  me,  of  which  hearing  ten  days'  notice  was  given  by  mail 
to  creditors  of  said  bankrupt,  now,  after  due  hearing,  no  adverse  interest 

being  represented  thereat  [or  after  hearing in  favor  of  said 

petition  and in  opposition  thereto],  it  is  ordered  that  the 

said  trustee  be  authorized  to  pay  out  of  the  assets  of  the  bankrupt's 

estate  specified  in  the  foregoing  petition  the  sum  of ,  being  the 

amoiint  of  the  lien,  in  order  to  redeem  the  property  therefrom. 

Witness  my  hand  this day  of ,  A.  D.  19 — . 


Referee  in  Bankruptcy. 
Notes. 

Redemption  of  property  and  compovmding  of  claims.  Gen.  Ord.  XXVIII 
Notice  to  creditors,  58a(4), 


342  OFFICIAL  FORMS  IN  BANKRUPTCY. 


[Form  No  44.] 
Petition  and  Order  for  Sale  Subject  to  Lien. 
In  the  District  Court  of  the  United  States  for  the District  of 


In  the  matter  of 


Bankrupt 


>'In  Bankruptcy. 


Respectfully  represents ,  trustee  of  the  estate  of  said 

bankrupt,  that  a  certain  portion  of  said  bankrupt's  estate,  to  wit:  [here 
describe  the  estate  or  property  and  its  estimated  value]  is  subject  to  a  mort- 
gage [describe  mortgage],  or  to  a  conditional  contract  [describe  it],  or  to 
a  lien  [describe  the  origin  and  nature  of  tlie  lien],  or  [if  the  property  be  personal 
property]  has  been  pledged  or  deposited  and  is  subject  to  a  lien  for  [describe 
the  nature  of  the  lien],  and  that  it  would  be  for  the  benefit  of  the  said  estate 
that  said  property  shoidd  be  sold,  subject  to  said  mortgage,  lien,  or  other 
Incumbrance.  "Wherefore  he  prays  that  he  may  be  authorized  to  make 
sale  of  said  property,  subject  to  the  incumbrance  thereon. 

Dated  this day  of ,  A.  D.  19—. 

,  Trustee. 

The  foregoing  petition  having  been  duly  filed  and  having  come  on  for 
a  hearing  before  me,  of  which  hearing  ten  days'  notice  was  given  by  mail 
to  creditors  of  said  bankrupt,  now,  after  due  hearing  no  adverse  interest 

being  represented  thereat  [or  after  hearing in  favor  of  said 

petition  and in  opposition  thereto],  it  is  ordered  that  the 

said  trustee  be  authorized  to  sell  the  portion  of  the  bankrupt's  estate 
specified  in  the  foregoing  petition,  by  auction  [or,  at  private  sale],  keeping 
an  accurate  account  of  the  property  sold  and  the  price  received  therefor 
and  to  whom  sold;  which  said  accotmt  he  shall  file  at  once  with  the  referee. 

Witness  my  hand  this day  of ,  A.  D.  19 — . 


Referee  in  Bankruptcy. 
Note. 

As  to  sale  of  property  see  Sec.  70b,  Gen.  Ord.  XVIII. 

Notices  to  creditors,  Sec.  58a(4). 

As  to  liens  on  property,  see  Sec.  67  and  notes. 


OFFICIAL  FORMS  IN  BANKRUPTCY.  343 


[Form  No.  45.] 
Petition  and  Order  for  Private  Sale. 
In  the  District  Court  of  the  United  States  for  the District  of 


In  the  matter  of 


>•  In  Bankruptcy. 


Bankrupt  . 


.J 


Respectfully  represents ,  duly  appointed  trustee  of  the 

estate  of  the  aforesaid  bankrupt. 

That  for  the  following  reasons,  to  wit — — 


it  is  desirable  and  for  the  best  interest  of  the  estate  to  sell  at  private  sale 
a  certain  portion  of  the  said  estate,  to  wit: 


Wherefore  he  prays  that  he  may  be  authorized  to  sell  the  said  property 
at  private  sale. 

Dated  this day  of ,  A.  D.  19—. 

,  Trustee. 

The  foregoing  petition  having  been  duly  filed  and  having  come  on  for 
a  hearing  before  me,  of  which  hearing  ten  days'  notice  was  given  by  mail 
to  creditors  of  said  bankrupt,  now,  after  due  hearing,  no  adverse  interest 

being  represented  thereat  \pr  after  hearing in  favor  of  said 

petition  and in  opposition  thereto],  it  is  ordered  that  the 

said  trustee  be  authorized  to  sell  the  portion  of  the  bankrupt's  estate 
specified  in  the  foregoing  petition,  at  private  sale,  keeping  an  accurate 
account  of  each  article  sold  and  the  price  received  therefor  and  to  whom 
sold ;  whJch  said  account  he  shall  file  at  once  with  the  referee. 

Witness  my  hand  this day  of ,  A.  D.  19 — . 


Referee  in  Bankruptcy. 
Note. 
See  notes  to  Form  44. 


344  OFFICIAL  FORMS  IN  BANKRUPTCY. 


[Form  No.  46.] 
Petition  and  Order  for  Sale  of  Perishable  Property. 
In  the  District  Court  of  the  United  States  for  the District  of  - 


In  the  matter  of 


>-In  Bankruptcy. 


Bankrupt 


.y 


Respectfully  represents the  said  bankrupt,  [or,  a  creditor, 

or  the  receiver,  or  the  trustee  of  the  said  bankrupt's  estate.] 

That  a  part  of  the  said  estate,  to  wit, 


-,  is  perishable,  and  that  there  will  be  a  loss  if  the  same  is 


not  sold  immediately. 

Wherefore,  he  prays  the  court  to  order  that  the  same  be  sold  immedi- 
ately as  aforesaid. 

Dated  this day  of ,  A.  D.  19—. 


The  foregoing  petition  having  been  duly  filed  and  having  come  on  for 
a  hearing  before  me,  of  which  hearing  ten  days'  notice  was  given  by  mail 
to  the  creditors  of  the  said  bankrupt,  [or  without  notice  to  the  creditors], 
now,  after  due  hearing,  no  adverse  interest  being  represented  thereat,  [jr 

after  hearing in  favor  of  said  petition  and 

in  opposition  thereto]  I  find  that  the  facts  are  as  above  stated,  and  that 
the  same  is  required  in  the  interest  of  the  estate,  and  it  is  therefore  ordered 
that  the  same  be  sold  forthwith  and  the  proceeds  thereof  deposited  in 
court. 

Witness  my  hand  this day  of ,  A.  D.  19 — . 


Referee  in  Bankruptcy. 
Note. 
See  notes  to  Form  44. 


OFFICIAL  FORMS  IN  BANKRUPTCY.. 


345 


EFoRM  No.  47.3 
Trustee's  Report  op  Exempted  Property. 
In  the  District  Court  of  the  United  States  for  the District  of  ■ 


In  the  matter  of 


>In  Bankruptcy. 


Bankrupt. 


At 


-,  on  the 


day  of 


-.19—. 


The  following  is  a  schedule  of  property  designated  and  set  apart  to 
be  retained  by  the  bankrupt  aforesaid,  as  his  own  property,  under  the 
provisions  of  the  acts  of  Congress  relating  to  bankruptcy. 


General  head. 

Particular  description. 

Value. 

Military  uniforms,  arms,  and. 

Dolls. 

Cts. 

Property  exempted  by  State  laws. 

Trustee. 
Note. 

As  to  exemptions  of  bankrupts,  see  Sec.  6. 

Bankrupt's  duty  to  claim  exemptions,  Sec.  7a(8.) 

Trustees'  duty  to  set  aside  exemptions,  Sec.  47a(ll),  and  Gen.  Ord. 
XVII. 


346 


OFFICIAL  FORMS  IN  BANKRUPTCY. 


[Form  No.  48.] 
Trustee's  Return  op  no  Assets. 
In  the  District  Court  of  the  United  States  for  the District  of 


In  the  matter  of 


Bankrupt  . 


►In  Bankruptcy. 


At 


-,  in  said  district,  on  the 


day  of 


,  A.  D.  19—. 

,  of ,  in  the 


On  the  day  aforesaid,  before  me  comes 

cotmty  of and  State  of ,  and  makes  oath,  and  says  that  he, 

as  trustee  of  the  estate  and  effects  of  the  above-named  bankrupt  ,  neither 
received  nor  paid  any  moneys  on  account  of  the  estate. 

Subscribed  and  sworn  to  before  me  at ,  this day  of , 

A.  D.  19—. 


Note. 
Duties  of  trustees,  Sec.  47  and  Gen.  Ord.  XVII. 


Referee  in  Bankruptcy. 


OFFICIAL  FORMS  IN  BANKRUPTCY. 


347 


[Form  No.  49.] 
Account  of  Trustee. 


1 

«  1 

^  .S 

«  1 
H 

fe  "8. 

t  « 


5 

o 
> 

-a 

5 


^4 


On 

•*^   . 

§8 

goQ 


•o.s 
II 


ooo 

.  u 

t)  V 


o  u 

s* 

o     " 


348  OFFICIAL  FORMS  IN  BANKRUPTCY. 


[Form  No.  50.] 
Oath  to  Final  Account  of  Trustee. 
In  the  District  Court  of  the  United  States  for  the District  of 


In  the  matter  of 


>     In  Bankruptcy. 


Bankrupt. 


On  this day  of ,  A.  D.  19 — ,  before  me  comes 

of ,  in  the  county  of and  State  of ,  and  makes  oath 

and  says  that  he  was,  on  the day  of ,  A.  D.  19 — ,  appointed 

trustee  of  the  estate  and  effects  of  the  above  named  bankrupt,  and  that 
as  such  trustee  he  has  conducted  the  settlement  of  the  said  estate.     That 

the  account  hereto  annexed  containing  sheets  of  paper,  the  first 

sheet  whereof  is  marked  with  the  letter [reference  may  here  also  be  made 

to  any  prior  account  -filed  by  said  trustee}  is  true,  and  such  accoimt  contains 
entries  of  every  sum  of  money  received  by  said  trustee  on  account  of  the 
estate  and  effects  of  the  above-named  bankrupt  ,  and  that  the  payments 
purporting  in  such  account  to  have  been  made  by  said  trustee  have  been 
so  made  by  him.  And  he  asks  to  be  allowed  for  said  payments  and  for 
commissions  and  expenses  as  charged  in  said  accounts. 


-,  Trustee. 


Subscribed  and  sworn  to  before  me  at in  said district  of 

,  this day  of ,  A.  D.  19—. 


[Official  Character.] 
Note. 
See  notes  to  Form  49;  also  Sec.  20  as  to  oaths. 


OFFICIAL  FORMS  IN  BANKRUPTCY.  349 

[Form  No,  51.] 
Order  Allowing  Account  and  Discharging  Trustbb. 
In  the  District  Court  of  the  United  States  for  the District  of , 


In  the  matter  of 


Bankrupt. 


►In  Bankruptcy. 


The  foregoing  account  having  been  presented  for  allowance,  and  having 
been  examined  and  fovmd  correct,  it  is  ordered,  that  the  same  be  allowed, 
and  that  the  said  trustee  be  discharged  of  his  trust. 


Referee  in  Bankruptcy. 
Note. 

See  notes  to  Form  49. 

[Form  No.  52.] 
Petition  for  Removal  of  Trustee. 
In  the  District  Court  of  the  United  States  for  the District  of 


In  the  matter  of 


Bankrupt. 


>ln  Bankruptcy. 


To  the  Honorable , 

Judge  of  the  District  Court  for  the District  of : 

The  petition  of ,  one  of  the  creditors  of  said  bankrupt, 

respectfully  represents  that  it  is  for  the   interest  of  the  estate,  of  said 

bankrupt  that ,  heretofore  appointed    trustee  of  said  bankrupt's 

estate,  should  be  removed  from  his  trust,  for  the  causes  following,  to  wit: 
[here  set  forth  the  particular  cause  or  causes  for  which  such  removal  is  re- 
quested.] 

Wherefore pray  that  notice  may  be  served  upon  said 

,  trustee  as  aforesaid,  to  show  cause,  at  such  time  as  may  be  fixed 

by  the  court,  why  an  order  should  not  be  made  removing  him  from  said 
trust. 


Note. 

Appointment  and  removal  of  trustees,  Sec.  2(17),  44,  46,  Gen.    Ord. 
XIII.     Notices  to  be  given  creditors.  Sec.  58  and  Gen.  Ord.  XXI (2). 


350 


OFFICIAL  FORMS  IN  BANKRUPTCY. 


[Form  No.  53.] 
Notice  of  Petition  for  Removal  of  Trustee. 
In  the  District  Cotut  of  the  United  States  for  the District  of 


In  the  matter  of 


>'In  Bankruptcy. 


Bankrupt 


At 


-,  on  the 


day  of 


A.  D.  19—. 


To 


Trustee  of  the  estate  of  ■ 


-,  bankrupt; 


You  are  hereby  notified  to  appear  before  this  court,  at ,  on  the 

—  day  of ,  A.  D.  19 — ,  at  —  o'clock  — .  m.,  to  show  cause  (if  any 


you  have)  why  you  should  not  be  removed  from  your  trust  as  trustee  as 

aforesaid,  according  to  the  prayer  of  the  petition  of ,  one 

of  the  creditors  of  said  bankrupt,  filed  in  this  court  on  the day  of 

A.  D.    19 — ,  in  which  it  is  alleged  [here  insert  the  allegation  of  the 

petition]. 

Note. 
See  notes  to  Form  52. 


-,  Clerk. 


OFFICIAL  FORMS  IN  BANKRUPTCY.  351 


[Form     No.     54.] 
Order  for  Removal  of  Trustee. 
In  the  District  Court  of  the  United  States  for  the District  of 


In  the  matter  of 


►In  Bankruptcy. 


Bankrupt 


Whereas ,  of ,  did,  on  the day  of ,  A. 

D.  19 — ,  present  his  petition  to  this  court,  praying  that  for  the  reasons 

therein  set  forth, ,  the  trustee  of  the  estate  of  said 

,  bankrupt,  might  be  removed: 


Now,  therefore,  upon  reading  the  said  petition  of  the  said 


and  the  evidence  submitted  therewith,  and  upon  hearing  counsel  on  be- 
half of  said  petitioner  and  counsel  for  the  trustee,  and  upon  the  evidence 
submitted  on  behalf  of  said  trustee, 

It  is  ordered  that  the  said be  removed  from  the  trust 

as  trustee  of  the  estate  of  said  bankrupt,  and  that  the  costs  of  the  said 

petitioner  incidental  to  said  petition  be  paid  by  said ,  trustee 

[or,  out  of  the  estate  of  the  said ,  subject  to  prior  charges]. 

Witness  the  Honorable ,  judge  of  the  said  court,  and 

the  seal  thereof,  at ,  in  said  district,  on  the day  of ,  A. 

D.  19—. 

j  Seal  of  the  ) 
J      Court,      f 


Clerk. 
Notes. 
See  notes  to  Form  52. 


352 


OFFICIAL  FORMS  IN  BANKRUPTCY. 


[Form  No.  55.] 
Order  for  Choice  of  New  Trustee. 
In  the  District  Court  of  the  United  States  for  the District  of  • 


In  the  matter  of 


^In  Bankruptcy. 


Bankrupt  . 


-,  on  the 


day  of 


-,  A.  D.  19—. 


At- 

Whereas  by  reason  of  the  removal  [or  the  death  or  resignation]  of 
,  heretofore  appointed  trustee  of  the  estate  of  said  bank- 


rupt, a  vacancy  exists  in  the  office  of  said  trustee, 

It  is  ordered  that  a  meeting  of  the  creditors  of  said  bankrupt  be  held 

at ,  in ,  in  said  district,  on  the day  of ,  A.  D. 

18 — ,  for  the  choice  of  a  new  trustee  of  said  estate. 

And  it  is  further  ordered  that  notice  be  given  to  said  creditors  of  the 
time,  place,  and  purpose  of  said  meeting,  by  letter  to  each,  to  be  deposited 
in  the  mail  at  least  ten  days  before  that  day. 

,  Referee  in  Bankruptcy. 

Notes. 

See  notes  to  Form  52  and  see  Form  54. 


OFFICIAL  FORMS  IN   BANKRUPTCY.  353 


[Form  No.  56.] 
Certificate  by  Referee  to  Judge. 
In  the  District  Court  of  the  United  States  for  the District  of 


In  the  matter  of 


>-In  Bankruptcy. 


Bankrupt 


I, ,  one  of  the  referees  of  said  court  in  bankruptcy,  do 

hereby  certify  that  in  the  course  of  the  proceedings  in  said  cause  before 
me  the  following  question  arose  pertinent  to  the  said  proceedings:  [Here 
state  the  question,  a  summary  of  the  evidence  relating  thereto,  and  tlie  finding 
and  order  of  the  referee  thereon."] 

And  the  said  question  is  certified  to  the  judge  for  his  opinion  thereon. 

Dated  at ,  the day  of ,  A.  D.  19—. 


Referee  in  bankruptcy. 
Notes. 

See  as  to  certificate  Sec.  2(10)  and  notes. 

As  to  petition  for  review  by  judge,  see  Sec.  24f,  38a  and  Gen.  Ord. 
XXVII. 

As  to  referee's  return  with  certificate  Sec.  39a (5). 


354  OFFICIAL  FORMS  IN   BANKRUPTCY. 

[Form  No.  57.] 
Bankrupt's  Petition  for  Discharge. 


In  the  matter  of 


>■  In  Bankruptcy. 


Bankrupt 


To  the  Honorable , 

Judge  of  the  District  Court  of  the  United  States  for  the  District 

of . 

,  of ,  in  the  county  of and  State  of , 

in  said  district,  respectfully  represents  that  on  the day  of , 

last  past,  he  was  duly  adjudged  bankrupt  under  the  acts  of  Congress 
relating  to  bankruptcy;  that  he  has  duly  surrendered  all  his  property 
and  rights  of  property,  and  has  fully  complied  with  all  the  requirements 
of  said  acts  and  of  the  orders  of  the  court  touching  his  bankruptcy. 

Wherefore  he  prays  that  he  may  be  decreed  by  the  court  to  have  a 
full  discharge  from  all  debts  provable  against  his  estate  under  said  bank- 
rupt acts,  except  such  debts  as  are  excepted  by  law  from  such  discharge. 

Dated  this day  of ,  A.  D.  19—. 

,  Bankrupt. 

Order  of  Notice  Thereon. 

District  of ,  ss. 

On  this  day  of  ,  A.  D.  19 — .  on  reading  the  foregoing 

petition,  it  is 


Ordered  by  the  court,  that  a  hearing  be  had  upon  the  same  on  the 

day  of ,  A.  D.  19 — ,  before  said  court,  at ,  in  said  district, 

at o'clock  in  the noon ;  and  that  notice  thereof  be  published 

in ,  a  newspaper  printed  in  said  district,  and  that  all  known 

creditors  and  other  persons  in  interest  may  appear  at  the  said  time  and 
place  and  show  cause,  if  any  they  have,  why  the  prayer  of  the  said  peti- 
tioner should  not  be  granted. 

And  it  is  further  ordered  by  the  court,  that  the  clerk  shall  send  by  mail 
to  all  known  creditors  copies  of  said  petition  and  this  order,  addressed  to 
them  at  their  places  of  residence  as  stated. 

Witness  the  Honorable ,  judge  of  the  said  court,  and  the 

seal  thereof,  at ,  in  said  district,  on  the day  of ,  A.  D. 

19—. 


Clerk. 


/  Seal  op  the  \ 
\       Court.      J 


OFFICIAL  FORMS  IN  BANKRUPTCY.  355 

hereby  depose,  on  oath,  that  the  foregoing  order  was  published 

in  the on  the  following days,  viz: 

On  the day  of and  on  the day  of ,  in  the  year 

19—. 


District  of . 

,  19—. 

Personally  appeared ,  and  made  oath  that  the  foregoing 

statement  by  him  subscribed  is  true. 

Before  me. 


[Official  character.] 

I  hereby  certify  that  I  have  on  this day  of ,  A.   D.  19 — , 

sent  by  mail  copies  of  the  above  order,  as  therein  directed. 


Clerk. 
Notes. 

As  to  discharges  in  general,  see  Sec.  14  and  notes. 
Revocation  of  discharges,  see  Sec.  16  and  notes. 
Discharges  granted  by  judge  only,  38a(4). 
Notices  to  be  given  creditors,  Sec.  58  and  Gen.  Ord.  XXI (2). 


'*}  ■■l» 


.,rfi»'  •Mil 


356  OFFICIAL  FORMS  IN  BANKRUPTCY. 

[Form  No.  58.] 
Specification  of  Grounds  of  Opposition  to  Bankrupt's  Discharge. 
In  the  District  Court  of  the  United  States  for  the District  of . 


In  the  matter  of 


>'In  Bankruptcy. 


Bankrupt 


-,  of ,  in  the  county  of and  State  of 


a  party  interested  in  the  estate  of  said ,  banlcrupt,  do  here- 
by oppose  the  granting  to  him  of  a  discharge  from  his  debts,  and  for  the 
grounds  of  such  opposition  do  file  the  following  specification :  [Here  specify 

the  grounds  of  opposition.] 

,  Creditor. 

Notes. 

Opposition  to  discharge  or  composition,  see  Sec.  14b  and  Gen.  Ord. 
XXXII  and  notes. 

Specifications  must  be  circumstantial  and  show  statutory  grounds  of 
opposition,  in  re  Price  (1899),  S.  Dist.  la.,  Woolson,  J.,  96  Fed.,  611; 
1  N.  B.  N.,  18. 

Specification  may  be  amended  to  show  scienter.  In  re  Pierce  (1900), 
N.  D.  N.  Y.,  Coxe,  J.,  103  Fed.  64;  4  A.  B.  R.,  554;  2  N.  B.  N.,  984. 


[Form  No.  59.] 

Discharge  of  Bankrupt. 

District  Court  of  the  United  States, 

District'of  ■ 


"Whereas, of in  said  district,  has  been  duly  ad- 
judged a  bankrupt,  under  the  acts  of  Congress  relating  to  bankruptcy, 
and  appears  to  have  conformed  to  all  the  reqtiirements  of  law  in  that 

behalf,  it  is  therefore  ordered  by  this  court  that  said be 

discharged  from  all  debts  and  claims  which  are  made  provable  by  said 

acts  against  his  estate,  and  which  existed  on  the day  of ,  A.  D. 

19 — ,  on  which  day  the  petition  for  adjudication  was  filed him; 

excepting  such  debts  as  are  by  law  excepted  from  the  operation  of  a  dis- 
charge in  bankruptcy. 

Witness  the  Honorable ,  judge  of  said  district  court, 

and  the  seal  thereof  this day  of ,  A.  D.  19 — . 


Clerk. 


)  Sbai,  op  the  J 

(  COOBT.         J 

Note. 
See  references  to  Form  57. 


OFFICIAL  FORMS  IN  BANKRUPTCY.  357 


[Form  No.  60.] 
Petition  for  Meeting  to  Consider  Composition. 

District  Court  of  the  United  States  for  the District  of  - 




^In  Bankruptcy. 


Bankrupt 


To  the  Honorable ,  Judge  of  the  District  Court  of  the 

United  States  for  the District  of : 

The  above-named  bankrupt  respectfully  represent  that  a  composition 

of per    cent,  upon  all  unsecured  debts,  not  entitled  to  priority 

in  satisfaction  of debts  has  been  proposed  by 

to creditors  as  provided  by  the  acts  of  Congress  relating  to  bank- 
ruptcy, and verily  believe  that  the  said  composition  will  be  accepted 

by  a  majority  in  number  and  in  value  of creditors  whose  claims 

are  allowed. 

Wherefore,  he  pray  that  a  meeting  of creditors  may  be  duly  called 

to  act  upon  said  proposal  for  a  composition,  according  to  the  provisions 
of  said  acts  and  the  rules  of  court. 

Bankrupt. 


358  OFFICIAL  FORMS  IN  BANKRUPTCY. 


[Form  No.  61.] 
Application  for  Confirmation  of  Composition. 
In  the  District  Court  of  the  United  States  for  the District  of 


In  the  matter  of 


>-In  Bankruptcy. 


Bankrupt  . 


.J 


To  the  Honorable ,  Judge  of  the  District  Court  of^the 

United  States  for  the District  of . 

At ,  in  said  district,  on  the day  of ,  A.  D.  19 — ,  now 

comes ,  the  above-named  bankrupt,  and  respectfully  repre- 
sents to  the  court  that,  after  he  had  been  examined  in  open  court  \pr  at  a 
meeting  of  his  creditors]  and  had  filed  in  court  a  schedule  of  his  property 
and  a  list  of  his  creditors,  as  required  by  law,  he  offered  terms  of  composi- 
tion to  his  creditors,  which  terms  have  been  accepted  in  writing  by  a 
majority  in  number  of  all  creditors  whose  claims  have  been  allowed,  which 
number  represents  a  majority  in  amount  of  such  claims;  that  the  con- 
sideration to  be  paid  by  the  bankrupt  to  his  creditors,  the  money  neces- 
sary to  pay  all  debts  which  have  priority,  and  the  costs  of  the  proceedings 

amounting  in  all  to  the  siim  of dollars,  has  been  deposited,  subject 

to  the  order  of  the  judge,  in  the  National  Bank,  of  ,  a 

designated  depository  of  money  in  bankruptcy  cases. 

Wherefore  the  said respectfully  asks  that  the  said  com- 
position may  be  confirmed  by  the  court. 

,  Bankrupt. 

Note.  ^ 

As  to  compositions,  see  Sec.  12  and  13,  and  Gen.  Ord.  XII(3).  See 
also  notes  to  Form  58  as  to  opposition  to  confirmation. 

See  notes  to  Form  62. 


OFFICIAL  FORMS  IN  BANKRUPTCY.  359 


[Form  No.  62.]  \ 

Order  Confirming  Composition. 
In  the  District  Court  of  the  United  States  for  the District  of . 


In  the  matter  of 


Bankrupt. 


In  Bankruptcy. 


An  application  for  the  confirmation  of  the  composition  offered  by" the 
bankrupt  having  been  filed  in  court,  and  it  appearing  that  the  composi- 
tion has  been  accepted  by  a  majority  in  number  of  creditors  whose  claims 
have  been  allowed  and  of  such  allowed  claims;  and  the  consideration  and 
the  money  required  by  law  to  be  deposited,  having  been  deposited  as 
ordered,  in  such  place  as  was  designated  by  the  judge  of  said  court,  and 
subject  to  his  order;  and  it  also  appearing  that  it  is  for  the  best  interests 
of  the  creditors ;  and  that  the  bankrupt  has  not  been  guilty  of  any  of  the 
acts  or  failed  to  perform  any  of  the  duties  which  would  be  a  bar  to  his 
discharge,  and  that  the  offer  and  its  acceptance  are  in  good  faith  and  have 
not  been  made  or  procured  by  any  means,  promises,  or  acts  contrary  to 
the  acts  of  Congress  relating  to  bankruptcy :  It  is  therefore  hereby  ordered 
that  the  said  composition  be,  and  it  hereby  is,  confirmed. 

Witness  the  Honorable ,  judge  of  said  court,  and  the 

seal  thereof,  this day  of ,  A.  D.  19 — . 

,  Clerk. 


Seal  of  the 
Court. 


) 

Notes. 

As  to  confirmation  of  compositions,  see  Sec.  12  and  13.     Debts  released 
on  confirmation  of  a  composition,  Sec.  14b. 

Opposition  to  composition,  Gen.  Ord.  XXXII. 

Notices  on  composition,  58a (2)  and  Gen.  Ord.  XXI  (2). 


360  OFFICIAL  FORMS  IN   BANKRUPTCY. 


[Form  No.  63.] 

Order  of  Distribution  on  Composition. 

United  States  of  America: 

In  the  District  Court  of  the  United  States  for  the District  of  • 


In  the  matter  of 


Bankrupt. 


In  Bankruptcy. 


The  composition  oflEered  by  the  above  named  bankrupt  in  this  case 
having  been  duly  confirmed  by  the  judge  of  said  court,  it  is  hereby  ordered 
and  decreed  that  the  distribution  of  the  deposit  shall  be  made  by  the  clerk 
of  the  court  as  follows,  to  wit:  1st,  to  pay  the  several  claims  which  have 
priority;  2d,  to  pay  the  costs  of  proceedings;  3d,  to  pay,  according  to  the 
terms  of  the  composition,  the  several  claims  of  general  creditors  which 
have  been  allowed,  and  appear  upon  a  list  of  allowed  claims,  on  the  files 
in  this  case,  which  list  is  made  a  part  of  this  order. 

Witness  the  Honorable ,  judge  of  said  court,  ahd  the 

seal  thereof,  this day  of ,  A.  D.   19 — . 

,  Clerk. 

i  Seal  of  the  | 
\       Court.        J 

Note. 

See  notes  to  Forms  60,  61,  62. 


EUIES  OF  PEACTICE 

FOR    THE 

COURTS  OF  EQUITY  OF  THE 
UNITED  STATES. 

[See  Gen.  Ord.  XXVII.] 


PRELIMINARY    REGULATIONS. 

Rule  1. —  [Courts  always  Open]  The  circmt  courts, 
as  court  of  equity,  shall  be  deemed  always  open  for  the 
purpose  of  filing  bills,  answers,  and  other  pleadings;  for 
issuing  and  returning  mesne  and  final  process  and  com- 
missions; and  for  making  and  directing  all  interlocutory 
motions,  orders,  rules,  and  other  proceedings,  preparatory 
to  hearing  of  all  causes  upon  their  merits. 

Rule  2.  [Clerk]  The  clerk's  office  shall  be  open,  and 
the  clerk  shall  be  in  attendance  therein,  on  the  first  Monday 
of  every  month,  for  the  purpose  of  receiving,  entering,  en- 
tertaining, and  disposing  of  all  motions,  rules,  orders,  and 
other  proceedings,  which  are  grantable  of  course  and  ap- 
plied for,  or  had  by  the  parties  or  their  solicitors,  in  all 
causes  pending  in  equity,  in  pursuance  of  the  rules  hereby 
prescribed. 

Rule  3.  [Judge  may  exercise  powers  of  court.]  Any 
judge  of  the  circuit  court,  as  well  in  vacation  as  in 
term,  may,  at  chambers,  or  on  the  rule-days  at  the  clerk's 
■office,  make  and  direct  all  such  interlocutory  orders,  rules, 

361 


362  UNITED  STATES   EQUITY   RULES. 

and  other  proceedings,  preparatory  to  the  hearing  of  all 
causes  upon  their  merits  in  the  same  manner  and  with  the 
same  effect  as  the  circuit  court  could  make  and  direct  the 
same  in  term,  reasonable  notice  of  the  appHcation  therefor 
being  first  given  to  the  adverse  party,  or  his  solicitor,  to 
appear  and  show  cause  to  the  contrary,  at  the  next  rule-day 
thereafter,  unless  some  other  time  is  assigned  by  the  judge 
for  the  hearing. 

Rule  4.  [Entry  of  motions — Notice  to  parties]  All  mo- 
tions, rules,  orders,  and  other  proceedings,  made  and 
directed  at  chambers,  or  on  rule-days  at  the  clerk's  office, 
whether  special  or  of  course,  shall  be  entered  by  the  clerk 
in  an  order-book,  to  be  kept  at  the  clerk's  office,  on  the  day 
when  they  are  made  and  directed ;  which  book  shall  be  open 
at  all  office  hours  to  the  free  inspection  of  the  parties  in  any 
suit  in  equity,  and  their  solicitors.  And,  except  in  cases 
where  personal  or  other  notice  is  specially  required  or 
directed,  such  entry  in  the  order-book  shall  be  deemed  suffi- 
cient notice  to  the  parties  and  their  solicitors,  without  fur- 
ther service  thereof,  of  all  orders,  rules,  acts,  notices,  and 
other  proceedings  entered  in  such  order  book,  touching  any 
and  all  the  matters  in  the  suits  to  and  in  which  they  are 
parties  and  solicitors.  And  notice  to  the  solicitors  shall 
be  deemed  notice  to  the  parties  for  whom  they  appear  and 
whom  they  represent,  in  all  cases  where  personal  notice  on 
the  parties  is  not  otherwise  specially  required.  ^ Where  the 
solicitors  for  all  the  parties  in  a  suit  reside  in  or  near  the 
same  town  or  city,  the  judges  of  the  circuit  court  may,  by 
rule,  abridge  the  time  for  notice  of  rules,  orders,  or  other 
proceedings  not  requiring  personal  service  on  the  parties,  in 
their  discretion. 

Rule  5 — [Motions  of  course]  All  motions  and  appli- 
cations in  the  clerk's  office  for  the  issuing  of  mesne  pro- 
cess and  final  process  to  enforce  and  execute  decrees;  for 


UNITED  STATES   EQUITY  RULES.  363 

filing  bills,  answers,  pleas,  demurrers,  and  other  pleadings ; 
for  making  amendments  to  bills  and  answers,  for  taking 
bills  pro  confesso;  for  filing  exceptions;  and  for  other  pro- 
ceedings in  the  clerk's  office  which  do  not,  by  the  rules  here- 
inafter prescribed,  require  any  allowance  or  order  of  the 
court  or  of  any  judge  thereof,  shall  be  deemed  motions  and 
applications  grantable  of  course  by  the  clerk  of  the  court. 
But  the  same  may  be  suspended,  or  altered,  or  rescinded  by 
any  judge  of  the  court,  upon  special  cause  shown. 

Rule  6. — [Motions  not  of  course]  All  motions  for  rules 
or  orders  and  other  proceedings,  which  are  not  grant- 
able  of  course  or  without  notice,  shall,  imless  a  different  time 
be  assigned  by  a  judge  of  the  court,  be  made  on  a  rule-day, 
and  entered  in  the  order-book,  and  shall  be  heard  at  the  rule- 
day  next  after  that  on  which  the  motion  is  made.  And  if 
the  adverse  party,  or  his  soHcitor,  shall  not  then  appear,  or 
shall  not  show  good  cause  against  the  same,  the  motion  may 
be  heard  by  any  judge  of  the  court  ex  parte,  and  granted, 
as  if  not  objected  to,  or  refused,  in  his  discretion. 

PROCESS. 

Rule  7. — [Subpoena]  The  process  of  subpoena  shall 
constitute  the  proper  mesne  process  in  all  suits  in  equity, 
in  the  first  instance,  to  require  the  defendant  to  appear  and 
answer  the  exigency  of  the  bill;  and,  unless  otherwise  pro- 
vided in  these  rules,  or  specially  ordered  by  the  circuit  court, 
a  writ  of  attachment,  and,  if  the  defendant  can  not  be  foimd, 
a  writ  of  sequestration,  or  a  writ  of  assistance  to  enforce  a 
delivery  of  possession,  as  the  case  may  require,  shall  be 
the  proper  process  to  issue  for  the  purpose  of  compelling 
obedience  to  any  interlocutory  or  final  order  or  decree  of  the 
court. 

Rule  8. — [Final  process]  Final  process  to  execute 
any  decree  may,  if  the  decree  be  solely  for  the  payment  of 


364  UNITED  STATES   EQUITY   RULES. 

money,  be  by  a  writ  of  execution,  in  the  form  used  in  the  cir- 
cuit court  in  suits  at  common  law  in  actions  of  assumpsit. 
If  the  decree  be  for  the  performance  of  any  specific  act,  as, 
for  example,  for  the  execution  of  a  conveyance  of  land  or 
the  delivering  up  of  deeds  or  other  documents,  the  decree 
shall,  in  all  cases,  prescribe  the  time  within  which  the  act 
shall  be  done,  of  which  the  defendant  shall  be  bound,  with- 
out further  service,  to  take  notice ;  and  upon  affidavit  of  the 
plaintiff,  filed  in  the  clerk's  office,  that  the  same  has  not 
been  complied  with  within  the  prescribed  time,  the  clerk 
shall  issue  a  writ  of  attachment  against  the  delinquent 
party,  from  which,  if  attached  thereon,  he  shall  not  be  dis- 
charged, unless  upon  a  full  compliance  with  the  decree  and 
the  payment  of  all  costs,  or  upon  a  special  order  of  the 
court,  or  of  a  judge  thereof,  upon  motion  and  affidavit,  en- 
larging the  time  for  the  performance  thereof.  If  the  de- 
linquent party  can  not  be  found,  a  writ  of  sequestration  shall 
issue  against  his  estate  upon  the  return  of  non  est  inventus, 
to  compel  obedience  to  the  decree. 

Rule  9. — [Writ  of  assistance]  When  any  decree  or 
order  is  for  the  delivery  or  possession,  upon  proof  made  by 
affidavit  of  a  demand  and  refusal  to  obey  the  decree  or  order, 
the  party  prosecuting  the  same  shall  be  entitled  to  a  VTrit  of 
assistance  from  the  clerk  of  the  court. 

Rule  10. — [When  person  not  a  party  Is  entitled 
to  an  order]  Every  person,  not  being  a  party  in  any 
cause,  who  has  obtained  an  order,  or  in  whose  favor  an 
order  shall  have  been  made,  shall  be  enabled  to  enforce 
obedience  to  such  order  by  the  same  process  as  if  he  were  a 
party  to  the  cause;  and  every  person,  not  being  a  party  in 
any  cause,  against  whom  obedience  to  any  order  of  the 
court  may  be  enforced,  shall  be  liable  to  the  same  process 
for  enforcing  obedience  to  such  orders  as  if  he  were  a  party 
in  the  cause. 


UNITED  STATES   EQUITY   RULES.  365 

SERVICE    OF    PROCESS. 

Rule  11. — [Bill  must  be  filed  before  process.]  No  process 
of  subpoena  shall  issue  from  the  clerk's  office  in  any  suit  in 
equity  until  the  bill  is  filed  in  the  office. 

Rule  12. — [What  process  to  contain.]  Whenever  a 
bill  is  filed,  the  clerk  shall  issue  the  process  of  subpoena 
thereon,  as  of  course,  upon  the  application  of  the  plaintiff, 
which  shall  contain  the  Christian  names  as  well  as  the  sur- 
names of  the  parties,  and  shall  be  returnable  into  the 
clerk's  office  the  next  rule  day,  or  the  next  rule  day  but  one 
at  the  election  of  the  plaintiff,  occurring  after  twenty  days 
from  the  time  of  issuing  thereof.  At  the  bottom  of  the 
subpoena  shall  be  placed  a  memorandum,  that  the  defend- 
ant is  to  enter  his  appearance  in  the  suit  in  the  clerk's  office 
on  or  before  the  day  at  which  the  writ  is  returnable ;  other- 
wise the  bill  may  be  taken  pro  confesso.  Where  there  are 
more  than  one  defendant,  a  writ  of  subpoena  may,  at  the 
election  of  the  plaintiff,  be  sued  out  separately  for  each  de- 
fendant, except  in  the  case  of  husband  and  wife  defendants, 
or  a  joint  subpoena  against  all  the  defendants. 

Rule  13. — [Service  by  copy.]  The  service  of  all  sub 
poenas  shall  be  by  a  delivery  of  a  copy  thereof  by  the  officei 
serving  the  same  to  the  defendant  personally,  or  by  leaving 
a  copy  thereof  at  the  dwelling-house  or  usual  place  of  abode 
of  each  defendant,  with  some  adult  person  who  is  a  member 
or  resident  in  the  family. 

Rule  14. — [Second  subpoena.]  Whenever  any  sub- 
poena shall  be  returned  not  executed  as  to  any  defendant, 
the  plaintiff  shall  be  entitled  to  another  subpoena,  toties 
quoiies,  against  such  defendant,  if  he  shall  require  it,  until 
due  service  is  made. 

Rule  15. — [Marshal  to  serve  process  —  return.]  The 
service  of  all  process,  mesne   and    final,  shall  be  by  the 


366  UNITED  STATES  EQUITY  RULES. 

marshal  of  the  district,  or  his  deputy,  or  by  some  other 
person  specially  appointed  by  the  court  for  that  purpose, 
and  not  otherwise.  In  the  latter  case,  the  person  serving 
the  process  shall  make  affidavit  thereof. 

Rule  16. — [Suit  docketed  on  return  of  subpoena.]  Upon 
the  return  of  the  subpoena  as  served  and  executed  upon 
any  defendant,  the  clerk  shall  enter  the  suit  upon  his 
docket  as  pending  in  the  court,  and  shall  state  thetime  of 
the  entry. 

APPEARANCE. 

Rule  17. — Defendant  to  enter  appearance — when.]    The 

appearance  day  of  the  defendant  shall  be  the  rule-day  to 
which  the  subpoena  is  made  rettunable,  provided  he  has 
been  served  with  the  process  twenty  days  before  that 
day ;  otherwise  his  appearance-day  shall  be  the  next  rule- 
day  succeeding  the  rule-day  when  the  process  is  return- 
able. 

[Appearance  entered  on  order  book.]  The  appearance  of 
the  defendant,  either  personally  or  by  his  solicitor,  shall  be 
entered  in  the  order  book  on  the  day  thereof  by  the 
clerk. 

BILLS   TAKEN   PRO    CONFESSO. 

Rule  18. — [Defendant  must  answer — default.]  It  shall 
be  the  duty  of  the  defendant,  unless  the  time  shall  be 
otherwise  enlarged,  for  cause  shown,  by  a  judge  of  the 
court,  upon  motion  for  that  purpose,  to  file  his 
plea,  demurrer,  or  answer  to  the  bill,  in  the  clerk's  office,  on 
the  rule-day  next  succeeding  that  of  entering  his  appear- 
ance. In  default  thereof,  the  plain tiif  may,  at  his  election, 
enter  an  order  (as  of  cotirse)  in  the  order-book,  that  the  bill 
be  taken  pro  confesso;  and  thereupon  the  cause  shall  be  pro- 
ceeded in  ex  parte,  and  the  matter  of  the  bill  may  be  decreed 
by  the  coiirt  at  any  time  after  the  expiration  of  thirty  days 


UNITED  STATES  EQUITY  RULES.  367 

from  and  after  the  entry  of  said  order,  if  the  same  can  be 
done  without  an  answer,  and  is  proper  to  be  decreed ;  or  the 
plaintiff,  if  he  requires  any  discovery  or  answer  to  enable 
him  to  obtain  a  proper  decree,  shall  be  entitled  to  process  of 
attachment  against  the  defendant  to  compel  an  answer,  and 
the  defendant  shall  not,  when  arrested  upon  such  process, 
be  discharged  therefrom,  unless  upon  filing  his  answer,  or 
otherwise  complying  with  such  order  as  the  court  or  a  judge 
thereof  may  direct  as  to  pleading  to  or  fully  answering  the 
bill,  within  a  period  to  be  fixed  by  the  court  or  judge,  and 
undertaking  to  speed  the  cause. 

Rule  19. — [Decree  on  pro  confesso — setting  order  aside.] 

When  the  bill  is  taken  pro  confesso  the  court  may  pro- 
ceed to  a  decree  at  any  time  after  the  expiration  of 
thirty  days  from  and  after  the  entry  of  the  order 
to  take  the  bill  pro  confesso,  and  such  decree  rendered  shall 
be  deemed  absolute,  imless  the  court  shall,  at  the  same  term, 
set  aside  the  same,  or  enlarge  the  time  for  filing  the  answer, 
upon  cause  shown  upon  motion  and  affidavit  of  the  defend- 
ant. And  no  such  motion  shall  be  granted,  imless  upon  the 
payment  of  the  cost  of  the  plaintiff  in  the  suit  up  to  that 
time,  or  such  part  thereof  as  the  court  shall  deem  reasonable, 
and  imless  the  defendant  shall  undertake  to  file  his  answer 
within  such  time  as  the  court  shall  direct,  and  submit  to 
such  other  terms  as  the  court  shall  direct,  for  the  purpose  of 
speeding  the  same. 

FRAME   OF    BILLS, 

Rule  20. — [Wliat  bill  to  contain.]  Every  bill,  in  the 
introductory  part  thereof,  shall  contain  the  names, 
places  of  abode,  and  citizenship  of  all  parties,  plaintiffs  and 
defendants,  by  and  against  whom  the  bill  is  brought.  The 
form,  in  substance,  shall  be  as  follows:     "To  the  judges  of 

the  circuit  court  of  the  United  States  for  the  district  of : 

A.  B.,  of ,  and  a  citizen  of  the  State  of ,  brings  this 


368  UNITED  STATES   EQUITY   RULES. 

his  bill  against  C.  D.,  of ,  and  a  citizen  of  the  State  of 

,  and  E.  F.,  of ,  and  a  citizen  of  the  State  of  — — . 

And  thereupon  your  orator  complains  and  says  that,"  &c. 

Rule    21, — [Charging^confederating     and     jurisdiction 

clause  may  be  omitted.]  The  plaintiff,  in  his  bill,  shall 
be  at  liberty  to  omit,  at  his  option,  the  part  which  is 
usually  called  the  common  confederacy  clause  of  the 
bill,  averring  a  confederacy  between  the  defendants  to 
injure  or  defraud  the  plaintiff ;  also  what  is  commonly  called 
the  charging  part  of  the  bill,  setting  forth  the  matters  or 
excuses  which  the  defendant  is  supposed  to  intend  to  set  up 
by  way  of  defense  to  the  bill ;  also  what  is  commonly  called 
the  jurisdiction  clause  of  the  bill,  that  the  acts  complained 
of  are  contrary  to  equity,  and  that  the  defendant  is  without 
any  remedy  at  law;  and  the  bill  shall  not  be  demurrable 
therefor.  And  the  plaintiff  may,  in  the  narrative,  or  stating 
part  of  his  bill,  state  and  avoid,  by  counter-averments,  at 
his  option,  any  matter  or  thing  which  he  supposes  will  be 
insisted  upon  by  the  defendant  by  way  of  defense  or  ex- 
cuse to  the  case  made  by  the  plaintiff  for  relief.  The  prayer 
of  the  bill  shall  ask  the  special  relief  to  which  the  plaintiff 
supposes  himself  entitled,  and  also  shall  contain  a  prayer 
for  general  relief;  and  if  an  injunction,  or  a  writ  of  ne  exeat 
regno,  or  any  other  special  order,  pending  the  suit,  is  re- 
quired, it  shall  also  be  specially  asked  for. 

Rule  22. — [Bill  must  show  why  necessary  or  proper 
parties,  omitted.]  If  any  persons,  other  than  those  named 
as  defendants  in  the  bill,  shall  appear  to  be  necessary 
or  proper  parties  thereto,  the  bill  shall  aver  the  reason  why 
they  are  not  made  parties,  by  showing  them  to  be  without 
the  jurisdiction  of  the  court,  or  that  they  can  not  be  joined 
without  ousting  the  jurisdiction  of  the  court  as  to  the  other 
parties.  And  as  to  persons  who  are  without  the  juris- 
diction and  may  properly  be  made  parties,  the  bill  may 


UNITED  STATES    EQUITY   RULES.  369 

pray  that  process  may  issue  to  make  them  parties  to  the  bill 
if  they  should  come  within  the  jurisdiction. 

Rule  23. — [What  prayer  for  process  to   contain.]      The 

prayer  for  process  of  subpoena  in  the  bill  shall  con- 
tain the  names  of  all  the  defendants  named  in  the  intro- 
ductory part  of  the  bill,  and  if  any  of  them  are  known  to  be 
infants  under  age,  or  otherwise  under  guardianship,  shall 
state  the  fact,  so  that  the  court  may  take  order  thereon, 
as  justice  may  require  upon  the  return  of  the  process.  If  an 
injunction,  or  a  writ  of  tie  exeat  regno,  or  any  other  special 
order,  pending  the  suit,  is  asked  for  in  the  prayer  for  relief, 
that  shall  be  sufficient,  without  repeating  the  same  in  the 
prayer  for  process. 

Rule  24.— [Counsel  must  sign  bilL]  Every  bill  shall 
contain  the  signature  of  covmsel  annexed  to  it,  which 
shall  be  considered  as  an  affirmation  on  his  part  that,  upon 
the  instructions  given  to  him  and  the  case  laid  before  him, 
there  is  good  ground  for  the  suit,  in  the  manner  in  which 
it  is  framed. 

Rule  25. — [State  taxable  costs  to  be  followed.]  In  order 
to  prevent  unnecessary  costs  and  expenses,  and  to 
promote  brevity,  succinctness,  and  directness  in  the  allega- 
tions of  bills  and  answers,  the  regular  taxable  costs,  for 
every  bill  and  answer  shall  in  no  case  exceed  the  sum  which 
is  allowed  in  the  State  court  of  chancery  in  the  district,  if 
any  there  be ;  but  if  there  be  none,  then  it  shall  not  exceed 
the  sum  of  three  dollars  for  every  bill  or  answer. 

SCANDAL   AND    IMPERTINENCE   IN    BILLS. 

Rule  26. — [Scandal  and  impertinence  to  be  expunged — 
reference  for.]  Every  bill  shall  be  expressed  in  as  brief  and 
succinct  terms  as  it  reasonably  can  be,  and  shall  contain 
no  tinnecessary  recitals  of  deeds,  documents,  contracts,  or 
other  instruments,  in  hcBC  verba,  or  any  other  impertinent 


370  UNITED  STATES  EQUITY  RULES. 

matter  or  any  scandalous  matter,  not  relevant  to  the  suit. 
If  it  does,  it  may,  on  exceptions,  be  referred  to  a  mas- 
ter, by  any  judge  of  the  court,  for  impertinence  or  scan- 
dal ;  and  if  so  f oimd  by  him,  the  matter  shall  be  expunged 
at  the  expense  of  the  plaintiff,  and  he  shall  pay  to  the  de- 
fendant all  his  costs  in  the  suit  up  to  that  time,  unless  the 
court  or  a  judge  thereof  shall  otherwise  order.  If  the 
master  shall  report  that  the  bill  is  not  scandalous  or  im- 
pertinent, the  plaintiff  shall  be  entitled  to  all  costs  oc- 
casioned by  the  reference 

Rule  27. — [Exceptions    for  scandal  and  impertinence.] 

No  order  shall  be  made  by  any  judge  for  referring 
any  bill,  answer,  or  pleading,  or  other  matter  or 
proceeding,  depending  before  the  court,  for  scandal 
or  impertinence,  unless  exceptions  are  taken  in  writing 
and  signed  by  cotmsel,  describing  the  particular  passages 
which  are  considered  to  be  scandalous  or  impertinent;  nor 
unless  the  exceptions  shall  be  filed  on  or  before  the  next 
rule-day  after  the  process  on  the  bill  shall  be  returnable,  or 
after  the  answer  or  pleading  is  filed.  And  such  order,  when 
obtained,  shall  be  considered  as  abandoned,  imless  the  party 
obtaining  the  order  shall,  without  any  unnecessary  delay, 
procure  the  master  to  examine  and  report  for  the  same  on 
or  before  the  next  succeeding  rule-day,  or  the  master  shall 
certify  that  further  time  is  necessary  for  him  to  complete 
the  examination. 

AMENDMENT   OF   BILLS. 

Rule  28.    [Amendment — when  matter   of  course.]    The 

plaintiff  shall  be  at  liberty,  as  a  matter  of  course, 
and  without  payment  of  costs,  to  amend  his  bill, 
in  any  matters  whatsoever,  before  any  copy  has  been  taken 
out  of  the  clerk's  office,  and  in  any  small  matters  afterwards 
such  as  filing  blanks,  correcting  errors  of  dates,  misnomer  of 
parties,  misdescription  of  premises,  clerical  errors,  and  gen- 


UNITED  STATES   EQUITY   RULES. 


371 


erally  in  matters  of  form.  But  if  he  amend  in  a  material 
point  (  as  he  may  do  of  course)  after  a  copy  has  been  so 
taken,  before  any  answer  or  plea  or  demurrer  to  the  bill,  he 
shall  pay  to  the  defendant  the  costs  occasioned  thereby,  and 
shall,  without  delay,  furnish  him  a  fair  copy  thereof,  free  of 
expense,  with  suitable  references  to  the  places  where  the 
same  are  to  be  inserted.  And  if  the  amendments  are  num- 
erous, he  shall  furnish,  in  like  manner,  to  the  defendant,  a 
copy  of  the  whole  bill  as  amended ;  and  if  there  be  more  than 
one  defendant,  a  copy  shall  be  furnished  to  each  defendant 
affected  thereby. 

Rule  29. — [Plaintiff    may    amend    bill — notice — order.] 

After  an  answer,  or  plea,  or  demurrer  is  put  in,  and  be- 
fore replication,  the  plaintiff  may,  upon  motion  or  peti- 
tion, without  notice,  obtain  an  order  from  any  judge 
of  the  court  to  amend  his  bill  on  or  before  the  next 
succeeding  rule-day,  upon  payment  of  costs  or  with- 
out payment  of  costs,  as  the  court  or  a  judge  thereof 
may  in  his  discretion  direct.  But  after  replication  filed,  the 
plaintiff  shall  not  be  permitted  to  withdraw  it  and  to  amend 
his  bill,  except  upon  a  special  order  of  a  judge  of  the  court, 
upon  motion  or  petition,  after  due  notice  to  the  other  party, 
and  upon  proof  by  affidavit  that  the  same  is  not  made  for 
the  purpose  of  vexation  or  delay,  or  that  the  matter  of  the 
proposed  amendment  is  material,  and  could  not  with  rea- 
sonable diligence  have  been  sooner  introduced  into  the  bill, 
and  upon  the  plaintiff's  submitting  to  such  other  terms  as 
may  be  imposed  by  the  judge  for  speeding  the  cause. 

Rule  30. — [Amendment  filed  before   next  rule  day.]    If 

the  plaintiff  so  obtaining  any  order  to  amend  his  bill  after 
answer,  or  plea,  or  demurrer,  or  after  replication,  shall 
not  file  his  amendments  or  amended  bill,  as  the  case  may  re- 
quire, in  the  clerk's  office  on  or  before  the  next  succeeding 
rule-day,  he  shall  be  considered  to  have  abandoned  the 


372  UNITED  STATES   EQUITY   RULES. 

same,  and  the  cause  shall  proceed  as  if  no  application  for 
any  amendment  had  been  made. 

DEMURRERS   AND    PLEAS. 

Rule  31. — [Certificate  of  council  must  accompany  de- 
murrer.] No  demurrer  or  plea  shall  be  allowed  to  be 
filed  to  any  bill,  unless  upon  a  certificate  of  counsel,  that 
in  his  opinion  it  is  well  foimded  in  point  of  law,  and  sup- 
ported by  the  affidavit  of  the  defendant;  that  it  is 
not  interposed  for  delay;  and,  if  a  plea,  that  it  is  true  in 
point  of  fact. 

Rule  32.  [Fraud  or  combination  cliarged  must  be  an- 
swered.] The  defendant  may  at  any  time  before  the  bill 
is  taken  for  confessed,  or  afterward  with  the  leave  of 
the  court,  demur  or  plead  to  the  whole  bill,  or  to 
part  of  it,  and  he  may  demur  to  part,  plead  to  part,  and 
answer  as  to  the  residue ;  but  in  every  case  in  which  the  bill 
specially  charges  fraud  or  combination,  a  plea  to  such  part 
must  be  accompanied  with  an  answer  fortifying  the  plea 
and  explicitly  denying  the  fraud  and  combination,  and  the 
facts  on  which  the  charge  is  founded. 

Rule  33.  [Setting  down  plea  or  demurrer  for  argument 
— issue  taken.]  The  plaintiff  may  set  down  the  demiirrer 
or  plea  to  be  argued,  or  he  may  take  issue  on  the 
plea.  If,  upon  an  issue,  the  fact  stated  in  the  plea 
be  determined  for  the  defendant,  they  shall  avail  him 
as  far  as  in  law  and  equity  they  ought  to  avail  him. 

Rule  34.  [Costs  on  overruling  plea.]  If,  upon  the 
hearing,  any  demurrer  or  plea  is  overruled,  the  plaintiff 
shall  be  entitled  to  his  costs  in  the  cause  up  to  that  period 
imless  the  court  shall  be  satisfied  that  the  defendant  has 
good  grotmd,  in  point  of  law  or  fact,  to  interpose  the  same, 
and  it  was  not  interposed  vexatiously  or  for  delay.  And, 
upon  the  overruling  of  any  plea  or  demurrer,  the  defendant 


UNITED  STATES  EQUITY  RULES.  373 

shall  be  assigned  to  answer  the  bill,  or  so  much  thereof  as 
is  covered  by  the  plea  or  demurrer,  the  next  succeeding  rule- 
day,  or  at  such  other  period  as,  consistently  with  justice  and 
the  rights  of  the  defendant,  the  same  can,  in  the  judgment 
of  the  court,  be  reasonably  done ;  in  default  whereof,  the  bill 
shall  be  taken  against  him  pro  confesso,  and  the  matter 
thereof  proceeded  in  and  decreed  accordingly. 

Rule  35.  [Costs  on  allowance  of  plea.]  If,  upon  the 
hearing,  any  demurrer  or  plea  shall  be  allowed,  the  defend- 
ant shall  be  entitled  to  his  costs.  But  the  court  may,  in  its 
discretion,  upon  motion  of  the  plaintiff,  allow  him  to  amend 
his  bill,  upon  such  terms  as  it  shall  deem  reasonable. 

Rule  36.  [Demurrer  or  plea  not  overruled  because  too 
broad.]  No  demurrer  or  plea  shall  be  held  bad  and  over- 
ruled upon  argtunent,  only  because  such  demurrer  or  plea 
shall  not  cover  so  much  of  the  bill  as  it  might  by  law  have 
extended  to. 

Rule  37. — [Not  overruled  because  answer  covers  same 
matter.]  No  demurrer  or  plea  shall  be  held  bad  and  over- 
ruled upon  argument,  only  because  the  answer  of  the  defend- 
ant may  extend  to  some  part  of  the  same  matter  as  may 
be  covered  by  such  demurrer  or  plea. 

Rule  38.     [Bill  dismissed  unless  plea  set  down  or  replied 

to.]  If  the  plaintiff  shall  not  reply  to  any  plea,  or  set 
down  any  plea  or  demurrer  for  argument  on  the  rule-day 
when  the  same  is  filed,  or  on  the  next  succeeding  rule-day, 
he  "shall  be  deemed  to  admit  the  truth  and  sufficiency 
thereof,  and  his  bill  shall  be  dismissed  as  of  course,  unless 
a  judge  of  the  court  shall  allow  him  fiirther  time  for  that 
purpose. 

ANSWERS. 

Rule  39. — [Defendant  may  file  plea  and  answer.]    The 

rule,  that  if  a  defendant  submits  to  answer  he  shall  an- 
swer fully  to  all   matters   of  the  bill,  shall  no  longer  apply 


374  UNITED  STATES  EQUITY  RULES. 

in  cases  where  he  might  by  plea  protect  himself  from  such 
answer  and  discovery.  And  the  defendant  shall  be  entitled 
in  all  cases  by  answer  to  insist  upon  all  matters  of  defense 
(not  being  matters  of  abatement,  or  to  the  character  of  the 
parties,  or  matters  of  form)  in  bar  of  or  to  the  merits  of  the 
bill,  of  which  he  may  be  entitled  to  avail  himself  by  a  plea 
in  bar;  and  in  such  answer  he  shall  not  be  compellable  to 
answer  any  other  matters  than  he  would  be  compellable  to 
answer  and  discover  upon  filing  a  plea  in  bar  and  an  answer 
in  support  of  such  plea,  touching  the  matters  set  forth  in  the 
bill  to  avoid  or  repel  the  bar  or  defense.  Thus,  for  example, 
a  bona  fide  purchaser,  for  a  valuable  consideration  without 
notice,  may  set  up  that  defense  by  way  of  answer  instead  of 
plea,  and  shall  be  entitled  to  the  same  protection,  and  shall 
not  be  compellable  to  make  any  further  answer  or  discovery 
of  his  title  than  he  would  be  in  any  answer  in  support  of 
such  plea. 

Rule  40. — [Answer  required  only  to   interrogatories.]     A 

defendant  shall  not  be  bound  to  answer  any  statement 
or  charge  in  the  bill,  unless  specially  and  particularly 
interrogated  thereto ;  and  a  defendant  shall  not  be  bound 
to  answer  any  interrogatory  in  the  bill,  except  those  in- 
terrogatories which  such  defendant  is  required  to  an- 
swer ;  and  where  a  defendant  shall  answer  any  statement 
or  charge  in  the  bill  to  which  he  is  not  interrogated,  only  by 
stating  his  ignorance  of  the  matter  so  stated  or  charged, 
such  answer  shall  be  deemed  impertinent. 

Ordered,  (December  Term,  1850).  That  the  fortieth 
rule,  heretofore  adopted  and  promulgated  by  this  court  as 
one  of  the  rules  of  practice  in  suits  in  equity  in  the  circuit 
courts,  be,  and  the  same  is  hereby,  repealed  and  annulled. 
And  it  shall  not  hereafter  be  necessary  to  interrogate  a  de- 
fendant specially  and  particularly  upon  any  statement  in 
the  bill,  unless  the  complainant  desires  to  do  so,  to  obtain 
a  discovery. 


UNITED  STATES   EQUITY  RULES.  375 

Rule  41.  [How  interrogatories  arranged.]  The  inter- 
rogatories contained  in  the  interrogating  part  of  the  bill 
shall  be  divided  as  conveniently  as  may  be  from  each  other 
and  numbered  consecutively  1,  2,  3,  etc. ;  and  the  interro- 
gatories which  each  defendant  is  required  to  answer  shall 
be  specified  in  a  note  at  the  foot  of  the  bill,  in  the  form 
or  to  the  effect  following,  that  is  to  say :  "The  defendant 
(A.  B.)  is  required  to  answer  the  interrogatories  nimib- 
ered  respectively  1,  2,  3,"  etc. :  and  the  office  copy  of 
the  bill  taken  by  each  defendant  shall  not  contain  any  in- 
terrogatories except  those  which  such  defendant  is  so  re- 
quired to  answer,  tmless  such  defendant  shall  require  to  be 
furnished  with  a  copy  of  the  whole  bill. 
(Amendment   to  41st  Equity  Rule  December  Term,  1871.) 

[Answer  evidence.]  If  the  complainant,  in  his  bill,  shall 
waive  an  answer  imder  oath,  or  shall  only  require 
an  answer  under  oath  with  regard  to  certain  speci- 
fied interrogatories,  the  answer  of  the  defendant,  though 
imderoath,  except  such  part  thereof  as  shall  be  directly 
responsive  to  such  interrogatories,  shall  not  be  evidence  in 
his  favor,  imless  the  cause  be  set  down  for  hearing  on  bill 
and  answer  only ;  but  may  nevertheless  be  used  as  an  affid- 
avit, with  the  same  effect  as  heretofore,  on  a  motion  to 
grant  or  dissolve  an  injimction,  or  on  any  other  incidental 
motion  in  the  cause ;  but  this  shall  not  prevent  a  defendant 
from  becoming  a  witness  in  his  own  behalf  imder  section  3 
of  the  act  of  Congress  of  Jtily  2,  1864. 

[Rev.  Stat.  U.  S.,  Sec.  385.) 

Rule  42.     [Note   concerning   interrogatories  part  of  bill.] 

The  note  at  the  foot  of  the  bill,  specifying  the  interroga- 
tories which  each  defendant  is  required  to  answer,  shall 
be  considered  and  treated  as  part  of  the  bill,  and  the  ad- 
dition of  any  such  note,  after  the  bill  is  filed,  shall  be  con- 
sidered and  treated  as  an  amendment  of  the  bill. 


376  UNITED  STATES    EQUITY   RULES. 

Rule  43.  [Frame  of  interrogating  part.]  Instead  of 
the  words  of  the  bill  now  in  use,  preceding  the  interrogat- 
ing part  thereof,  and  beginning  with  the  words  "  To  the  end 
therefore,"  there  shall  hereafter  be  used  words  in  the  form 
or  to  the  effect  following:  "To  the  end,  therefore,  that  the 
said  defendants  may,  if  they  can,  show  why  your  orator 
should  not  have  the  relief  hereby  prayed,  and  may,  upon 
their  several  and  respective  corporal  oaths,  and  according  to 
the  best  and  utmost  of  their  several  and  respective  knowl- 
edge, remembrance,  information,  and  belief,  full,  true,  direct, 
and  perfect  answers  make  to  such  of  the  several  interroga- 
tories hereinafter  numbered  and  set  forth,  as  by  the  note 
hereunder  written  they  are  respectively  required  to  answer ; 
that  is  to  say : — 

"1.     Whether,  &c. 

"2.     Whether,  &c." 

Rule  44.  [Defendant  may  decline  to  answer  interrogat- 
ory.] A  defendant  shall  be  at  liberty,  by  answer,  to  de- 
cline answering  any  interrogatory,  or  part  of  an  interrogat- 
ory, from  answering  which  he  might  have  protected  him- 
self by  demurrer ;  and  he  shall  be  at  liberty  so  to  decline, 
notwithstanding  he  shall  answer  other  parts  of  the  bill 
from  which  he  might  have  protected  himself  by  demurrer. 

Rule  45.  [Special  replication  not  necessary.]  No  spe- 
cial replication  to  any  answer  shall  be  filed.  But  if  any 
matter  alleged  in  the  answer  shall  make  it  necessary  for  the 
plaintiff  to  amend  his  bill,  he  may  have  leave  to  amend  the 
same  with  or  without  the  payment  of  costs,  as  the  court,  or 
a  judge  thereof,  may  in  his  discretion  direct. 

Rule  46.  [Supplemental  answer.]  In  every  case  where 
an  amendment  shall  be  made  after  answer  filed,  the  de- 
fendant shall  put  in  a  new  or  supplemental  answer  on  or 
before  the  next  succeeding  rule-day  after  that  on  which 
the  amendment  or  amended  bill  is  filed,  unless  the  time  is  en- 


UNITED  STATES   EQUITY   RULES.  377 

larged  or  otherwise  ordered  by  a  judge  of  the  court ;  and  upon 
his  default,  the  Hke  proceedings  may  be  had  as  in  cases  of 
an  omission  to  put  in  an  answer. 

PARTIES   TO    BILLS. 

Rule  47.  [Proper  parties  may  be  omitted  on  cause 
shown.]  In  all  cases  where  it  shall  appear  to  the  court 
that  persons,  who  might  otherwise  be  deemed  necessary 
or  proper  parties  to  the  suit,  can  not  be  made  parties 
by  reason  of  their  being  out  of  the  jurisdiction  of  the 
court,  or  incapable  otherwise  of  being  made  parties 
or  because  their  joinder  would  oust  the  jurisdiction  of  the 
court  as  to  the  parties  before  the  court,  the  court  may,  in 
their  discretion,  proceed  in  the  cause  without  making  such 
persons  parties ;  and  in  such  cases  the  decree  shall  be  without 
prejudice  to  the  rights  of  the  absent  parties. 

Rtde  48.  [Parties  may  be  omitted.}  Where  the  parties 
on  either  side  are  very  numerous,  and  can  not,  with- 
out manifest  inconvenience  and  oppressive  delays  in  the 
suit,  be  all  brought  before  it,  the  court  in  its  discretion  may 
dispense  with  making  all  of  them  parties,  and  may  proceed 
in  the  suit,  having  stifficient  parties  before  it  to  represent  all 
the  diverse  interest  of  the  plaintiffs  and  the  defendants  in 
the  suit  properly  before  it.  But,  in  such  cases,  the  decree 
shall  be  without  prejudice  to  the  rights  and  claims  of  all  the 
absent  parties. 

Rule  49.  [Trustees  parties — when.]  In  all  suits  con- 
cerning real  estate  which  is  vested  in  trustees  by  devise, 
and  such  trustees  are  competent  to  sell  and  give  discharges 
for  the  proceeds  of  the  sale,  and  for  the  rents  and  profits  of 
the  estate,  such  tinistees  shall  represent  the  persons  bene- 
ficially interested  in  the  estate,  or  the  proceeds,  or  the  rents 
and  profits,  in  the  same  manner  and  to  the  same  extent  as 
the  executors  or  administrators  in  suits  concerning  personal 
estate  represent  the  persons  beneficially  interested  in  such 


378  UNITED  STATES   EQUITY   RULES. 

personal  estate ;  and  in  such  cases  it  shall  not  be  necessary 
to  make  the  persons  benefically  interested  in  such  real 
estates,  or  rents  and  profits,  parties  to  the  suit ;  but  the  court 
may,  upon  consideration  of  the  matter  on  the  hearing,  if  it 
shall  so  think  fit,  order  such  persons  to  be  made  parties. 

Rule  50.  [Parties  in  suits  to  execute  trusts  of  a  will.]  In 
suits  to  execute  the  trusts  of  a  will,  it  shall  not  be  neces- 
sary to  make  the  heir  at  law  a  party ;  but  the  plain- 
tiffs shall  be  at  liberty  to  make  the  heir  at  law  a  party 
where  he  desires  to  have  the  will  established  against  him. 

Rule  51.  [Defendants  jointly  and  severally  liable.]    In  all 

cases  in  which  the  plaintiff  has  a  joint  and  several  de- 
mand against  several  persons,  either  as  principals  or 
sureties,  it  shall  not  be  necessary  to  bring  before  the  court 
as  parties  to  a  suit  concerning  such  demand  all  the  persons 
liable  thereto ;  but  the  plaintiff  may  proceed  against  one  or 
more  of  the  persons  severally  liable. 

Rule  52.  [Setting  down  for  argument  on  ground  of  de- 
fective parties.]  Where  the  defendant  shall,  by  his  an- 
swer, suggest  that  the  bill  is  defective  for  want  of 
parties,  the  plaintiff  shall  be  at  liberty,  within  fourteen 
days  after  answer  filed,  to  set  down  the  cause  for  argu- 
ment upon  that  objection  only;  and  the  purpose  for  which 
the  same  is  so  set  down  shall  be  notified  by  an  entry,  to 
be  made  in  the  clerk's  order-book,  in  the  form  or  to  the  effect 
following,  (that  is  to  say)  "Set  down  upon  the  defendant's 
objectionforwhat  of  parties."  And  where  the  plaintiff  shall 
not  so  set  down  his  cause,  but  shall  proceed  therewith  to 
a  hearing,  notwithstanding  an  objection  for  want  of  parties 
taken  by  the  answer,  he  shall  not,  at  the  hearing  of  the 
cause,  if  the  defendant's  objection  shall  then  be  allowed  be 
entitled  as  of  course  to  an  order  for  liberty  to  amend  his  bill 
by  adding  parties.  But  the  court,  if  it  thinks  fit,  shall  be  at 
liberty  to  dismiss  the  bill. 


UNITED  STATES   EQUITY   RULES.  379 

Rule  53.    [Objection  of  want  of  proper  parties.]    If  a 

defendant  shall,  at  the  hearing  of  a  cause,  object  that  a 
suit  is  defective  for  want  of  parties  not  having  by  plea  or 
answer  taken  the  objection,  and  therein  specified  by  name 
or  description  of  parties  to  whom  the  objection  applies,  the 
court  (if  it  shall  think  fit)  shall  be  at  liberty  to  make  a  decree 
saving  the  rights  of  the  absent  parties. 

NOMINAL   PARTIES   TO   THE    BILLS. 

Rule  54.    [When  defendant  need  not  answer.]     Where 

no  account,  payment,  conveyance,  or  other  direct  re- 
lief is  sought  against  a  party  to  a  suit,  not  being  an  infant, 
the  party,  upon  service  of  the  subpoena  upon  him,  need  not 
appear  and  answer  the  bill,  unless  the  plaintiff  specially  re- 
quires him  so  to  do  by  the  prayer  of  his  bill ;  but  he  may  ap- 
pear and  answer  at  his  option ;  and  if  he  does  not  appear  and 
answer  he  shall  be  boimd  by  all  the  proceedings  in  the  cause. 
If  the  plaintiff  shall  require  him  to  appear  and  answer  he 
shall  be  entitled  to  the  costs  of  all  the  proceedings  against 
him  unless  the  court  shall  otherwise  direct 

Rule  55.  [Injunction  to  stay  proceedings  at  law — when 
granted  as  of  course.]  Whenever  an  injunction  is  asked 
for  by  the  bill  to  stay  proceedings  at  law,  if  the  defendant 
do  not  enter  his  appearance  and  plead,  demur,  or  answer 
to  the  same  within  the  time  prescribed  therefor  by  these 
niles,  the  plaintiff  shall  be  entitled  as  of  course,  upon  motion, 
without  notice,  to  such  injunction.  But  special  injunctions 
shall  be  grantable  only  upon  due  notice  to  the  other 
party  by  the  court  in  term,  or  by  a  judge  thereof 
in  vacation,  after  a  hearing,  which  may  be  ex  parte, 
if  the  adverse  party  does  not  appear  at  the  time  and  place 
ordered.  In  every  case  where  an  injunction  — either  the 
common  injunction  or  a  special  injunction — is  awarded  in 
vacation,  it  shall,  unless  previously  dissolved  by  the  judge 


380  UNITED  STATES   EQUITY   RULES. 

grantiiig  the  same,  continue  until  the  next  term  of  the  court, 
or  until  it  is  dissolved  by  some  other  order  of  the  court. 

BILLS   OF    REVIVOR    AND   SUPPLEMENTAL    BILLS. 

Rule  56.  [Bill  of  revivor  on  death  of  party.]  When- 
ever a  suit  in  equity  shall  become  abated  by  the  death 
of  either  party,  or  by  any  other  event,  the  same  may  be  re- 
vived by  a  bill  of  revivor  or  a  bill  in  the  nature  of  a  bill  of 
revivor,  as  the  circumstances  of  the  case  may  require,  filed 
by  the  proper  parties  entitled  to  revive  the  same,  which  bill 
may  be  filed  in  the  clerk's  office  at  any  time ;  and,  upon  sug- 
gestion of  the  facts,  the  proper  process  of  subpoena  shall,  as 
of  course,  be  issued  by  the  clerk,  requiring  the  proper  repre- 
sentatives of  the  other  party  to  appear  and  show  cause,  if 
any  they  have,  why  the  cause  should  not  be  revived.  And 
if  no  cause  shall  be  shown  at  the  next  rule-day  which  shall 
occur  after  fourteen  days  from  the  time  of  the  service  of  the 
same  process,  the  suit  shall  stand  revived,  as  of  course. 

Rule  57.  [Supplemental  bill  may  be  filed.]  Whenever 
any  suit  in  equity  shall  become  defective  from  any 
event  happening  after  the  filing  of  the  bill  (as,  for  example, 
by  change  of  interest  in  the  parties),  or  for  any  other  reason 
a  supplemental  bill,  or  a  bill  in  the  nature  of  a  supplemental 
bill,  may  be  necessary  to  be  filed  in  the  cause,  leave  to  file 
the  same  may  be  granted  by  any  judge  of  the  court  on  any 
rule-day  upon  proper  cause  shown  and  due  notice  to  the 
other  party.  And  if  leave  is  granted  to  file  such  supple- 
mental bill,  the  defendant  shall  demur,  plead,  or  answer 
thereto  on  the  next  succeeding  rule-day  after  the  supple- 
mental bill  is  filed  in  the  clerk's  office,  imless  some  other 
time  shall  be  assigned  by  a  judge  of  the  court. 

Rule  58.    [What  necessary  to  state  in  supplemental  bill.] 

It  shall   not    be  necessary  in  any  bill  of  revivor  or  supple- 
mental bill  to  set  forth  any  of  the  statements  in  the  original 


UNITED   STATES    EQUITY    RULES.  381 

suit,  unless  the  special  circumstances  of  the  case  niay  re- 
quire it. 

ANSWERS. 

Rule  59.  [Verification  of  answer.]  Every  defendant 
may  swear  to  his  answer  before  any  justice  or  judge  of 
any  court  of  the  United  States,  or  before  any  commissioner 
appointed  by  any  circuit  court  to  take  testimony  or  depo- 
sitions, or  before  any  master  in  chancery  appointed  by  any 
circuit  court,  or  before  any  judge  of  any  court  of  a  State  or 
Territory,  or  before  any  notary  public. 

AMENDMENT   OF   ANSWERS. 

'  Rule  60.  [Answer — liow  amended.]  After  an  an- 
swer is  put  in,  it  may  be  amended,  as  of  course,  in  any 
matter  of  form,  or  by  filling  up  a  blank,  or  correcting  a  date, 
or  reference  to  a  document,  or  other  small  matter,  and  be  re- 
sworn, at  any  time  before  a  replication  is  put  in,  or  the 
cause  is  set  down  for  a  hearing  upon  bill  and  answer.  But 
after  replication,  or  such  setting  down  for  a  hearing,  it  shall 
not  be  amended  in  any  material  matters,  as  by  adding  new 
facts  or  defenses,  or  qualifying  or  altering  the  original  state- 
ments, except  by  special  leave  of  the  court,  or  of  a  judge 
thereof,  upon  motion  and  cause  shown,  after  due  notice  to 
the  adverse  party,  supported,  if  required,  by  affidavit ;  and 
in  every  case  where  leave  is  so  granted,  the  court  or  the 
judge  granting  the  same  may,  in  his  discretion,  require  that 
the  same  be  separately  engrossed,  and  added  as  a  distinct 
amendment  to  the  original  answer,  so  as  toj^e  distinguish- 
able therefrom. 

EXCEPTIONS   TO   ANSWERS. 

Rule  61.  [Time  for  exceptions  to  answers.]  After  an 
answer  is  filed  on  any  rule-day,  the  plaintiff  shall  be  allowed 
until  the  next  succeeding  rule-day  to  file  in  the  clerk's  office 
exceptions  thereto  for  insufficiency,  and  no  longer,  unless  a 


382  UNITED  STATES   EQUITY   RULES. 

longer  time  shall  be  allowed  for  the  purpose,  upon  cause 
shown  to  the  court,  or  a  judge  thereof ;  and  if  no  exception 
shall  be  filed  thereto  within  that  period,  the  answer  shall 
be  deemed  and  taken  to  be  sufficient. 

Rule  62.  [Same  solicitor  for  different  defendants.]  When 
the  same  solicitor  is  employed  for  two  or  more  defendants, 
and  separate  answers  shall  be  filed,  or  other  proceedings 
had,  by  two  or  more  of  the  defendants  separately,  costs 
shall  not  be  allowed  for  such  separate  answers,  or  other 
proceedings,  imless  a  master,  upon  reference  to  him,  shall 
certify  that  such  separate  answers  and  other  proceedings 
were  necessary  or  proper,  and  ought  not  to  have  been 
joined  together. 

Rule  63.  [Exceptions  set  down  for  hearing.]  Where 
exceptions  shall  be  filed  to  the  answer  for  insufficiency, 
within  the  period  prescribed  by  these  rules,  if  the  defendant 
shall  not  submit  to  the  same  and  file  an  amended  answer  on 
the  next  succeeding  rule-day,  the  plaintiff  shall  forthwith 
set  them  down  for  a  hearing  on  the  next  succeeding  rule- 
day  thereafter,  before  a  judge  of  the  court,  and  shall  enter, 
as  of  course,  in  the  order-book,  an  order  for  that  purpose; 
and  if  he  shall  not  so  set  down  the  same  for  a  hearing,  the 
exceptions  shall  be  deemed  abandoned,  and  the  answer 
shall  be  deemed  sufficient;  provided,  however,  that  the 
court,  or  any  judge  thereof,  may,  for  good  cause  shown 
enlarge  the  time  for  filing  exceptions,  or  for  answering  the 
same,  in  his  discretion,  upon  such  terms  as  he  may  deem 
reasonable. 

Rule  64.    [Answer  after  exceptions  allowed.]    If,  at  the 

hearing,  the  exceptions  shall  be  allowed,  the  defendant  shall 
be  bound  to  put  in  a  full  and  complete  answer  thereto  on 
the  next  succeeding  rule-day ;  otherwise  the  plaintiff  shall, 
as  of  course,  be  entitled  to  take  the  bill,  so  far  as  the  matter 
of  such  exceptions  is  concerned,  as  confessed,  or,  at  his 


UNITED  STATES   EQUITY   RULES.  383 

election,  he  may  have  a  writ  of  attachment  to  compel  the 
defendant  to  make  a  better  answer  to  the  matter  of  the 
exceptions ;  and  the  defendant,  when  he  is  in  custody  upon 
such  writ,  shall  not  be  discharged  therefrom  but  by  an 
order  of  the  court,  or  of  a  judge  thereof,  upon  his  putting  in 
such  answer,  and  complying  with  such  other  terms  as  the 
court  or  judge  may  direct. 

Rule  65.  [Costs  on  overruling  answer.]  If,  upon  argu- 
ment, the  plaintiff's  exceptions  to  the  answer  shall  be  over- 
ruled, or  the  answer  shall  be  adjudged  insufficient,  the  pre- 
vailing party  shall  be  entitled  to  all  the  costs  occasioned 
thereby,  unless  otherwise  directed  by  the  court,  or  the  judge 
thereof,  at  the  hearing  upon  the  exceptions. 

REPLICATION    AND    ISSUE. 

Rule  66.  [General  replication  when  filed.]  Whenever 
the  answer  of  the  defendant  shall  not  be  excepted  to,  or 
shall  be  adjudged  or  deemed  sufficient,  the  plaintiff  shall 
file  the  general  replication  thereto  on  or  before  the  next 
succeeding  rule-day  thereafter;  and  in  all  cases  where  the 
general  replication  is  filed,  the  cause  shall  be  deemed,  to  all 
intents  and  purposes,  at  issue,  without  any  rejoinder  or 
other  pleading  on  either  side.  If  the  plaintiff  shall  omit  or 
refuse  to  file  such  replication  within  the  prescribed  period, 
the  defendant  shall  be  entitled  to  an  order,  as  of  course,  for 
a  dismissal  of  the  suit; and  the  suit  shall  thereupon  stand 
dismissed,  unless  the  court,  or  a  judge  thereof,  shall,  upon 
motion,  for  cause  shown,  allow  a  replication  to  be  filed  nunc 
pro  tunc,  the  plaintiff  submitting  to  speed  the  cause,  and  to 
such  other  terms  as  may  be  directed. 

TESTIMONY — HOW   TAKEN. 

Rule  67.  [Commissions  to  take  testimony.]  After  the 
cause  is  at  issue,  commissions  to  take  testimony  may  be 
taken  out  in  vacation  as  well  as  in  term,  jointly  by  both 


384  UNITED  STATES   EQUITY   RULES. 

parties,  or  severally  by  either  party,  upon  interrogatories 
filed  by  the  party  taking  out  the  same  in  the  clerk's  office, 
ten  days'  notice  thereqf  being  given  to  the  adverse  party 
to  file  cross-interrogatories  before  the  issuing  of  the  com- 
mission; and  if  no  cross-interragatories  are  filed  at  the  ex- 
piration of  the  time  the  commission  may  issue  ex  parte. 
In  all  cases  the  commissioner  or  commissioners  may  be 
named  by  the  court  or  by  a  judge  thereof;  and  the  presiding 
judge  of  the  court  exercising  jurisdiction  may,  either  in 
term  time  or  in  vacation,  vest  in  the  clerk  of  the  court 
general  power  to  name  commissioners  to  take  testimony. 

[Testimony  may  be  taken  orally.]  Either  party  may 
give  notice  to  the  other  that  he  desires  the  evidence  to  be 
adduced  in  the  cause  to  be  taken  orally,  and  thereupon  all 
the  witnesses  to  be  examined  shall  be  examined  before  one 
of  the  examiners  of  the  court,  or  before  an  examiner  to  be 
specially  appointed  by  the  court.  The  examiner,  if  he  so 
request,  shall  be  furnished  with  a  copy  of  the    pleadings. 

[Cross-examination.]  Such  examination  shall  take  place 
in  the  presence  of  the  parties  or  their  agents,  by  their  coimsel 
or  solicitors,  and  the  witnesses  shall  be  subject  to  cross-ex- 
amination and  re-examination,  all  of  which  shall  be  con- 
ducted as  near  as  may  be  in  the  mode  now  used  in  common- 
law  courts. 

[Depositions  reduced  to  writing.]  The  depositions  taken 
upon  such  oral  examination  shall  be  reduced  to  writing  by 
the  examiner,  in  the  form  of  question  put  and  answer  given ; 
provided,  that,  by  consent  of  parties,  the  examiner  may  take 
down  the  testimony  of  any  witness  in  the  form  of  narrative. 

[Stenographer  may  be  employed.]  At  the  request  of 
either  party,  with  reasonable  notice,  the  deposition  of  any 
witness  shall,  under  the  direction  of  the  examiner,  be  taken 
down  either  by  a  skillful  stenographer  or  by  a  skillful  type- 
writer, as  the  examiner  may  elect,  and  when  taken  steno- 


UNITED  STATES    EQUITY    RULES.  385 

graphically  shall  be  put  into  typewriting  or  other  writing ; 
provided,  that  such  stenographer  or  typewriter  has  been 
appointed  by  the  court,  or  is  approved  by  both  parties. 

[Testimony  signed  by  witness.]  The  testimony  of  each 
witness,  after  such  reduction  to  writing,  shall  be  read  over 
to  him  and  signed  by  him  in  the  presence  of  the  examiner 
and  of  such  of  the  parties  or  counsel  as  may  attend ;  provided 
that  if  the  witness  shall  refuse  to  sign  his  deposition  so  taken, 
then  the  examiner  shall  sign  the  same,  stating  upon  the 
record  the  reasons,  if  any,  assigned  by  the  witness  for  such 
refusal. 

[Competency  of  evidence  not;passed]on  by  examiner.]  The 

examiner  may,  upon  all  examinations,  state  any  special  mat- 
ters to  the  cotirt  as  he  shall  think  fit;  and  any  question  or 
questions  which  may  be  objected  to  shall  be  noted  by  the 
examiner  upon  the  deposition,  but  he  shall  not  have  power 
to  decide  on  the  competency,  materiality,  or  relevancy,  of 
the  questions ;  and  the  court  shall  have  power  to  deal  with 
the  costs  of  incompetent,  immaterial,  or  irrelevant  deposi- 
tions, or  parts  of  them,  as  may  be  just. 

[Refusal  of  witnesses  to  attend.]  In  case  of  refusal  of  wit- 
nesses; to:  attend,  to  be  sworn,  or  to  answer  any  question  put 
by  the  examiner,  or  by  coimsel  or  solicitor,  the  same  practice 
shall  be  adopted  is  as  now  practiced  with  respect  to  witnesses 
to  be  produced  on  examination  before  an  examiner  of  said 
court  on  written  interrogatories. 

[Notice  of  examination.]  Notice  shall  be  given  by  the 
respective  counsel  or  solicitors  to  the  opposite  counsel  or 
solicitors,  or  parties,  of  the  time  and  place  of  the  examination 
for  such  reasonable  time  as  the  examiner  may  fix  by  order 
in  each  case. 

[Depositions  transmitted  to  clerlf.]  When  the  examina- 
tion of  witnesses  before  the  examiner  is  concluded,  the  origi- 
nal depositiqns,  authenticated  by  the  signature  of  the  ex- 


386  UNITED  STATES   EQUITY  RULES. 

aminer,  shall  be  transmitted  by  him  to  the  clerk  of  the  court, 
to  be  there  filed  of  record,  in  the  same  mode  as  prescribed 
in  section  865  of  the  Revised  Statutes. 

[Testimony  by  written  interrogatories.]  Testimony  may 
be  taken  on  commission  in  the  usual  way,  by  written  in- 
terrogatories and  cross-interrogatories,  on  motion  to  the 
court  in  term  time,  or  to  a  judge  in  vacation,  for  special 
reasons,  satisfactory  to  the  court  or  judge. 

[Time  for  talcing  testimony  assigned  by  court.]  Where 
the  evidence  to  be  adduced  in  a  cause  is  to  be  taken  orally 
as  before  provided,  the  court  may,  on  motion  of  either 
party,  assign  a  time  within  which  the  complainant  shall 
take  his  evidence  in  support  of  the  bill,  and  a  time  thereafter 
within  which  the  defendant  shall  take  his  evidence  in  de- 
fense, and  a  time  thereafter  within  which  the  complainant 
shall  take  his  evidence  in  reply;  and  no  further  evidence 
shall  be  taken  in  the  cause,  unless  by  agreement  of  the  parties 
or  by"  leave  of  court  first  obtained  on  motion  for  cause 
shown. 

[Expenses  of  depositions.]  The  expense  of  the  taking  down 
of  depositions  by  a  stenographer  and  of  putting  them  into 
typewriting  or  other  writing  shall  be  paid  in  the  first  in- 
stance by  the  party  calling  the  witness,  and  shall  be  imposed 
by  the  court,  as  part  of  the  costs,  upon  such  party  as  the 
court  shall  adjudge  should  ultimately  bear  them. 

[Evidence  in  open  court.]  Upon  due  notice  given  as  pre- 
scribed by  previous  order,  the  court  may,  at  its  discretion 
permit  the  whole,  or  any  specific  part,  of  the  evidence  to  be 
adduced  orally  in  open  court  on  final  hearing. 

Rule  68.    [Deposition   according   to    Act  of  Congress.] 

Testimony  may  also  be  taken  in  the  cause,  after  it  is  at 
issue,  by  deposition,  according  to  the  act  of  Congress.  But 
in  such  case,  if  no  notice  is  given  to  the  adverse  party  of  the 
time  and  place  of  taking  the  deposition,  he  shall,  upon  mo- 


UNITED  STATES   EQUITY   RULES.  387 

tion  and  affidavit  of  the  fact,  be  entitled  to  a  cross-examina- 
tion of  the  witness,  either  under  a  commission  or  by  a  new 
deposition  taken  under  the  acts  of  Congress,  if  a  court  or 
judge  thereof  shall,  under  all  the  circumstances,  deem  it 
reasonable. 

See  Sec.  865-870  Revised  S.  of  U.  S.  as  to  modes  of  taking  deposi- 
tions. By  act  of  March  9th,  1892,  state  law  as  to  taking  depositions 
maybe  followed.     2  Supp.  to  R.  S.  of  U.  S.,  4. 

Rule  69.   [Time  for  taking  testimony  after  cause  at  issue.] 

Three  months,  and  no  more,  shall  be  allowed  for  the  taking 
of  testimony  after  the  cause  is  at  issue,  unless  the  court,  or  a 
judge  thereof,  shall,  upon  special  cause  shown  by  either 
party,  enlarge  the  time ;  and  no  testimony  taken  after  such 
period  shall  be  allowed  to  be  read  in  evidence  at  the  hearing. 
Immediately  upon  the  return  of  the  commissions  and  deposi- 
tions containing  the  testimony  into  the  clerk's  office,  publica- 
tion thereof  may  be  ordered  in  the  clerk's  office,  by  any 
judge  of  the  court,  upon  due  notice  to  the  parties,  or  it  may 
be  enlarged,  as  he  may  deem  reasonable,  imder  all  the  cir- 
cimistances ;  but,  by  consent  of  the  parties,  publication  of 
the  testimony  may  at  any  time  pass  into  the  clerk's,  office 
such  consent  being  in  writing,  and  a  copy  thereof  entered 
in  the  order-books,  or  indorsed  upon  the  deposition  or 
testimony. 

TESTIMONY  DE  BENE  ESSE. 

Rule  70.  [Conmiission  to  take  testimony  de  bene  esse 
may  issue.]  After  any  bill  filed  and  before  the  defendant 
hath  answered  the  same,  upon  affidavit  made  that  any  of 
the  plaintiff's  witnesses  are  aged  and  infirm,  or  going  out 
of  the  country,  or  that  any  one  of  them  is  a  single  witness  to 
a  material  fact,  the  clerk  of  the  court  shall,  as  of  course,  upon 
the  application  of  the  plaintiff,  issue  a  commission  to  such 
commissioner  or  commissioners  as  a  judge  of  the  court  may 
direct,  to  take  the  examination  of  such  witness  or  witnesses 


388  UNITED   STATES    EQUITY   RULES. 

de  bene  esse,  upon  giving  due  notice  to  the  adverse  party  of 
the  time  and  place  of  taking  his  testimony. 

FORM  OF  THE  LAST  INTERROGATORY. 

Rule  71.  [Form  of  written  interrogatory,]  The  last 
interrogatory  in  the  written  interrogatories  to  take  testimony 
now  commonly  in  use  shall  in  the  future  be  altered  and 
stated  in  substance  thus:  "Do  you  know,  or^can  you  set 
forth,  any  other  matter  or  thing  which  may  be  a  benefit  or 
advantage  to  the  parties  at  issue  in  this  cause,  or  either  of 
them,  or  that  may  be  material  to  the  subject  of  this  your 
examination,  or  the  matters  in  question  in  this  cause?" 
If  yea,  set  forth  the  same  fully  and  at  large  in  your  answer." 

CROSS-BILL. 

Rule  72.  [Answer  to  original  bill  before  answer  to  cross 
bill.]  Where  a  defendant  in  equity  files  a  cross-bill  for  dis- 
covery only  against  the  plaintiff  in  the  original  bill,  the  de- 
fendant to  the  original  bill  shall  first  answer  thereto  before 
the  original  plaintiff  shall  be  compellable  to  answer  the  cross- 
bill. The  answer  of  the  original  plaintiff  to  such  cross-bill 
may  be  read  and  used  by  the  party  filing  the  cross-bill  at 
the  hearing,  in  the  same  manner  and  under  the  same 
restrictions  as  the  answer  praying  relief  may  now  be  read 
and  used. 

REFERENCE  TO  AND  PROCEEDINGS  BEFORE  MASTERS. 

Rule  73.  [What  decree  for  account  to  contain.]  Every 
decree  for  an  account  of  the  personal  estate  of  a  testator  or 
intestate  shall  contain  a  direction  to  the  master  to  whom 
it  is  referred  to  take  the  same  to  inquire  and  state  to  the  court 
what  parts,  if  any,  of  such  personal  estate  are  outstanding  or 
undisposed  of,  unless  the  court  shall  otherwise  direct. 

Rule  74.  [When  matter  presented  to  master.]  Whenever 
any  reference  of  any  matter  is  made  to  a  master  to  examine 


UNITED  STATES   EQUITY   RULES.  389 

and  report  thereon,  the  party  at  whose  instance  or  for 
whose  benefit  the  reference  is  made  shall  cause  the  same  to  be 
presented  to  the  master  for  a  hearing  on  or  before  the  next 
rule-day  succeeding  the  time  when  the  reference  was  made ; 
if  he  shall  omit  to  do  so,  the  adverse  party  shall  be  at  liberty 
forthwith  to  cause  proceedings  to  he  had  before  the  mastisr, 
at  the  costs  of  the  party  procuring  the  reference. 

Rule  75.  [Duty  of  Master  to  hear  expeditiously.]  Upon 
every  such  reference,  it  shall  be  the  duty  of  the  master,  as 
soon  as  he  reasonably  can  after  the  same  is  brought  before 
him,  to  assign  a  time  and  place  for  proceedings  in  the  same, 
and  to  give  due  notice  thereof  to  each  of  the  parties,  or  their 
solicitors ;  and  if  either  party  shall  fail  to  appear  at  the  time 
and  place  appointed,  the  master  shall  be  at  liberty  to  pro- 
ceed ex  parte,  or,  in  his  discretion,  to  adjourn  the  examina- 
tion and  proceedings  to  a  future  day,  giving  notice  to  the  ab- 
sent party  or  his  solicitor  of  such  adjournment ;  and  it  shall 
be  the  duty  of  the  master  to  proceed  with  all  reasonable 
diligence  in  every  such  reference,  and  with  the  least  practi- 
cable delay,  and  either  party  shall  be  at  liberty  to  apply 
to  the  court,  or  a  judge  thereof,  for  an  order  to  the  master 
to  speed  the  proceedings  and  to  make  his  report,  and  to 
certify  to  the  court  or  judge  the  reason  for  any  delay. 

Rule  76.  [What  Master's  report  to  contain.]  In  the  re- 
ports made  by  the  master  to  the  coiut,  no  part  of  any  state 
of  facts,  charge,  affidavit,  deposition,  examination  or  answer 
brought  in  or  used  before  them  shall  be  stated  or  recited. 
But  such  state  of  facts,  charge,  affidavit,  deposition,  ex- 
amination, or  answer  shall  be  identified,  specified,  and  re- 
ferred to,  so  as  to  inform  the  court  what  state  of  facts,  charge, 
affidavit,  deposition,  examination,  or  answer  were  so  brought 
in  or  used. 

Rule  77.  [Hearing  before  Master.]  The  master  shall 
regulate  all  the  proceedings  in  every  hearing  before  him. 


390  UNITED  STATES   EQUITY  RULES. 

Upon  every  such  reference ;  and  he  shall  have  full  authority 
to  examine  the  parties  in  the  cause,  upon  oath,  touching 
all  matters  contained  in  the  reference;  and  also  to  require 
the  production  of  all  books,  papers,  writings,  vouchers,  and 
other  documents,  applicable  thereto;  and  also  to  examine 
on  oath,  viva  voce^  all  witnesses  produced  by  the  parties 
before  him,  and  to  order  the  examination  of  other  witnesses 
to  be  taken,  under  a  commission  to  be  issued  upon  his  cer- 
tificate from  the  clerk's  office  or  by  deposition,  according  to 
the  act  of  Congress,  or  otherwise,  as  hereinafter  provided; 
and  also  to  direct  the  mode  in  which  the  matters  requiring 
evidence  shall  be  proved  before  him;  and  generally  to  do 
all  other  acts,  and  direct  all  other  inquiries  and  proceedings 
in  the  matters  before  him, which  he  may. deem  necessary 
and  proper  to  the  justice  and  merits  thereof  and  the  rights 
of   the    parties. 

Rule   78.    [Witnesses  before  Master — how  summoned.] 

Witnesses  who  live  within  the  district  may,  upon  due  notice 
to  the  opposite  party,  be  simimoned  to  appear  before  the 
commissioner  appointed  to  take  testimony,  or  before  a  mas- 
ter or  examiner  appointed  in  any  cause,  by  subpoena  in  the 
usual  form,  which  may  be  issued  by  the  clerk  in  blank,  and 
filled  up  by  the  party  praying  the  sariie,  or  by  the  commis- 
sioner, master,  or  examiner,  requiring  the  attendance  of  the 
witnesses  at  the  time  and  place  specified,  who  shall  be  allowed 
for  attendance  the  same  compensation  as  for  attendance 
in  court;  and  if  any  witness  shall  refuse  to  appear  or  give 
evidence  it  shall  be  deemed  a  contempt  of  the  court,  which 
being  certified  to  the  clerk's  office  by  the  commissioner, 
master,  or  examiner,  an  attachment  may  issue  thereupon 
by  order  of  the  court  or  of  any  judge  thereof,  in  the  same 
manner  as  if  the  contempt  were  for  not  attending,  or  for  re- 
fusing to  give  testimony  in  the  court.  But  nothing  herein 
contained  shall  prevent  the  examination  of  witnesses  viva 


UNITED  STATES   EQUITY   RULES.  391 

voce  when  produced  in  open  court,  if  the  court  shall,  in  it 
discretion,  deem  it  advisable. 

Rule  79.  [Account,  how  taken.]  All  parties  accounting 
before  a  master  shall  bring  in  their  respective  accoimts  in 
the  form  of  debtor  and  creditor ;  and  any  of  the  other  par- 
ties who  shall  not  be  satisfied  with  the  account  so  brought 
in  shall  be  at  liberty  to  examine  the  accounting  party  viva 
voce,  or  upon  interrogatories,  in  the  master's  office,  or  by 
deposition,   as  the  master   shall   direct. 

Rule  80.  [Evidence  previously  taken  to  be  used  before 
the  Master.]  All  affidavits,  depositions,  and  documents 
which  have  been  previously  made,  read,  or  used  in  the  cotu*t 
upon  any  proceeding  in  any  cause  or  matter  may  be  used 
before  the  master. 

Rule  81.  [Evidence — how  taken.]  The  master  shall  be 
at  liberty  to  examine  any  creditor  or  other  person  coming 
in  to  claim  before  him,  either  upon  written  interrogatories 
or  viva  voce,  or  in  both  modes,  as  the  nature  of  the  case  may 
appear  to  him  to  require.  The  evidence  upon  such  exami- 
nations shall  be  taken  down  by  the  master,  or  by  some  other 
person  by  his  order  and  in  his  presence,  if  either  party  re- 
quires it,  in  order  that  the  same  may  be  used  by  the  court 
if  necessary. 

Rule  82.    [Appointment  of  Masters  in  Chancery.]     The 

Circuit  Courts  may  appoint  standing  masters  in  chancery 
in  their  respective  districts  (a  majority  of  all  the  judges 
thereof,  including  the  justice  of  the  Supreme  Court,  the  cir 
cuit  judges,  and  the  district  judge  for  the  district,  concur- 
ring in  the  appointment),  and  they  may  also  appoint  a  mas- 
ter pro  hac  vice  in  any  particular  case.  The  compensation 
to  be  allowed  to  every  master  m  chancery  for  his  services 
in  any  particular  case  shall  be  iixed  by  the  circuit  court, 
in  its  discretion,  having  regard  to  all  the  circumstances 
thereof,  and  the  compensation  shall  be  charged  upon  and 


392  UNITED  STATES   EQUITY   RULES. 

borne  by  such  of  the  parties  in  the  cause  as  the  court  shall 
direct.  The  master  shall  not  retain  his  report  as  security 
for  his  compensation ;  but  when  the  compensation  is  allowed 
by  the  court,  he  shall  be  entitled  to  an  attachment  for  the 
amount  against  the  party  who  is  ordered  to  pay  the  same,  if, 
upon  notice  thereof,  he  does  not  pay  it  within  the  time  pre- 
scribed by  the  court. 

EXCEPTIONS  TO  REPORT  OF  MASTER. 

Rule  83.    [Return  of  Masters  report — exceptions.]    The 

master,  as  soon  as  his  report  is  ready,  shall  return  the  same 
into  the  clerk's  office,  and  the  day  of  the  return  shall  be 
entered  by  the  clerk  in  the  order  book.  The  parties  shall 
have  one  month  from  the  time  of  filing  the  report  to  file  ex- 
ceptions thereto;  and,  if  no  exceptions  are  within  that  period 
filed  by  either  party,  the  report  shall  stand  confirmed  on 
the  next  rule-day  after  the  month  is  expired.  If  exceptions 
are  filed,  they  shall  stand  for  hearing  before  the  coiut,  if  the 
court,  is  then  in  session ;  or,  if  not,  then  at  the  next  sitting 
of  the  court  which  shall  be  held  thereafter,  by  adjournment 
or  otherwise. 

Rule  84.  [Costs  on  overruling  exceptions.]  And,  in 
order  to  prevent  exceptions  to  reports  from  being  filed  for 
frivolous  causes,  or  for  mere  delay,  the  party  whose  excep- 
tions are  overruled  shall,  for  every  exception  overruled,  pay 
costs  to  the  other  party,  and  for  every  exception  allowed 
shall  be  entitled  to  costs;  the  cost  to  be  fixed  in  each  case 
by  the  coiu-t,  by  a  standing  rule  of  the  Circuit  Court. 

DECREES. 

Rule  85.  [Correcting  decrees.]  Clerical  mistakes  in  de- 
crees or  decretal  orders,  or  errors  arising  from  any  accidental 
slip  or  omission,  may,  at  any  time  before  an  actual  enroll- 
ment thereof,  be  corrected  by  order  of  the  court  or  a  judge 


UNITED  STATES   EQUITY   RULES.  393 

thereof,  upon  petition,  without  the  form  or  expense  of  a 
rehearing. 

Rule  86.  [Form  of  decrees.]  In  drawing  up  decree 
and  orders,  neither  the  bill,  nor  answer,  nor  other  pleadings 
nor  any  part  thereof,  nor  the  report  of  any  master,  nor  any 
other  prior  proceeding,  shall  be  recited  or  stated  in  the  de- 
cree or  order ;  but  the  decree  and  order  shall  begin,  in  sub- 
stance, as  follows:  "This  cause  came  on  to  be  heard  (or  to 
be  further  heard,  as  the  case  may  be)  at  this  term,  and  was 
argued  by  counsel ;  and  thereupon,  upon  consideration  there- 
of, it  was  ordered,  adjudged,  and  decreed  as  follows,  viz:" 
[Here  insert  the  decree  or  order.] 

GUARDIANS  AND  PROCHEIN  AMIS. 

Rule  87.  [Appointment  of  guardians..]  Guardians  ad 
litem  to  defend  a  suit  may  be  appointed  by  the  court,  or  by 
any  judge  thereof,  for  infants  or  other  persons  who  are  under 
guardianship,  or  otherwise  incapable  to  sue  for  themselves. 
All  infants  and  other  persons  so  incapable  may  sue  by  their 
guardians,  if  any,  or  by  their  prochein  ami ;  subject,  however, 
to  such  orders  as  the  court  may  direct  for  the  protection 
of  infants  and  other  persons. 

Rule  88.  [Petition  for  reliearing — verification.]  Every 
petition  for  a  rehearing  shall  contain  the  special  matter 
or  cause  on  which  such  rehearing  is  applied  for,  shall  be 
signed  by  counsel,  and  the  facts  therein  stated,  if  not  appar- 
ent on  the  record,  shall  be  verified  by  the  oath  of  the  party  or 
by  some  other  person.  No  hearing  shall  be  granted  after 
the  term  at  \vhich  the  final  decree  of  the  court  shall  have 
been  entered  and  recorded,  if  an  appeal  lies  to  the  Supreme 
Coiu*t.  But  if  no  appeal  lies,  the  petition  may  be  admitted 
at  any  time  before  the  end  of  the  next  term  of  the  court,  in 
the  discretion  of  the  court. 

Rule  89.    [Rules  in  several  circuits.]    The  circuit  courts 


394  UNITED  STATES   EQUITY   RULES. 

(a  majority  of  all  the  judges  thereof,  including  the  justice 
of  the  Supreme  Court,  the  circuit  judges,  and  the  district 
judge  for  the  district,  cor.  ?urring  therein)  may  make  any 
other  and  further  rules  and  regulations  for  the  practice, 
proceedings,  and  process,  mesne  and  final,  in  their  respect- 
ive districts,  not  inconsistent  with  the  rules  hereby  pre- 
scribed, in  their  discretion,  and  from  time  to  time  alter  and 
amend  the  same. 

Rule  90.    [English  chancery  practice  to  govern.]    In  all 

cases  where  the  rules  prescribed  by  this  court  or  by  the  cir- 
cuit court  do  not  apply,  the  practice  of  the  circuit  court 
shall  be  regulated  by  the  present  practice  of  the  high  court 
of  chancery  in  England,  so  far  as  the  same  may  reasonably 
be  applied  consistently  with  the  local  circumstances  and 
local  conveniences  of  the  district  where  the  court  is  held, 
not  as  positive  rules,  but  as  ftimishing  just  analogies  to 
regulate  the  practice. 

Rule  91.  [Oath  or  affirmation.]  Whenever,  under  these 
rules,  an  oath  is  or  may  be  required  to  be  taken,  the  party 
may,  if  conscientiously  scrupulous  of  taking  an  oath,  in  lieu 
thereof  make  solemn  affirmation  to  the  truth  of  the  facts 
stated  by  him. 

Rule  92.  [Deficiency  decree.]  Ordered,  December  term, 
1863,  That  in  suits  in  equity  for  the  foreclosin"e  of  mort- 
gages in  the  Circuit  Courts  of  the  United  States,  or  in  any 
court  of  the  Territories  having  jurisdiction  of  the  same,  a 
decree  may  be  rendered  for  any  balance  that  may  be  foimd 
due  to  the  complainant  over  and  above  the  proceeds  of  the 
sale  or  sales,  and  execution  may  issue  for  the  collection  of 
the  same,  as  is  provided,  in  the  eight  rule  of  this  court  regu- 
lating the  equity  practice  where  the  decree  is  solely  for  the 
payment  of  money. 


UNITED  STATES   EQUITY   RULES.  395 

INJUNCTIONS. 

Riile   93.     October   Term,    1878.     [Injunction  pending 

appeal.]  When  an  appeal  from  a  final  decree,  in  an  equity 
suit,  granting  or  dissolving  an  injunction,  is  allowed  by  a 
justice  or  judge  who  took  part  in  the  decision  of  the  cause, 
he  may,  in  his  discretion,  at  the  time  of  such  allowance, 
make  an  order  suspending  or  modifying  the  injimction  dur- 
ing the  pendency  of  the  appeal,  upon  such  terms,  as  to  bond 
or  otherwise,  as  he  may  consider  proper  for  the  security 
of  the  rights  of  the  opposite  party. 

Rule  94.     October  Term,  1881.     [Bill  by  stockholder  of 

corporation.]  Every  bill  brought  by  one  or  more  stock- 
holders in  a  corporation  against  the  corporation  and  other 
parties,  foimded  on  rights  which  may  properly  be  asserted 
by  the  corporation,  must  be  verified  by  oath,  and  must 
contain  an  allegation  that  the  plaintiff  was  a  shareholder  at 
the  time  of  the  transaction  of  which  he  complains,  or  that 
his  share  had  devolved  on  him  since  by  operation  of  law, 
and  that  the  suit  is  not  a  collusive  one  to  confer  on  a  court 
of  the  United  States  jurisdiction  of  a  case  of  which  it  would 
not  otherwise  have  cognizance.  It  must  also  set  forth  with 
particularity  the  efforts  of  the  plaintiff  to  secure  such  action 
as  he  desires  on  the  part  of  the  managing  directors  or  trus- 
tees, and,  if  necessary,  of  the  shareholders,  and  the  causes 
of  his  failure  to  obtain  such  action. 

The  folloiving  provisions  relating  to  equity  practice  are  to 
be  found  in  the  Act  of  ist  of  June,  1872: 

Sec.  7.  [Granting  injunction  on  motion.]  That  whenever 
notice  is  given  of  a  motion  for  an  injimction  out  of  a 
Circuit  or  District  Cotut  of  the  United  States,  the  court 
or  judge  thereof  may,  if  there  appear  to  be  danger  of  irrep- 
arable injury  from  delay,  grant  an  order  restraining  the  act 
sought  to  be  enjoined  until  the  decision  upon  the  motion. 
Such  order  may  be  granted  with  or  without  security,  in 


396  UNITED  STATES   EQUITY   RULES. 

the  discretion  of  the  court  or  judge:  Provided  That  no 
justice  of  the  Supreme  Court  shall  hear  or  allow  any  appli- 
cation for  an  injunction  or  restraining  order  except  within 
the  circuit  to  which  he  is  allotted,  and  in  causes  pending 
in  the  circuit  to  which  he  is  allotted,  or  in  such  causes  at 
such  place  outside  of  the  circuit  as  the  parties  may  in  writ- 
ing stipulate,  except  in  causes  where  such  application  can 
not  be  heard  by  the  circuit  judge  of  the  circuit,  or  the  dis- 
trict judge  of  the  district. 

Sec.  13.  [Bringing  in  absent  defendants.]  That  when 
in  any  suit  in  equity,  commenced  in  any  court  in  the  United 
States,  to  enforce  any  legal  or  equitable  lien  or  claim  against 
real  or  personal  property  within  the  district  where  such 
suit  is  brought,  one  or  more  of  the  defendants  therein  shall 
not  be  an  inhabitant  of  or  found  within  the  said  district, 
or  shall  not  voluntarily  appear  thereto,  it  shall  be  lawful 
for  the  court  to  make  an  order  directing  such  absent  defend- 
ant to  appear,  plead,  answer,  or  demiu*  to  the  complainant's 
bill  at  a  certain  day  therein  to  be  designated,  which  order 
shall  be  served  on  such  absent  defendant,  if  practicable, 
wherever  found ;  or  where  such  personal  service  is  not  practi- 
cable, such  order  shall  be  published  in  such  a  manner  as 
the  court  shall  direct;  and  in  case  such  absent  defendant 
shall  not  appear,  plead,  answer,  or  demur  within  the  time 
so  limited,  or  within  some  further  time  to  be  allowed  by  the 
court,  in  its  discretion,  and  upon  proof  of  the  service  or 
publication  of  such  order,  and  of  the  performance  of  the 
directions  contained  in  the  same,  it  shall  be  lawful,  for  the 
court  to  entertain  jurisdiction,  and  proceed  to  the  hearing 
and  adjudication  of  such  suit  in  the  same  manner  as  if  such 
absent  defendant  had  been  served  with  process  within  the 
said  district;  but  such  adjudication  shall,  as  regards  such 
absent  defendant  without  appearance,  affect  his  property 
within  such  district  only. 


AMENDMENT  TO  THE  LAW  OF  JULY  i,  A.  D. 

1898-PASSED  FEBRUARY  5, 

A.  D.  1903. 


AN  ACT  to  amend  an  Act  entitled  "An  Act  to  establish  a  uniform 
system  of  bankruptcy  throughout  the  United  States,"  approved 
Jvily  first,  eighteen  hundred  and  ninety-eight. 

Be  it  enacted  by  the  Senate  and  House  of  Representatives  of 
the  United  States  of  America  in  Congress  assembled,  That 
clause  five  of  section  two  of  said  Act  be,  and  the  same  is 
hereby,  amended  so  as  to  read  as  follows : 

"  (5)  Authorize  the  business  of  bankrupts  to  be  con- 
ducted for  limited  periods  by  receivers,  the  marshals,  or 
trustees,  if  necessary  in  the  best  interests  of  the  estates  and 
allow  such  officers  additional  compensation  for  such  serv- 
ices, but  not  at  a  greater  rate  than  in  this  Act  allowed  trus- 
tees for  similar  services;" 

Sec.  2.  That  clause  four,  subdivision  a,  of  section  three 
of  said  Act,  be,  and  the  same  is  hereby,  amended  so  as  to 
read  as  follows : 

"  or  (4)  made  a  general  assignment  for  the  benefit  of  his 
creditors,  or,  being  insolvent,  applied  for  a  receiver  or 
trustee  for  his  property  or  because  of  insolvency  a  receiver 
or  trustee  has  been  put  in  charge  of  his  property  imder  the 
laws  of  a  State,  of  a  Territory,  or  of  the  United  States." 

Sec.  3.  That  subdivision  b  of  section  four  of  said  Act  be, 
and  the  same  is  hereby,  amended  so  as  to  read  as  follows : 

"b  Any  natural  person,  except  a  wage-earner,  or  a  per- 
son engaged  chiefly  in  farming  or  the  tillage  of  the  soil,  any 
unincorporated  company,  and   any    corporation,  engaged 
397 


398  AMENDMENTS    OF    1903. 

principally  in  manufacturing,  trading,  printing,  publishing, 
mining,  or  mercantile  pursuits,  owing  debts  to  the  amoimt 
of  one  thousand  dollars  or  over,  may  be  adjudged  an  in- 
voluntary bankrupt  upon  default  or  an  impartial  trial,  and 
shall  be  subject  to  the  provisions  and  entitled  to  the  bene- 
fits of  this  Act.  Private  bankers,  but  not  national  banks 
or  banks  incorporated  under  State  or  Territorial  laws,  may 
be  adjudged  involuntary  bankrupts. 

"The  bankruptcy  of  a  corporation  shall  not  release  its 
officers,  directors,  or  stockholders,  as  such,  from  any  lia- 
bility under  the  laws  of  a  State  or  Territory  or  of  the 
United  States." 

Sec.  4.  That  subdivision  b  of  section  fourteen  of  said 
Act  be,  and  the  same  is  hereby,  amended  so  as  to  read  as 
follows : 

"b  The  judge  shall  hear  the  application  for  a  discharge, 
and  such  proofs  and  pleas  as  may  be  made  in  opposition 
thereto  by  parties  in  interest,  at  such  time  as  will  give 
parties  in  interest  a  reasonable  opportunity  to  be  fully 
heard,  and  investigate  the  merits  of  the  application  and  dis- 
charge the  applicant  unless  he  has  (1)  committed  an  offense 
punishable  by  imprisonment  as  herein  provided ;  or  (2)  with 
intent  to  conceal  his  financial  condition,  destroyed,  con- 
cealed, or  failed  to  keep  books  of  account  or  records  from 
which  such  condition  might  be  ascertained ;  or  (3)  obtained 
property  on  credit  from  any  person  upon  a  materially  false 
statement  in  writing  made  to  such  person  for  the  purpose 
of  obtaining  such  property  on  credit ;  or  (4)  at  any  time  sub- 
sequent to  the  first  day  of  the  four  months  immediately 
preceding  the  filing  of  the  petition  transferred,  removed,  de- 
stroyed, or  concealed,  or  permitted  to  be  removed,  de- 
stroyed, or  concealed  any  of  his  property  with  intent  to 

Note.  See  post  the  Report  of  the  Judiciary  Committee  of  the  House 
concerning  this  amendment. 


AMENDMENTS    OF   1903.  399 

hinder,  delay,  or  defraud  his  creditors;  or  (5)  in  voluntary 
proceedings  been  granted  a  discharge  in  bankruptcy  within 
six  years;  or  (6)  in  the  course  of  the  proceedings  in  bank- 
ruptcy refused  to  obey  any  lawful  order  of  or  to  answer  any 
material  question  approved  by  the  court." 

Sec.  5.  That  section  seventeen  of  said  Act,  be,  and  the 
same  is  hereby  amended  so  as  to  read  as  follows : 

"Sec.  17.  Debts  not  Affected  by  a  Discharge. — a  A 
discharge  in  bankruptcy  shall  release  a  bankrupt  from  all  of 
his  provable  debts,  except  such  as  (1)  are  due  as  a  tax 
levied  by  the  United  States,  the  State,  county,  district,  or 
municipality  in  which  he  resides;  (2)  are  liabilities  for  ob- 
taining property  by  false  pretenses  or  false  representations, 
or  for  wilful  and  malicious  injuries  to  the  person  or  prop- 
erty of  another,  or  for  alimony  due  or  to  become  due,  or  for 
maintenance  or  support  of  wife  or  child,  or  for  seduction 
of  an  immarried  female,  or  for  criminal  conversation;  (3) 
have  nat  been  duly  scheduled  in  time  for  proof  and  allow- 
ance, with  the  name  of  the  creditor  if  known  to  the  bank- 
rupt, imless  such  creditor  had  notice  or  actual  knowledge  of 
the  proceedings  in  bankruptcy;  or  (4)  were  created  by  his 
fraud,  embezzlement,  misappropriation,  or  defalcation  while 
acting  as  an  officer  or  in  any  fiduciary  capacity." 

Sec.  6.  That  subdivisions  a  and  b  of  section  eighteen  of 
said  Act  be,  and  the  same  are  hereby,  amended  so  as  to 
read  as  follows : 

"a  Upon  the  filing  of  a  petition  for  involimtary  bank- 
ruptcy, service  thereof,  with  a  writ  of  subpoena,  shall  be 
made  upon  the  person  therein  named  as  defendant  in  the 
same  manner  that  service  of  such  process  is  now  had  upon 
the  commencement  of  a  suit  in  equity  in  the  courts  of  the 
United  States,  except  that  it  shall  be  returnable  within  fif- 
teen days,  unless  the  judge  shall  for  cause  fix  a  longer  time ; 
but  in  case  personal  service  cannot  be  made,  then  notice 


400  AMENDMENTS    OF   1903. 

shall  be  given  by  publication  in  the  same  manner  and  for 
the  same  time  as  provided  by  law  for  notice  by  publication 
in  suits  to  enforce  a  legal  or  equitable  Hen  in  courts  of  the 
United  States,  except  that,  imless  the  judge  shaU  other- 
wise direct,  the  order  shall  be  published  not  more  than  once 
a  week  for  two  consecutive  weeks,  and  the  return  day  shall 
be  ten  days  after  the  last  pubHcation  imless  the  judge  shall 
for  cause  fix  a  longer  time." 

"b  The  bankrupt,  or  any  creditor,  may  appear  and  plead 
to  the  petition  within  five  days  after  the  return  day,  or 
within  such  further  time  as  the  court  may  allow." 

Sec.  7.  That  subdivision  a  of  section  twenty-one  of  said 
Act  ^e,  and  the  same  is  hereby,  amended  so  as  to  read  as 
follows : 

"a  A  court  of  bankruptcy  may,  upon  application  of  any 
officer,  bankrupt,  or  creditor,  by  order  require  any  desig- 
nated person,  including  the  bankrupt  and  his  wife,  to  appear 
in  court  or  before  a  referee  or  the  judge  of  any  State  court, 
to  be  examined  concerning  the  acts,  conduct,  or  property  of 
a  bankrupt  whose  estate  is  in  process  of  administration  imder 
this  Act:  Provided:  That  the  wife  may  be  examined  only 
touching  business  transacted  by  her  or  to  which  she  is  a 
party,  and  to  determine  the  fact  whether  she  has  transacted 
or  been  a  party  to  any  business  of  the  bankrupt." 

Sec.  8.  That  subdivision  b  of  section  twenty-three  of 
said  Act  be,  and  the  same  is  hereby,  amended  so  as  to  read 
as  follows: 

"b  Suits  by  the  trustee  shall  only  be  brought  or  prose- 
cuted in  the  coiirts  where  the  bankrupt,  whose  estate  is 
being  administered  by  such  trustee,  might  have  brought  or 
prosecuted  them  if  proceedings  in  bankruptcy  had  not  been 
instituted,  unless  by  consent  of  the  proposed  defendant, 
except  suits  for  the  recovery  of  property  under  section 


AMENDMENTS    OF   1903.  401 

sixty,  subdivision  b,  and  section  sixty-seven,  subdivision 
e." 

Sec.  9.  That  subdivision  a  of  section  forty  of  said  Act 
be,  and  the  same  is  hereby,  amended  so  as  to  read  as  fol- 
lows : 

"a  Referees  shall  receive  as  full  compensation  for  their 
services,  payable  after  they  are  rendered,  a  fee  of  fifteen 
dollars  deposited  with  the  clerk  at  the  time  the  petition  is 
filed  in  each  case,  except  when  a  fee  is  not  required  from  a 
voluntary  bankrupt,  and  twenty-five  cents  for  every  proof 
of  claim  filed  for  allowance,  to  be  paid  from  the  estate,  if 
any,  as  a  part  of  the  cost  of  administration,  and  from  estates 
which  have  been  administered  before  them  one  per  centum 
commissions  on  all  moneys  disbursed  to  creditors  by  the 
trustee,  or  one-half  of  one  per  centum  on  the  amoimt  to  be 
paid  to  creditors  upon  the  confirmation  of  a  composition." 

Sec.  10.  That  section  forty-seven  is  hereby  amended 
by  adding  thereto  the  following  subdivision: 

"c  The  trustee  shall,  within  thirty  days  after  the  ad- 
judication, file  a  certified  copy  of  the  decree  of  adjudication 
in  the  office  where  conveyances  of  real  estate  are  recorded 
in  every  coimty  where  the  bankrupt  owns  real  estate  not 
exempt  from  execution,  and  pay  the  fee  for  such  filing,  and 
he  shall  receive  a  compensation  of  fifty  cents  for  each  copy 
so  filed,  which,  together  with  the  filing  fee,  shall  be  paid  out 
of  the  estate  of  the  bankrupt  as  a  part  of  the  cost  and  dis- 
bursements of  the  proceedings." 

Sec.  11.  That  subdivision  a  of  section  forty-eight  of  said 
Act  be,  and  the  same  is  hereby,  amended  so  as  to  read  as 
follows : 

"a  Trustees  shall  receive  for  their  services, payable  after 
they  are  rendered,  a  fee  of  five  dollars  deposited  with  the 
clerk  at  the  time  the  petition  is  filed  in  each  case,  except 


402  AMENDMENTS    OF   1903. 

when  a  fee  is  not  required  from  a  voluntary  bankrupt,  and 
from  estates  which  they  have  administered  such  com- 
missions on  all  moneys  disbursed  by  them  as  may  be  allowed 
by  the  courts,  not  to  exceed  six  per  centum  on  the  first  five 
himdred  dollars  or  less,  four  per  centum  on  moneys  in  ex- 
cess of  five  hundred  dollars  and  less  than  fifteen  hundred 
dollars,  two  per  centum  on  moneys  in  excess  of  fifteen 
htmdred  dollars  and  less  than  ten  thousand  dollars,  and  one 
per  centum  on  moneys  in  excess  of  ten  thousand  dollars. 
And  in  case  of  the  confirmation  of  a  composition  after  the 
trustee  has  quaHfied  the  court  may  allow  him,  as  compensa- 
tion, not  to  exceed  one-half  of  one  per  centum  of  the  amount 
to  be  paid  the  creditors  on  such  composition." 

Sec.  12.  That  subdivision  g  of  section  fifty-seven  of  said 
Act  be,  and  the  same  is  hereby,  amended  so  as  to  read  as 
follows : 

"g  The  claims  of  creditors  who  have  received  preferences, 
voidable  under  section  sixty,  subdivision  b,  or  to  whom  con- 
veyances, transfers,  assignments,  or  incumbrances,  void  or 
voidable  imder  section  sixty-seven,  subdivision  e,  have  been 
made  or  given,  shall  not  be  allowed  unless  such  creditors 
shall  surrender  such  preferences,  conveyances,  transfers, 
assignments,  or  incumbrances." 

Sec.  13.  That  subdivisions  a  and  b  of  section  sixty  of 
said  Act  be,  and  the  same  are  hereby,  amended  so  as  to  read 
as  follows: 

**  a  A  person  shall  be  deemed  to  have  given  a  preference  if, 
being  insolvent,  he  has,  within  four  months  before  the  filing 
of  the  petition,  or  after  the  filing  of  the  petition  and  before 
the  adjudication,  procured  or  suffered  a  judgment  to  be 
entered  against  himself  in  favor  of  any  person,  or  made  a 
transfer  of  any  of  his  property,  and  the  effect  of  the  en- 
forcement of  such  judgment  or  transfer  will  be  to  enable 
any  one  of  his  creditors  to  obtain  a  greater  percentage  of  his 


AMENDMENTS    OF    1903.  403 

debt  than  any  other  of  such  creditors  of  the  same  class. 
Where  the  preference  consists  in  a  transfer,  such  period  of 
four  months  shall  not  expire  until  four  months  after  the 
date  of  the  recording  or  registering  of  the  transfer,  if  by  law 
such  recording  or  registering  is  required." 

"b  If  a  bankrupt  shall  have  given  a  preference,  and  the 
person  receiving  it,  or  to  be  benefited  thereby,  or  his  agent 
acting  therein,  shall  have  had  reasonable  cause  to  believe 
that  it  was  intended  thereby  to  give  a  preference,  it  shall  be 
voidable  by  the  trustee,  and  he  may  recover  the  property 
or  its  value  from  such  person.  And,  for  the  purpose  of  such 
recovery,  any  court  of  bankruptcy,  as  hereinbefore  defined, 
and  any  State  court  which  would  have  had  jurisdiction  if 
bankruptcy  had  not  intervened,  shall  have  concurrent 
jurisdiction." 

Sec.  14.  That  clause  two  of  subdivision  b  of  section 
sixty-four  of  said  Act  be,  and  the  same  is  hereby,  amended 
so  as  to  read  as  follows : 

"  (2)  the  filing  fees  paid  by  creditors  in  involuntary  cases, 
and,  where  property  of  the  bankrupt,  transferred  or  con- 
cealed by  him  either  before  or  after  the  filing  of  the  petition, 
shall  have  been  recovered  for  the  benefit  of  the  estate  of  the 
bankrupt  by  the  efforts  and  at  the  expense  of  one  or  more 
creditors,  the  reasonable  expenses  of  such  recovery." 

Sec.  15.  That  subdivision  b  of  section  sixty-five  be,  and 
the  same  is  hereby,  amended  so  as  to  read  as  follows : 

"The  first  dividend  shall  be  declared  within  thirty  days 
after  the  adjudication,  if  the  money  of  the  estate  in  excess 
of  the  amount  necessary  to  pay  the  debts  which  have 
priority  and  such  claims  as  have  not  been,  but  probably  will 
be,  allowed  equals  five  per  centum  or  more  of  such  allowed 
claims.  Dividends  subsequent  to  the  first  shall  be  de- 
clared upon  like  terms  as  the  first  and  as  often  as  the  amount 


404  AMENDMENTS    OF   1903. 

shall  equal  ten  per  centum  or  more  and  upon  closing  the 
estate.  Dividends  may  be  declared  oftener  and  in  smaller 
proportions  if  the  judge  shall  so  order :  Provided:  That  the 
first  dividend  shall  not  include  more  than  fifty  per  centum 
of  the  money  of  the  estate  in  excess  of  the  amount  necessary 
to  pay  the  debts  which  have  priority  and  such  claims  as 
probably  will  be  allowed.  And  provided  further:  That  the 
final  dividend  shall  not  be  declared  within  three  months 
after  the  first  dividend  shall  be  declared." 

Sec.  16.  That  subdivision  e  of  section  sixty-seven  and 
subdivision  e  of  section  seventy  of  said  Act  be,  and  the 
same  are  hereby,  amended  by  adding  at  the  end  of  each 
such  subdivision  the  words : 

"For  the  purpose  of  such  recovery  any  court  of  bank- 
ruptcy as  hereinbefore  defined,  and  any  State  court  which 
would  have  had  jurisdiction  if  bankruptcy  had  not  inter- 
vened, shall  have  concurrent  jurisdiction." 

Sec.  17.  That  said  Act  is  also  amended  by  adding 
thereto  a  new  section,  section  seventy-one,  to  read  as 
follows : 

"Sec.  71.  That  the  clerks  of  the  several  district  courts 
of  the  United  States  shall  prepare  and  keep  in  their  re- 
spective offices  complete  and  convenient  indexes  of  all  peti- 
tions and  discharges  in  bankruptcy  heretofore  or  hereafter 
filed  in  the  said  courts,  and  shall,  when  requested  so  to  do, 
issue  certificates  of  search  certifying  as  to  whether  or  not 
any  such  petitions  or  discharges  have  been  filed;  and  said 
clerks  shall  be  entitled  to  receive  for  such  certificates  the 
same  fees  as  now  allowed  by  law  for  certificates  as  to  judg- 
ments in  said  courts:  Provided:  That  said  bankruptcy 
indexes  and  dockets  shall  at  all  times  be  open  to  inspection 
and  examination  by  all  persons  or  corporations  without  any 
fee  or  charge  therefor." 


AMENDMENTS    OF    1903.  405 

Sec.  18.  That  said  Act  is  also  amended  by  adding 
thereto  a  new  section  as  follows : 

"Sec.  72.  That  neither  the  referee  nor  the  trustee  shall 
in  any  form  or  guise  receive,  nor  shall  the  court  allow  them, 
any  other  or  further  compensation  for  their  services  than 
that  expressly  authorized  and  prescribed  in  this  Act." 

Sec.  19.  That  the  provisions  of  this  amendatory  Act 
shall  not  apply  to  bankruptcy  cases  pending  when  this 
Act  takes  effect,  but  such  cases  shall  be  adjudicated  and 
disposed  of  conformably  to  the  provisions  of  the  said  Act 
of  July  first,  eighteen  hundred  and  ninety-eight. 

Approved,  February  5,  1903. 


406  AMENDMENTS    OF   1903. 


REPORT  OF  THE  JUDICIARY  COMMITTEE  ON 
THE  AMENDMENT  TO  THE  BANKRUPTCY  ACT. 


57th  Congres., )   g^^^^  ^^  Representatives.    [  ^  ^^^ 
ist  Session.    >  '^  '  No.  1698. 

AMENDING  THE  BANKRUPTCY  LAW. 

Mr.  Ray,  from  the  Committee  on  the  Judiciary,  submitted 
the  following 

RBPORT. 

The  Committee  on  the  Judiciary,  to  which  was  referred 
the  bill  (H.  R.  13,679)  amending  the  bankruptcy  law,  has 
carefully  considered  the  same  and  reports  the  bill  back 
with  the  recommendation  that  it  pass. 

There  have  been  laid  before  the  committee  resolutions 
and  commtmications  from  more  than  20,000  manufactur- 
ing and  producing  industries,  merchants,  wholesale  and  re- 
tail ;  credit  men's  and  other  business  associations,  lawyers, 
judges,  and  business  men  generally,  representing  whole- 
sale and  retail  dealers,  emphatically  approving  the  law, 
asking  its  retention,  and  approving  the  amendments  sug- 
gested  by   this  bill. 

Of  all  commimications  received  on  the  subject  less  than 
10  per  cent,  are  opposed  to  the  bankruptcy  law,  and  these 
in  the  main  place  their  opposition  on  the  ground  of  the  de- 

NoTE.  Courts  frequently  in  constniing  statutes  refer  to  the  speeches 
and  reports  of  the  legislators  which  accompany  the  passage  of  the  act  as 
a  source  of  information.  {Exparte  Milligan,  4  Wall.,  114.)  It  has  been 
thought  desirable  to  print  the  report  of  the  Judiciary  Committee  and 
the  Analysis  of  the  Amendment  accompanying  the  same  when  the  bill 
was  before  the  House.  A  foot  note  will  call  attention  to  the  changes 
which  the  house  bill  received  in  its  passage  through  the  Senate, 


AMENDMENTS    OF    1903.  407 

fects  in  the  law  sought  to  be  remedied  and  which  will  be 
remedied  if  these  amendments  are  adopted. 

These  communications  are  not  the  result  of  concerted 
action  for  the  retention  of  the  law,  but  are  the  result  of  a 
desire  on  the  part  of  the  Judiciary  Committee  to  fuUy  as- 
certain the  sentiment  of  the  cotmtry  on  the  question  of  the 
retention  or  repeal  of  the  law.  Near  the  close  of  the  Fifty- 
sixth  Congress  the  chairman  of  the  Committee  on  the 
Judiciary  sent  out  something  like  15,000  inquiries  indis- 
criminately throughout  the  United  States  addressed  to  all 
business  interests,  wholesale  and  retail,  merchants,  lawyers 
judges,  etc.,  asking  their  opinion  of  the  law  and  the  ad- 
visability of  its  retention  and  also  asking  their  approval 
or  disapproval  of  the  amendments  proposed,  and  which 
amendments  are  in  substance  those  reported  by  the  com- 
mittee. There  was  no  selection  except  to  direct  inquiries 
to  the  leading  business  houses,  wholesale  and  retail,  and  the 
leading  lawyers  and  business  men  of  the  cotmtry.  It  is 
conclusively  proved  that  the  business  interests  |and  the 
people  of  the  United  States  approve  and  demand  the  re- 
tention of  the  bankruptcy  law  and  also  desire  these  amend- 
ments which  are  in  the  interest  of  honest  dealing.  The 
amendments  proposed  are  not  niunerous,  but  are  such  as 
experience  has  demonstrated  to  be  essential. 

The  first  amendment  will  make  the  law  more  uniform  and 
equitable  by  providing  that  where  insolvency  is  the  ques- 
tion at  issue  assets  claimed  to  be  exempt  shall  not  be 
coimted  in  ascertaining  the  aggregate  of  the  debtor's  prop- 
erty^. 

The  second  amendment  simply  authorizes  what  is  now 
done  by  the  courts ;  that  is,  it  authorizes  the  court  to  allow 
additional  compensation  when  the  business  of  a  bankrupt 

Note.     1  omitted  by  the  Senate. 


408  AMENDMENTS    OF   1903, 

is  conducted  for  a  limited  period  by  the  receiver,  marshal 
or  trustee  in  the  interest  of  the  creditors. 

The  next  amendment  makes  the  equivalent  acts  of  a 
general  assignment  by  an  insolvent  person,  a  voluntary 
accoimting  of  an  insolvent  partnership  by  action  brought 
by  one  of  the  partners,  and  an  application  for  a  receivership 
of  an  insolvent  corporation  each  acts  of  bankruptcy.  This 
makes  the  law  more  uniform  and  will  reduce  many  of  the 
inequities  now  practiced  on  creditors. 

The  next  amendment  simply  provides  that  those  copor- 
rations  which  can  now  be  adjudged  involuntary  bankrupts 
may  become  voluntary  bankrupts  on  the  petition  of  an 
officer  or  stockholder  duly  authorized  at  a  meeting  called 
for  that  purpose  by  a  vote  of  the  majority  in  amotmt  of  the 
total  stock  of  the  corporation,  and  adds  mining  corpora- 
tions to  those  now  covered  by  the  law^. 

As  a  safeguard  and  to  prevent  injustice  it  is  provided 
by  a  further  amendment  that  the  bankruptcy  of  a  cor- 
poration shall  not  release  its  officers,  directors,  or  stock- 
holders as  such  from  any  liability  under  the  laws  of  a  State 
or  Territory  or  of  the  United  States.  That  is,  if  these 
officers  or  any  of  them  by  wrongdoing  or  violating  the  law 
of  the  State  have  incurred  any  liability  they  are  not  to  be 
discharged  from  such  obligations  or  liabilities. 

The  next  amendment,  section  5  of  the  bill,  makes  definite 
and  certain  the  purpose  of  the  law  as  it  was  framed,  to  wit : 
That  the  words  "in  contemplation  of  bankruptcy,"  mean  a 
present  or  future  state  of  insolvency  and  purpose  to  take 
advantage  of  the  law.  The  amendment  is  necessary  be- 
cause the  courts  have  held  that  the  words  "in  contemplation 
of  bankruptcy"  mean  with  a  view  to  the  actual  filing  of 
a  petition,  and  therefore  many  men  have  been  discharged 
who  ought  not  to  have  been,  because  it  was  impossible  to 

Note.     2  omitted  by  the  Senate. 


AMENDMENTS    OF   1903.  409 

prove  that  they  committed  the  fraudulent  acts  mentioned 
at  a  time  when  they  had  in  mind  the  filing  of  a  petition  in 
bankruptcy,  although  they  did  have  in  mind  a  present  or 
future  state  of  insolvency  and  committed  the  acts  for  the 
purpose  of  defrauding  their  creditors. 

This  amendment  also  provides  four  additional  grounds  for 
refusing  a  discharge  in  bankruptcy:  (1)  Obtaining  prop- 
erty on  credit  on  materially  false  statements;  (2)  making 
a  fraudident  transfer  of  property ;'  (3)  having  been  granted 
or  denied  a  discharge  in  bankruptcy  within  six  years,  and 
(4)  having  refused  to  obey  the  lawful  orders  of  the  cotirt  or 
having  refused  to  answer  material  questions  approved  by 
the  court.  No  person  who  has  been  guilty  of  any  of  these 
fraudulent  acts  should  be  discharged,  and  a  person  who  has 
refused  to  obey  the  order  of  the  court  ought  not  to  be  dis- 
charged, and  it  is  quite  clear  that  no  person  should  have  the 
benefit  of  the  act  as  a  voluntary  bankrupt  oftener  than  once 
in  six  years.  Some  men  in  some  of  the  large  cities  have 
made  bankruptcy  a  profession,  and  it  is  proposed  by  the 
amendment  to  stamp  out  these  practices. 

The  next  amendment  provides  that  liabilities  for  frauds* , 
etc.,  as  described  in  the  act  shall  not  be  released  by  the 
discharge.  As  the  law  now  is,  these  liabilities  must  have  been 
reduced  to  judgment  or  else  the  bankrupt  is  discharged. 
This  amendment  is  in  the  interest  of  justice  and  honest 
dealing  and  honest  conduct.  This  amendment  further 
provides  that  a  discharge  in  bankruptcy  shall  not  release 
the  bankrupt  from  liability  for  alimony  due  or  to  become 
due  the  wife,  or  for  maintenance  or  support  of  wife 
or  child,  or  for  seduction  of  an  unmarried  female,  or  for 
criminal  conversation.  It  seems  to  the  committee,  and 
this  is  the  universal  sentiment,'  that  the  bankrupt  ought 
not  to  be  discharged  from  liabilties  of  this  description. 

Note.  3     Altered  and  amplified  by  the  Senate. 
4.     Altered  by  Senate  omitting  word  "fraud." 


410  AMENDMENTS   OF   1903. 

The  next  amendment  shortens  the  time  for  joining  issue 
in  involuntary  cases.  The  expeditious  disposition  of  an 
estate  in  bankruptcy  is  what  all  creditors  desire,  and  this 
amendment  is  in  the  interest  of  all  parties  and  simply, 
prevents  tmdue  delay. 

The  next  amendment  permits  the  wife  to  be  examined 
as  a  witness  as  to  business  transactions  to  w^hich  she  is  or 
has  been  a  party.  In  some  of  the  States  the  wife  may  now 
be  examined  the  same  as  any  other  witness.  In  other 
States  she  cannot  be,  and  this  amendment,  carefully  guarded 
by  a  proviso,  simply  allows  her  examinations  as  to  business 
transactions  to  which  she  has  been  a  party.  To  this  there 
can  be  no  reasonable  objection. 

The  next  amendment  is  in  the  interest  of  the  speedy 
settlement  of  bankrupt  estates.  It  has  been  held  that 
actions  to  recover  property  belonging  to  the  estate  and 
fraudulently  withheld  or  disposed  of  must  be  brought  in 
the  local  courts.  In  great  cities  this  works  a  practical 
denial  of  justice,  as  the  calendars  of  the  State  courts  are 
many  times  years  behind,  and  it  is  conceded  that  in  the 
City  of  New  York  a  case  cannot  be  reached  for  trial  in  less 
than  from  two  to  three  years  after  the  action  is  brought 
unless  for  some  reason  it  is  preferred. 

The  next  amendment  gives  a  larger  fee  to  the  clerk*. 
It  is  conceded  on  all  hands  that  the  present  fee  is  so  small 
that  the  clerk  cannot  afford  to  do  the  work  required  of  him. 
The  increase  given  by  this  amendment  is  very  small,  in- 
deed, and  cannot  be  reasonably  objected  to. 

The  same  remarks  apply  to  the  next  amendment. 

The  next  amendment,  section  12  of  the  bill,  is  the  most 
important  of  all.  Under  the  holding  of  the  Supreme 
Court  of  the  United  States  in  Pirie  v.  Chicago  Title  and  Trust 
Cmnpany  (182  U.  S.,  438),  that   section  60,  subdivision 

5.     Presumably  a  misprint  for  "referee." 


AMENDMENTS    OF   1903.  411 

A,  is  a  definition  of  a  preference,  it  followed  that  payments 
made  in  good  faith  and  other  bona  fide  transactions  after 
actual  insolvency,  though  in  due  course  of  trade  and  busi- 
ness and  without  knowledge  or  reasonable  cause  to  believe 
that  a  preference  was  intended,  must  be,  under  section  57g, 
surrendered  before  a  creditor  who  received  such  a  payment 
could  prove  the  balance  of  his  debt.  This  was  never 
intended  by  the  framers  of  the  law,  and  it  works  obvious 
injustice  and  is  the  source  of  99  per  cent,  of  the  objections 
to  the  law.  The  amendments  proposed  by  section  12  of 
the  bill  and  the  other  sections  remedy  all  this. 

The  next  amendment  puts  the  four  months'  clause  in 
subdivision  A  instead  of  subdivision  B,  and  where  it  ought 
to  be.  As  the  law  now  stands,  a  preferential  mortgage 
may  be  given  and  the  creditor  preferred,  by  withholding 
it  from  record  four  months,  be  able  to  dismiss  the  trustees' 
suit  to  recover  the  same,  although  it  was  recorded  within 
the  four  months'  period. 

The  next  amendment  simply  provides  that  the  trustee  shall 
not  be  compelled  to  pay  the  accrued  taxes  on  the  home- 
stead set-off  to  the  bankrupt  from  the  balance  of  the  estate*. 

The  further  amendment  to  Section  64  of  the  act  simply 
provides  that  the  creditor  may  be  allowed  the  reasonable 
expense  of  reclaiming  property  illegally  transferred  or  con- 
cealed. 

The  next  amendment  is  in  line  with  the  others,  providing 
concurrent  jurisdiction  in  the  State  and  United  States  courts, 
and  is  in  the  interest  of  a  speedy  settlement  of  estates. 

The  last  amendment  is  one  generally  demanded,  and  is 
in  the  interest  of  all  persons  who  deal  with  property.  It 
requires  the  clerks  to  prepare  and  keep  indexes  of  all  petitions 
and  discharges  in  bankruptcy  and  to  issue  certificates  in  re- 
lation thereto  when  required.     It  also  requires  that  these 

6.     Omitted  by  the  Senate. 


412  AMENDMENTS    OP   1903. 

be  kept  open  to  inspection  and  examination.  It  is  frequently 
desirable  to  know  whether  a  person  [has  filed  a  petition 
in  bankruptcy,  and  also  whether  he  has  been  discharged 
and  it  is  many  times  impossible  within  a  reasonable  time  to 
ascertain  these  facts  in  the  absence  of  convenient  indexes, 

Annexed  hereto  is  a  more  complete  analysis  of  these  pro- 
posed amendments,  useful  and  convenient  to  the  lawyer, 
and  in  same  attention  is  called  to  the  decisions  of  the  courts 
relating  to  the  amended  sections. 

In  proper  cases  and  under  proper  restrictions  those  who 
have  been  unfortimate  in  business  should  be  released  from 
their  debts  on  surrendering  all  their  property  to  their  credi- 
tors. But  the  law  should  be  so  framed  as  to  prevent  in- 
justice and  improper  and  indiscriminate  discharges,  and 
should  also  prevent  its  being  availed  of  by  the  professional 
bankrupt  or  the  dishonest  debtor. 

The  involuntary  features  are  most  commendable,  for 
through  their  instrumentalities  fraudulent  and  unjust  pref- 
erences are  prohibited  and  there  is  greater  confidence  in  the 
business  world.  Much  of  the  fault  finding  with  the  bankruptcy 
law  has  come  from  those  who  having  claims  against  some 
insolvent  person,  have  been  imable  to  collect  for  years  (and 
these  persons  knew  that  they  could  not  collect),  but  they 
have  seen  the  debtor  discharged  imder  the  bankruptcy 
law  and  have  seen  him  re-enter  the  business  world,  and  by 
the  exercise  of  his  talent  and  industry  become  a  valuable 
factor  in  the  business  world.  These  debtors  could  never 
have  thus  re-entered  business  had  it  not  been  for  the  bank- 
ruptcy law,  and  this  fact  the  creditor  overlooks.  He  seems 
to  think  that  but  for  the  bankruptcy  law  he  would  have 
been  paid  imder  this  improved  condition  of  the  debtor. 

That  dishonest  men  do  avail  themselves  of  the  law  and 
by  fraud  and  perjury  secure  discharges  can  not  be  denied, 
but  these  instances  are  very  rare,  and  when  we  contrast  the 


AMENDMENTS   OF    1903.  413 

great  army  of  honest  and  industrious  men  who  have  been 
put  upon  their  feet  through  the  instrumentalities  of  the 
bankruptcy  law  with  the  very  few  dishonest  persons  who 
have  been  discharged  imder  it,  we  must  all  concede  that  the 
law  is  wise  and  productive  of  great  good  and  ought  to  be 
retained,  and  amended  when  experience  shows  that  amend- 
ments are  necessary  in  the  interest  of  the  business  world. 

ANALYSIS  OP  BILL  TO  AMEND  THE  BANKRUPTCY  LAW. 

Section  1 :  Amends  clause  (15)  of  Section  1  of  the  laws 
so  that  where  insolvency  is'  the  question  at  issue  assets 
claimed  to  be  exempt  shall  not  be  counted  in  ascertaining 
the  "aggregate  of  his  (the  debtor's)  property,"  thus  doing 
away  with  an  injustice  growing  out  of  the  new  definition 
of  insolvency  in  States  that  allow  large  exemptions.  (See 
In  re  Baumann   (Term.),  96  Fed.,  946.) ^ 

Section  2:  Designed  to  permit  the  allowance  of  extra 
compensation  to  trustees  when  they  do  more  than  merely 
collect  and  distribute  (as,  for  instance,  when  they  are  ordered 
to  continue  a  going  business  for  a  considerable  period  of  time) 
their  fees  being  now  limited  by  Section  48  to  commissions 
on  dividends  to  imsecured  creditors.  (See  In  re  Epstein 
(Ark.),   109  Fed.,  879,  and  the  cases  cited.) * 

Section  3:  Intended  to  bring  about  the  result  that  the 
equivalent  acts  of  (1)  a  general  assignment  by  an  insolvent 
person,  (2)  a  volimtary  accoimting  of  an  insolvent  partner- 
ship by  action  brought  by  one  of  the  partners,  and  (3)  an 
application  for  a  receivership  of  an  insolvent  corporation 
shall  each  be  acts  of  bankruptcy,  instead  of  the  first  (1)  only, 
as  now.  Besides  making  the  law  more  imiform,  this  change 
will  reduce  to  a  minimum  present  notorious  inequities  prac- 
ticed on  creditors  through  in-the-family  accountings  and 

Note  1.  Omitted  by  the  Senate.  2.  The  Senate  added  a  proviso 
that  the  compensation  should  not  exceed  the  rate  allowed  trustees. 


414  AMENDMENTS   OF    1903. 

directorial  receiverships  iinder  State  laws.  (See  In  re  Em- 
pire Metallic  Bedstead  Co.  (N.  Y.),  95  Fed.,  957;  Id.,  on  ap- 
peal, 98  Fed.,  981,  and  subsequent  cases  uniformly  holding 
the  same  doctrine.) 

Section  4 :  Amends  Section  4  of  the  law  by  (1)  providing 
that  those  corporations  which  can  now  be  adjudged  invol- 
untary bankrupts  may,  on  a  vote  of  stockholders  represent- 
ing a  majority  of  the  stock,  petition  for  voluntary  bank- 
ruptcy,' (2)  adding  mining  corporations  to  those  that  are 
affected  by  the  law,  and  (3)  affirmatively  declaring  that  the 
bankruptcy  of  a  corporation  shall  not  release  its  officers,  as 
such,  from  any  liability  created  by  law. 

The  first  (1)  restores  that  portion  of  the  first  paragraph 
of  Section  37  of  the  bankruptcy  law  of  1867  which  permitted 
business  corporations  to  file  volimtary  petitions,  with,  how- 
ever, some  additional  restrictions  for  the  protection  of  stock- 
holders— a  change  the  necessity  of  which  is  emphasized  by 
the  prevailing  tendency  in  important  commercial  States 
to  supersede  partnerships  completely  by  small  corporations. 

The  second  (2)  is  made  necessary  by  the  uniform  holdings 
of  the  courts  that  mining  corporations,  which  are  of  primary 
importance  in  some  parts  of  the  country,  are  not  among 
those  now  enumerated  in  Section  4b.  (See  In  re  Chicago- 
Joplin  Lead  and  Zinc  Co.  (Mo.),  104  Fed.,  67;  McNamara 
v.  Helena  Coal  Co.  (Ala.),  5  Am.  B.  R.,  48;  In  re  Keystone 
Coal  Co.  (Pa.),  6  Am.  B.  R.,  377.) 

The  third  (3)  is  merely  precautionary — that  there  may 
be  no  doubt  about  the  effect  of  the  discharge  of  a  corpora- 
tion.    (See  In  re  Marshall  Paper  Co.,  102  Fed.,  872.) 

Section  5:  Modifies  one  of  the  present  objections  to  a 
discharge  and  adds  four  new  objections. 

It  has  been  uniformly  held  tinder  the  present  law  that 

Note  3.     Omitted  by  Senate. 


AMENDMENTS    OF    1903:  415 

"in  contemplation  of  bankruptcy"  (Sec.  14b,  2)  means  with 
a  view  to  the  actual  filing  of  a  petition,  and  not  merely  a 
present  or  future  state  of  insolvency.  (In  re  Holman  (Iowa) . 
92  Fed.,  512;  In  re  Carmichael  (Iowa),  96  Fed.,  594;  In  re 
Morgan  (Ark.),  101  Fed.,  982.)  This  has  made  this  object- 
ion to  a  discharge  practically  valueless.  The  amendment 
drops  this  element  of  proof  out,  as  well  as  two  or  three  other 
words  which  are  either  tautological  or  imnecessary. 

The  very  general  complaint  that  the  present  law  lets  too 
many  rogues  escape  from  their  debts — that  it  is  weak  in  its 
discharge  features — is  met  by  four  additional  objections, 
carefully  selected  from  a  multitude  of  suggestions  made. 

The  first  (3)  is  almost  identical  with  that  proposed  by  S. 
1035,  Fifty-fifth  Congress,  first  session  (section  51  b  (3),  the 
Lindsay  bill),  and  adopted  by  the  House  substitute.  (See 
Congressional  Record,  Fifty-fifth  Congress,  vol.  31,  p. 
2039,  sec.  13  b,  3.)  * 

The  second  (4)  is  a  rephrasing  of  an  objection  to  discharge 
found  in  section  29  of  the  law  of  1867,  and  "transfer,"  now 
including  "conveyance,"  "mortgage,"  "payment,"  etc. 
means  the  same  thing.  In  effect  it  is  the  same  as  section  51 
b  (4)  of  the  Lindsay  bill  and  as  section  13  b  (4)  of  the  House 
substitute,  above.  ^ 

The  third  (5)  will  put  an  end  to  the  possibility  of  debtors 
going  through  bankruptcy  every  month.  The  new  period, 
six  years,  is  an  average  arrived  at  from  the  suggestions  re- 
ceived. (Compare  Report  of  National  Association  of  Ref- 
erees in  Bankruptcy,  published  in  March,  1900,  for  other 
ways  of  solving  this  problem.) 

The  fourth  (6)  is  intended  to  meet  a  defect  which  grows  out 
of  decisions  that,  following  Counselman  v.  Hitchcock  (142 
U.  S.,  547),  declare  that  the  protection  afforded  a  bankrupt 
by  the  last  clause  of  section  7  a  (9)  does  not  amoimt  to  the 

4.     Altered  by  Senate.     5.     Omitted  by  the  Senate. 


416  AMENDMENTS    OF    1903. 

immunity  guaranteed  by  the  fifth  amendment  to  the  Con- 
stitution. (See  In  re  Rosser  (Mo.),  96  Fed.,  305,  and  com- 
pare In  re  Marx  (Ky.),  102  Fed.,  676.)  The  suggestion  that 
the  immunity  clause  inserted  in  the  interstate-commerce 
law  and  held  constitutional  in  Brown  v.  Walker,  161  U.  S., 
591,  be  also  inserted  here  is  met  by  the  objection  that  such 
clause  would  in  effect  grant  pardon  in  advance  to  bankrupts 
called  to  testify,  and  might  result  in  a  general  amnesty  to  all 
bankrupts  amenable  to  punishment  under  section  29.  A 
discharge  is  a  boon,  not  a  right.  He  who  asks  it  should  tell 
what  he  knows  of  his  assets  and  his  past  dealings.  If  he  does 
not,  the  discharge  should  be  denied  him.  It  is  thought  that 
this  new  objection  to  discharge  will  accomplish  much  that 
would  be  accomplished  by  the  clause  in  the  interstate-com- 
merce law,  without  amounting  to  freedom  from  criminal 
prosecution  too. 

Section  6:    The  changes  in  section  17  of  the  law  are  to 

settle  questions  arising  from  antagonistic  decisions  of  the 
court  and  to  exclude  beyond  perad venture  certain  liabilities 
growing  out  of  offenses  against  good  morals  from  the  effect 
of  a  discharge.  (Compare  a  similar  amendment  to  the 
English  act  of  1883  by  section  10  of  the  amendatory  act  of 
1890. 

The  substitution  of  "liabilities"  for  "judgments  in  ac- 
tions" makes  the  clause  broader.  Now  claims  created  by 
fraud  but  not  reduced  to  judgment  are  discharged.  Neither 
the  claim  nor  the  judgment  should  be.  (Compare  In  re 
Rhutalssel  (Iowa),  96  Fed.,  567,  with  In  re  Lewenson  (N. 
Y.),  99  Fed.,  73.).« 

The  reasons  for  the  other  changes  are  too  patent  to  re- 
quire statement.  (As  to  the  dischargeability  of  aHmony 
compare  In  re  Houston  (Ky.),  94  Fed.),  119,  with  In  re 
Nowell  (Mass.),  99  Fed.,  931;  of  judgments  for  seduction, 

6.     Liabilities  for  frauds  omitted  by  the  Senate. 


AMENDMENTS    OF    1903.  417 

In  re  Sullivan  (N.  Y.),  2  Am.  B.  R.,  30,  with  In  re  Freche 
(N.  J.),  109  Fed.,  620;  of  judgments  for  criminal  conversa- 
tion, In  re  Tinker  (N.  Y.),  99  Fed.,  79,  with  Colwellv.  Tinker 
(N.  Y.),  6  Am.  B.  R.,  434. 

Section  7 :  It  is  conceded  that  too  much  time  was  given 
by  the  law  for  the  joining  of  issue  in  involuntary  cases,  and 
that  the  law  was  silent  as  to  the  method  and  time  of  service 
where  the  bankrupt  had  absconded.  As  changed,  section 
18  provides  for  a  short  service  by  publication,  and  not  only 
shortens  the  time  within  which  a  debtor  personally  served 
must  appear  and  plead,  but  provides  that  time  to  plead  shall 
expire  when  time  to  appear  does,  and  not  ten  days  later  as 
now.  All  this  is  in  the  interest  of  the  rapid  administration 
of  asset  cases  and  the  consequent  reduction  of  expenses.** 

Section  8.  Intended  to  make  a  wife,  who  is  often  the  de- 
positary of  property  belonging  really  to  the  bankrupt  a 
compellable  witness  in  every  State  as  to  certain  transactions 
to  which  she  is  or  has  been  a  party.  Without  her  evidence 
it  is  sometimes  practically  impossible  to  trace  property. 
Neither  principle  nor  policy  entitles  her  to  her  privilege 
when  the  transaction  imder  investigation  is  a  business  one 
between  her  and  her  husband.  For  evils  growing  out  of 
section  21  a,  as  now  phrased,  see  In  re  Jefferson  (Wash.), 
96  Fed.,  826;  In  re  Fowler  (Wis).,  93  Fed.,  417. 

Section  9 :  Under  the  law  of  1867,  the  Federal  and  State 
courts  had  concurrent  jurisdiction  of  suits  to  recover  prop- 
erty fraudulently  or  preferentially  transferred.  Bardes  v. 
Bank  of  Hawarden  (la.),  178  U.  S.,  524,  has  so  construed 
section  23  b,  of  the  law  as  to  deny  such  jurisdiction  to  the 
district  courts,  save  with  the  consent  of  the  proposed  de- 
fendant. In  commercial  centers  this  amoimts  to  a  denial 
of  justice,  the  calendars  of  the  State  courts  being  years 

7.  The  Senate  restored  the  words  fifteen  days  for  return  day  in  lieu 
of  ten  proposed  by  the  House. 


418  AMENDMENTS   OF    1903. 

behind  hand;  while,  growing  out  of  Bardes  v.  Bank,  have 
come  decisions  which  have  crippled  the  administration  of 
the  law  to  a  marked  degree.  (See  in  re  Ward  (Mass.),  5 
Am.  B.  R.,  215 ;  Mueller  v.  Nugent  (Ky.),  105  Fed.,  581 ;  this 
latter,  however,  recently  reversed  by  the  Supreme  Court.) 
There  is  a  very  general  demand  for  a  return  to  the  policy 
of  the  law  of  1867.  Were  it  not  for  section  23  b,  section  2 
(7),  would  probably  confer  ample  jurisdiction  on  the  dis- 
trict courts.  The  change  in  section  23,  b,  proposed  by  the 
bill  simply  excepts  from  the  operation  of  it  all  suits  which 
can,  under  the  specific  words  of  the  law,  be  brought  to  re- 
cover property,  and  this  merely  by  referring  to  the  three 
sections  under  which  alone  such  suits  can  be  brought.  To 
remove  all  doubt,  also,  section  13  and  16  of  the  bill  confer 
concurrent  jurisdiction  of  all  such  suits  on  the  State  courts 
and  the  Federal  district  courts,  by  adding  appropriate 
words  to  each  of  the  three  sections ;  section  60  b,  section  67  e 
and  section  70  e. 

Sections  10  and  11:  These  changes  in  section  40  and 
section  48  are  in  response  to  the  very  general  opinion  that 
the  referees  and  the  trustees  are  not  now  adequately  paid. 
The  fiHng  fee  of  each  officer  is  doubled,  making  the  deposit 
required  at  the  inception  of  bankruptcy  proceedings  $40 
instead  of  $25.  It  is  thought  this  will  prove  sufficient  in  all 
no-asset  cases.  Since,  under  the  law,  it  has  been  quite  imi- 
formly  held  that  the  commissions  of  these  officers  must  be 
computed  on  moneys  paid  out  by  way  of  dividends  only, 
this  species  of  compensation  has,  in  the  large  majority  of 
cases,  amoimted  to  little.  The  change  suggested  rests  on 
the  analogy  of  the  State  laws,  which  reckon  the  commissions 
of  executors,  receivers,  etc.,  on  moneys  received  and  paid 
out,  and  is  fairer.  The  other  changes  are  in  the  line  of  in- 
creasing efficiency  and  the  securing  of  the  best  talent  for  the 
important  work  committed  to  these  officers ;  thus,  the  large 


-  ^  AMENDMENTS  OF    1903.  419 

commissions  to  trustees  in  small  cases,  that  they  may  have 
greater  incentive  to  search  for  and  recover  property,  and 
the  50-cent  filing  fee  for  referees,  as  probably  the  fairest  way 
properly  to  compensate  them  for  the  great  amount  of  extra 
work  in  hearing  contests  on  claims,  etc.  The  collection  of 
this  filing  fee  in  advance  seems  to  be  permitted  by  the  rules 
in  many  districts,  though  without  apparent  sanction  of  law. 
The  suggested  amendment  ratifies  this  practice,  which  has 
not  proven  burdensome,  while  removing  the  chief  objec- 
tion to  it — the  requirement  that  the  fee  be  paid  as  a  condi- 
tion of  filing  a  claim  at  all — ^by  requiring  that  such  fee  be  paid 
as  a  cost  of  administration.  The  trustee  is  also  given  the 
same  commission  in  composition  cases  as  is  the  referee. 
This  was  an  oversight  when  the  law  was  framed.  8. 

Section  12:  Piriev.  Chicago  Title  and  Trust  Co.  (182 
U.  S.,  438),  having  held  that  section  60  a  is  a  definition  of 
"preference,"  it  necessarily  followed  that  payments  and 
other  bona  fide  transactions  after  actual  insolvency,  though 
in  due  course  of  trade  and  without  knowledge  or  reasonable 
cause  to  believe  that  a  preference  was  intended,  must  be, 
under  section  57  g,  surrendered  before  a  creditor  who  re- 
ceived such  a  payment  could  prove  the  balance  of  his  debt. 
This  was  not  what  was  intended  by  the  framers  of  the  law. 
There  is  a  very  urgent  and  widespread  demand  for  such  an 
amendment  as  will  obviate  this  menace  to  trade.  The  Ray 
bill  (H.  R.  4310)  attempts  to  do  this,  but  leaves  a  loophole 
in  that  only  voidable  preferences,  as  defined  in  section  60  a 
and  b,  must  be  siurendered,  whereas  some  fraudulent  trans- 
fers (section  67  e  and  section  70  e)  might  be  retained  and  the 
debt  still  proven.  This  clause,  section  57  g,  has  therefore 
been  modified  by  adding  words  referring  specifically  to 
creditors  who  have  received  an  advantage,  void  or  voidable, 
under  section  67  c  or  section  70  e.     There  are  no  other  sec- 

8.  The  Senate  materially  reduced  the  increase  in  the  fees  for  both 
referees  and  trustees  as  provided  by  the  House. 


420  AMENDMENTS  OF    1903. 

tions  in  the  law  which  provide  for  suits  to  recover  back 
from  creditors  or  other  persons  property  (which  includes 
money)  improperly  transferred.  The  change  results  there- 
fore in  that  only  those  payments  or  transfers  which  could 
be  recovered  back  by  suit  must  be  surrendered  under  sec- 
tion 57  g.  This  change  will  also  settle  the  animated  and 
imfortunate  controversy  over  the  meaning  and  effect  of  sec- 
tion 60  c;  compare  in  re  Keller  (la.),  109  Fed.,  118,  where  a 
district  court  refuses  to  follow  a  court  of  appej  i,  in  McKey 
V.  Lee  (la.),  105  Fed.,  923;  also  in  re  Dickson  (Mass.),  Ill 
Fed.,  726,  wherein  a  circuit  court  of  appeals  apparently  re- 
fuses to  follow  the  Supreme  Court  in  Pirie  v.  Chicago  Title 
and  Trust  Co.,  above. 

It  is  not  thought  expedient  at  this  time  to  attempt  to 
frame  a  clause  specifying  what  transactions  are  protected 
(compare  section  49  of  the  English  act  of  1883  for  such  a 
clause)  or  to  change  the  so-called  definition  of  insolvency. 
The  simpler  the  changes  in  the  present  law  the  fewer  will  be 
the  controversies  in  the  courts ;  and  especially  in  a  question 
which,  like  this,  is  at  the  root  of  our  credit  system,  the  less 
the  disturbance  of  business. 

Section  13 :    Section  60  a  and  b  is  amended  in  three  ways : 

First,  by  replacing  the  four  months'  clause  in  a,  where  it 
was  in  the  Lindsay  bill,  instead  of  in  b,  as  now,  and  where 
a  casual  reading  of  the  law  indicates  it  should  have  been 
left.  (See  in  re  Jones  (Mass.),  4  Am.  B.  R.,  563,  for  the  far- 
reaching  result  of  this  transposition.) 

Second,  by  adding  to  a  clause  which  shall  be  equivalent 
to  that  foimd  in  section  3  b  (1).  It  seems  that  as  section 
60  a  now  stands,  a  preferential  mortgage  may  be  given,  and 
the  creditor  preferred  by  withholding  it  from  record  four 
months  be  able  to  dismiss  the  trustee's  suit  to  recover  the 
same,  though  the   paper  was  actually  recorded  within  the 


AMENDMENTS  OF    1903.  4^1 

four  months'  period.     (See  in  re  Wright  (Ga.),  96  Fed.,  187; 
in  re  Mersman  (N.  Y.),  7  Am.  B.  R.,  46.) 

Third,  by  adding  the  clause  as  to  jurisdiction  of  suits  pre- 
viously explained  under  section  9. 

Section  14:  Where  homestead  exemptions  are  allowed, 
it  has  been  held  that  a  bankrupt  may  insist  on  the  trustee 
paying  the  accrued  taxes  on  the  homestead  set  off  to  him. 
(See  in  re  Tilden  (la.),  91  Fed.,  500;  contra,  in  re  Veitsch 
(Conn.),  101  Fed.,  251.)  This  is  an  injustice  to  creditors 
which  calls  for  amendment.  That  suggested  will  accomp- 
lish the  desired  result.' 

It  frequently  happens  that  the  action  of  individual  cred- 
itors in  suing,  as,  for  instance,  by  creditor's  bill  before  the 
bankruptcy,  inures  to  the  benefit  of  the  trustee,  and  almost 
as  frequently  that,  through  the  efforts  of  certain  creditors, 
property  is  recovered  after  the  bankruptcy  begins.  It  is 
only  fair  that  their  disbursements,  by  which  all  creditors 
have  profited,  should  be  accoimted  for  to  them.  The 
change  in  section  64  b  (2),  would  accomplish  this. 

Section  15:  Adds  the  clause  on  jurisdiction  of  suits  to 
section  67  a  and  70  e  previously  explained  under  section  9. 

Section  16  provides  for  indexes,  etc. 

9.     The  Senate  omitted  this  proposed  amendment. 


BANKRUPTCY  ACTS  OF  UNITED  STATES. 

Act  of  April  4th,  1800. 

Chap.    [19.]     An  act  to   establish  an   uniform   system   of  bankruptcy 
throughout  the  United  States. 

§  1.  Be  it  enacted,  &c.  That  from  and  after  the  first  day  of  Jane 
next,  if  any  merchant,  or  other  person  residing  within  the  United  States, 
actually  using  the  trade  of  merchandise,  by  buying  and  selling  in  gross, 
or  by  retail,  or  dealing  in  exchange,  or  as  a  banker,  broker,  factor,  under- 
writer, or  marine  ensurer,  shall,  with  intent  unlawfully  to  delay  or  defraud 
his  or  her  creditors,  depart  from  the  state  in  which  such  person  usually 
resides,  or  remain  absent  therefrom,  or  conceal  him  or  herself  therein,  or 
keep  his  or  her  house,  so  that  he  or  she  cannot  be  taken,  or  served  with 
process,  or  willingly  or  fraudulently  procure  him  or  herself  to  be  arrested, 
or  his  or  her  lands,  goods,  money,  or  chattels,  to  be  attached,  sequestered, 
or  taken  in  execution,  or  shall  secretly  convey  his  or  her  goods  out  of 
his  or  her  house,  or  conceal  them  to  prevent  their  being  taken  in  execu- 
tion, or  make,  or  cause  to  be  made,  any  fraudulent  conveyance  of  his 
or  her  lands,  or  chattels,  or  make  or  admit  any  false  or  fraudulent 
security,  or  evidence  of  debt,  or  being  arrested  for  debt,  or  having 
surrendered  him  or  herself  in  discharge  of  bail,  shall  remain  in  prison 
two  months,  or  more,  or  escape  therefrom,  or  whose  lands  or  efifects 
being  attached  by  process  issuing  out  of,  or  returnable  to,  any  court  of 
common  law,  shall  not,  within  two  months  after  written  notice  thereof, 
enter  special  bail  and  dissolve  the  same,  or  in  districts  in  which  attach- 
ments are  not  dissolved  by  the  entry  of  special  bail,  being  arrested  for 
debt  after  his  or  her  lands  and  effects,  or  any  part  thereof,  have  been 
attached  for  a  debt  or  debts  amounting  to  one  thousand  dollars  or 
upwards,  shall  not,  upon  notice  of  such  attachment,  give  sufficient  security 
for  the  payment  of  what  may  be  recovered  in  the  suit  in  which  he  or  she 
shall  be  arrested,  at  or  before  the  return  day  of  the  same,  to  be  approved 
by  the  judge  of  the  district,  or  some  judge  of  the  court  out  of  which 
the  process  issued  upon  which  he  is  arrested,  or  to  which  the  same  shall 
be  returnable,  every  such  person  shall  be  deemed  and  adjudged  a  bank- 
rupt: Provided,  That  no  person  shall  be  liable  to  a  commission  of  bank- 
ruptcy, if  the  petition  be  not  preferred,  in  manner  hereinafter  directed, 
within  six  months  after  the  act  of  bankruptcy  committed. 

§  2.     That  the  judge  of  the  district  court  of  the  United  States,  for 
the  district  where  the  debtor  resides,  or  usually  resided,  at  the  time  of 
423 


424  FORMER  BANKRUPTCY  ACTS. 

committing  the  act  of  bankruptcy,  upon  petition,  in  writing,  against  such 
person  or  persons  being  bankrupt,  to  him  to  be  exhibited  by  any  one 
creditor,  or  by  a  greater  number,  being  partners,  whose  single  debt 
shall  amount  to  one  thousand  dollars,  or  by  two  creditors,  whose  debts 
shall  amount  to  one  thousand  five  hundred  dollars,  or  by  more  than  two 
creditors,  whose  debts  shall  amount  to  two  thousand  dollars,  shall  have 
power,  by  commission  under  his  hand  and  seal,  to  appoint  such  good 
and  substantial  persons,  being  citizens  of  the  United  States,  and  resident 
in  such  district,  as  such  judge  shall  deem  proper,  not  exceeding  three, 
to  be  commissioners  of  the  said  bankrupt,  and  in  case  of  vacancy  or 
refusal  to  act,  to  appoint  others,  from  time  to  time,  as  occasion  may 
require:  Provided  always.  That  before  any  commission  shall  issue,  the 
creditor  or  creditors  petitioning  shall  make  affidavit,  or  solemn  affirma- 
tion, before  the  said  judge,  of  the  truth  of  his,  her,  or  their  debts,  and 
give  bond,  to  be  taken  by  the  said  judge,  in  the  name  and  for  the  benefit 
of  the  said  party  so  charged  as  a  bankrupt,  and  in  such  penalty,  and 
with  such  surety,  as  he  shall  require,  to  be  conditioned  for  the  proving 
of  his,  her,  or  their,  debts,  as  well  before  the  commissioners  as  upon  a 
trial  at  law,  in  case  the  due  issuing  forth  of  the  said  commission  shall  be 
contested,  and  also  for  proving  the  party  a  bankrupt,  and  to  proceed  on 
such  commission,  in  the  manner  herein  prescribed.  And  if  such  debt 
shall  not  be  really  due,  or,  after  such  commission  taken  out,  it  cannot 
be  proved  that  the  party  was  a  bankrupt,  then  the  said  judge  shall,  upon 
the  petition  of  the  party  aggrieved,  in  case  there  be  occasion,  deliver 
such  bond  to  the  said  party,  who  may  sue  thereon,  and  recover  such 
damages,  under  the  penalty  of  the  same,  as,  upon  trial  at  law,  he  shall 
make  appear  he  has  sustained,  by  reason  of  any  breach  of  the  condition 
thereof. 

§  3.  That  before  the  commissioners  shall  be  capable  of  acting,  they 
shall,  respectively,  take  and  subscribe  the  following  oath  or  affirmation, 
which  shall  be  administered  by  the  judge  issuing  the  commission,  or  by 
any  of  the  judges  of  the  supreme  court  of  the  United  States,  or  any 
judge,  justice,  or  chancellor,  of  any  state  court,  and  filed  in  the  office  of 
the  clerk  of  the  district  court :  "/,  A  B,  do  swear  (or  afUrm,)  that  I  will 
faithfully,  impartially,  and  honestly,  according  to  the  best  of  my  skill  and 
knowledge,  execute  the  several  powers  and  trusts  reposed  in  me,  as  a 

commissioner  in  a  commission  of  bankruptcy  against  and 

that  without  favor  or  affection,  prejudice  or  malice."  And  the  commis- 
sioners, who  shall  be  sworn  as  aforesaid,  shall  proceed,  as  soon  as  may 
be,  to  execute  the  same;  and,  upon  due  examination,  and  sufficient  cause 
appearing  against  the  party  charged,  shall  and  may  declare  him  or  her 
to  be  a  bankrupt:  Provided,  That  before  such  examination  be  had,  rea- 
sonable notice  thereof,  in  writing,  shall  be  delivered  to  the  person  charged 


FORMER  BANKRUPTCY  ACTS.  425 

as  a  bankrupt;  or  if  he,  or  she,  be  not  found  at  his  or  her  usual  place 
of  abode,  to  some  person  of  the  family,  above  the  age  of  twelve  years,  or 
if  no  such  person  appear,  shall  be  fixed  at  the  front  or  other  public  door 
of  the  house,  in  which  he  or  she  usually  resides,  and  thereupon  it  shall 
be  in  the  power  of  such  person,  so  charged  as  aforesaid,  to  demand  before, 
or  at  the'  time  appointed  for,  such  examination,  that  a  jury  be  empan- 
nelled  to  inquire  into  the  fact  or  facts  alleged  as  the  causes  for  issuing 
the  commission,  and  on  such  demand  being  made,  the  inquiry  shall  be 
had  before  the  judge  granting  the  commission,  at  such  time  as  he  may 
direct,  and  in  that  case  such  person  shall  not  be  declared  bankrupt, 
unless,  by  the  verdict  of  the  jury,  he  or  she  shall  be  found  to  be  within 
the  description  of  this  act,  and  shall  be  convicted  of  some  one  of  the 
acts  described  in  the  first  section  of  this  act:  Provided  also,  That  any 
commission  which  shall  be  taken  out  as  aforesaid,  and  which  shall  not 
be  proceeded  in  as  aforesaid,  within  thirty  days  thereafter,  may  be  super- 
seded by  the  said  judge,  who  shall  have  granted  the  same,  upon  the 
application  of  the  party  thereby  charged  as  a  bankrupt,  or  of  any  creditor 
of  such  person,  unless  the  delay  shall  have  been  unavoidable,  or  upon  a 
just  occasion. 

§  4.  That  the  commissioners  so  to  be  appointed,  shall  have  power, 
forthwith  after  they  have  declared  such  person  a  bankrupt,  to  cause  to 
be  apprehended,  by  warrant  under  their  hands  and  seals,  the  body  of  such 
bankrupt,  wheresoever  to  be  found  within  the  United  States:  Provided, 
They  shall  think  that  there  is  reason  to  apprehend  that  the  said  bankrupt 
intends  to  abscond,  or  conceal  him  or  herself :  and  in  case  it  be  necessary, 
in  order  to  take  the  body  of  the  said  bankrupt,  shall  have  power  to  cause 
the  doors  of  the  dwelling  house  of  such  bankrupt  to  be  broken,  or  the 
doors  of  any  other  house  in  which  he  or  she  shall  be  found. 

§  5.  That  it  shall  be  the  duty  of  the  commissioners  so  to  be  appointed, 
forthwith  after  they  have  declared  such  person  a  bankrupt,  and  they  shall 
have  power  to  take  into  their  possession,  all  the  estate,  real  and  personal, 
of  every  nature  and  description,  to  which  the  said  bankrupt  may  be  enti- 
tled, either  in  law  or  equity,  in  any  manner  whatsoever,  and  cause  the 
same  to  be  inventoried  and  appraised  to  the  best  value,  (his  or  her  neces- 
sary wearing  apparel,  and  the  necessary  wearing  apparel  of  the  wife  and 
children,  and  necessary  beds  and  bedding,  of  such  bankrupt,  only  ex- 
cepted), and  also  to  take  into  their  possession,  and  secure,  all  deeds  and 
books  of  account,  papers  and  writings,  belonging  to  such  bankrupt;  and 
shall  cause  the  same  to  be  safely  kept,  until  assignees  shall  be  chosen  or 
appointed,  in  manner  hereafter  provided. 

§  6.  That  the  said  commissioners  shall,  forthwith  after  they  have 
declared  such  person  a  bankrupt,  cause  due  and  sufficient  public  notice 
thereof  to  be  given,  and  in  such  notice  shall  appoint  some  convenient  time 


426  FORMER  BANKRUPTCY  ACTS. 

and  place  for  the  creditors  to  meet,  in  order  to  choose  an  assignee  or 
assignees  of  the  said  bankrupt's  estate  and  effects;  at  which  meeting  the 
said  commissioners  shall  admit  the  creditors  of  such  bankrupt  to  prove 
their  debts;  and  where  any  creditor  shall  reside  at  a  distance  from  the 
place  of  such  meeting,  shall  allow  the  debt  of  such  creditor  to  be  proved 
by  oath  or  affirmation,  made  before  some  competent  authority,  and  duly 
certified,  and  shall  permit  any  person,  duly  authorized  by  letter  of  attorney 
from  such  creditor,  due  proof  of  the  execution  of  such  letter  of  attorney 
being  first  made,  to  vote  in  the  choice  of  an  assignee  or  assignees  of  such 
bankrupt's  estate  and  effects,  in  the  place  and  stead  of  such  creditor :  And 
the  said  commissioners  shall  assign,  transfer,  or  deliver  over,  all  and 
singular  the  said  bankrupt's  estate  and  effects  aforesaid,  with  all  muni- 
ments and  evidences  thereof,  to  such  person  or  persons  as  the  major  part, 
in  value,  of  such  creditors,  according  to  the  several  debts  then  proved, 
shall  choose  as  aforesaid:  Provided  always,  That  in  such  choice,  no  vote 
shall  be  given  by,  or  in  behalf  of,  any  creditor  whose  debt  shall  not 
amount  to  two  hundred  dollars. 

§  7.  That  it  shall  be  lawful  for  the  said  commissioners,  as  often  as 
they  shall  see  cause,  for  the  better  preserving  and  securing  the  bankrupt's 
estate,  before  assignees  shall  be  chosen  as  aforesaid,  immediately  to 
appoint  one  or  more  assignee  or  assignees  of  the  estate  and  effects  afore- 
said, or  any  part  thereof;  which  assignee  or  assignees  aforesaid,  or  any 
of  them,  may  be  removed  at  the  meeting  of  the  creditors,  so  to  be 
appointed  as  aforesaid,  for  the  choice  of  assignees,  if  such  creditors, 
entitled  to  vote  as  aforesaid,  or  the  major  part,  in  value,  of  them,  shall 
think  fit;  and  such  assignee  or  assignees  as  shall  be  so  removed,  shall 
deliver  up  all  the  estate  and  effects  of  such  bankrupt,  which  shall  have 
come  to  his  or  their  hands  or  possession,  unto  such  other  assignee  or 
assignees  as  shall  be  chosen  by  the  creditors  as  aforesaid;  and  all  such 
estate  and  effects  shall  be,  to  all  intents  and  purposes,  as  effectually  and 
legally  vested  in  such  new  assignee  or  assignees,  as  if  the  first  assignment 
had  been  made  to  him  or  them  by  the  said  commissioners;  and  if  such 
first  assignee  or  assignees  shall  refuse  or  neglect,  for  the  space  of  ten  days, 
next  after  notice  in  writing  from  such  new  assignee  or  assignees,  of  their 
apportionment,  as  aforesaid,  to  deliver  over  as  aforesaid,  all  the  estate 
and  effects  as  aforesaid,  every  such  assignee  or  assignees  shall,  respect- 
ively, forfeit  a  sum  not  exceeding  five  thousand  dollars,  for  the  use  of  the 
creditors,  and  shall  moreover  be  liable  for  the  property  so  detained. 

§  8.  That  at  any  time,  previous  to  the  closing  of  the  accounts  of  the 
said  assignee  or  assignees  so  chosen  as  aforesaid,  it  shall  be  lawful  for 
such  creditors  of  the  bankrupt  as  are  hereby  authorized  to  vote  in  the 
choice  of  assignees,  or  the  major  part  of  them,  in  value,  at  a  regular 
meeting  of  the  said  creditors, ,  to  be  called  for  that  purpose,  by  the  said 


FORMER  BANKRUPTCY  ACTS.  427 

commissioners,  or  by  one  fourth,  in  value,  of  such  creditors,  to  remove 
all  or  any  of  the  assignees  chosen  as  aforesaid,  and  to  choose  one  or  more 
in  his  or  their  place  and  stead:  and  such  assignee  or  assignees  as  shall 
be  so  removed,  shall  deliver  up  all  the  estate  and  effects  of  such  bankrupt, 
which  shall  have  come  into  his  or  their  hands  or  possession,  unto  such 
new  assignee  or  assignees  as  shall  be  chosen  by  the  creditors  at  such 
meeting;  and  all  such  estate  and  effects  shall  be,  to  all  intents  and  pur- 
poses, as  effectually  and  legally  vested  in  such  new  assignee  or  assignees, 
as  if  the  first  assignment  had  been  made  to  him  or  them  by  the  said 
commissioners:  And  if  such  former  assignee  or  assignees  shall  refuse 
or  neglect,  for  the  space  of  ten  days,  next  after  notice  in  writing  from 
such  new  assignee  or  assignees,  of  their  appointment,  as  aforesaid,  to 
deliver  over,  as  aforesaid,  all  the  estate  and  effects  aforesaid,  every  such 
former  assignee  or  assignees  shall,  respectively,  forfeit  a  sum  not  exceed- 
ing five  thousand  dollars,  for  the  use  of  the  creditors,  and  shall  moreover 
be  liable  for  the  property  so  detained. 

§  9.  That  whenever  a  new  assignee  or 'assignees  shall  be  chosen  as 
aforesaid,  no  suit  at  law  or  in  equity  shall  be  thereby  abated ;  but  it  shall 
and  may  be  lawful  for  the  court  in  which  any  suit  may  depend,  upon 
the  suggestion  of  a  removal  of  a  former  assignee  or  assignees,  and  of 
the  appointment  of  a  new  assignee  or  assignees,  to  allow  the  name  of 
such  new  assignee  or  assignees,  to  be  substituted  in  place  of  the  name 
or  names  of  the  former  assignee  or  assignees,  and  thereupon  the  suit 
shall  be  prosecuted  in  the  name  or  names  of  the  new  assignee  or 
assignees,  in  the  same  manner  as  if  he  or  they  had  originally  commenced 
the  suit  in  his  or  their  own  names. 

§  10.  That  the  assignment  or  assignments  of  the  commissioners  of  the 
bankrupt's  estate  and  effects  as  aforesaid,  made  as  aforesaid,  shall  be 
good  at  law  or  in  equity,  against  the  bankrupt;  and  all  persons  claiming 
by,  from,  or  under,  such  bankrupt,  by  any  act  done  at  the  time,  or 
after,  he  shall  have  committed  the  act  of  bankruptcy  upon  which  the 
commission  issued :  Provided  always,  That  in  case  of  a  bona  fide  purchase, 
made  before  the  issuing  of  the  commission  from  or  under  such  bankrupt, 
for  a  valuable  consideration,  by  any  person  having  no  knowledge,  informa- 
tion, or  notice,  of  any  act  of  bankruptcy  committed,  such  purchase  shall 
not  be  invalidated  or  impeached. 

§  11.  That  the  said  commissioners  shall  have  power,  by  deed  or  deeds, 
under  their  hands  and  seals,  to  assign  and  convey  to  the  assignee  or 
assignees,  to  be  appointed  or  chosen  as  aforesaid,  any  lands,  tenements, 
or  hereditaments,  which  such  bankrupt  shall  be  seised  of,  or  entitled  to, 
in  fee  tail,  at  law,  or  in  equity,  in  possession,  remainder,  or  reversion, 
for  the  benefit  of  the  creditors;  and  all  such  deeds,  being  duly  executed, 
and  recorded,  according  to  the  laws  of  the  state  within  which  such  lands, 


428  FORMER  BANKRUPTCY  ACT§. 

tenements,  or  hereditaments,  may  be  situate,  shall  be  good  and  effectual 
against  all  persons  whom  the  said  bankrupt,  by  common  recovery,  or 
other  means,  might  or  could  bar  of  any  estate,  right,  title,  or  possibility, 
of  or  in  the  said  lands,  tenements,  or  hereditaments. 

'  §  12  That  if  any  bankrupt  shall  have  conveyed  or  assured  any  lands, 
goods,  or  estate,  unto  any  person,  upon  condition  or  power  of  redemp- 
tion, by  payment  of  money  or  otherwise,  it  shall  be  lawful  for  the  com- 
missioners, or  for  any  person  by  them  duly  authorized  for  that  purpose, 
by  writing,  under  their  hands  and  seals,  to  make  tender  of  money,  or 
other  performance,  according  to  the  nature  of  such  condition,  as  fully  as 
the  bankrupt  might  have  done;  and  the  commissioners,  after  such  per- 
formance or  tender,  shall  have  power  to  assign  such  lands,  goods,  and 
estate,  for  the  benefit  of  the  creditors,  as  fully  and  effectually  as  any 
other  part  of  the  estate  of  such  bankrupt. 

§  13.  That  the  commissioners  aforesaid  shall  have  power  to  assign, 
for  the  use  aforesaid,  all  the  debts  due  to  such  bankrupt,  or  to  any  other 
person  for  his  or  her  use  or  benefit;  which  assignment  shall  vest  the 
property  and  right  thereof  in  the  assignee  or  assignees  of  such  bankrupt, 
as  fully  as  if  the  bond,  judgment,  contract,  or  claim,  had  originally 
belonged  or  been  made  to  the  said  assignees;  and  after  the  said  assign- 
ment, neither  the  said  bankrupt,  nor  any  person  acting  as  trustee  for  him 
or  her,  shall  have  power  to  recover  or  discharge  the  same,  nor  shall  the 
same  be  attached  as  the  debt  of  the  said  bankrupt;  but  the  assignee  or 
assignees  aforesaid  shall  have  such  remedy  to  recover  the  same,  in  his 
or  their  own  name  or  names,  as  such  bankrupt  might  or  could  have  had 
if  no  commission  of  bankruptcy  had  issued:  And  when  any  action  in 
the  name  of  such  bankrupt  shall  have  been  commenced,  and  shall  be  pend- 
ing for  the  recovery  of  any  debt  or  effects  of  such  bankrupt,  which  shall 
be  assigned,  or  shall  or  might  become  vested  in  the  assignee  or  assignees  of 
such  bankrupt  as  aforesaid,  then  such  assignee  or  assignees  may  claim 
to  be,  and  shall  be  thereupon,  admitted  to  prosecute  such  action  in  his 
or  their  name,  for  the  use  and  benefit  of  the  creditors  of  such  bankrupt ; 
and  the  same  judgment  shall  be  rendered  in  such  action,  and  all  attach- 
ments or  other  security  taken  therein,  shall  be  in  like  manner  holden  and 
liable,  as  if  the  said  action  had  been  originally  commenced  in  the  name 
of  such  assignee  or  assignees,  after  the  original  plaintiff  therein  had  be- 
come a  bankrupt  as  aforesaid :  Provided,  That  where  a  debtor  shall  have, 
bona  fide,  paid  his  debt  to  any  bankrupt,  without  notice  that  such  person 
was  bankrupt,  he  or  she  shall  not  be  liable  to  pay  the  same  to  the  assignee 
or  assignees. 

§  14.  That  if  complaint  shall  be  made,  or  information  given,  to  the 
commissioners,  or  if  they  shall  have  good  reason  to  believe  or  suspect, 
that  any  of  the  property,  goods,  chattels,  or  debts,  of  the  bankrupt,  are 


FORMER  BANKRUPTCY  ACTS.  429 

in  the  possession  of  any  other  person,  or  that  any  person  is  indebted  to, 
or  for  the  use  of,  the  bankrupt,  then  the  said  commissioners  shall  have 
power  to  summon,  or  cause  to  be  summoned  by  their  attorney  or  other 
person  duly  authorized  by  them,  all  such  persons  before  them,  or  the  judge 
of  the  district  where  such  person  shall  reside,  by  such  process,  or  other 
maens,  as  they  shall  think  convenient,  and  upon  their  appearance,  to  exam- 
ine them  by  parole,  or  by  interrogatories,  in  writing,  on  oath  or  affirma- 
tion, which  oath  or  afl5rmation  they  are  hereby  empowered  to  administer, 
respecting  the  knowledge  of  all  such  property,  goods,  chattels,  and  debts ; 
and  if  such  person  shall  refuse  to  be  sworn  or  affirmed,  and  to  make 
answer  to  such  questions  or  interrogatories  as  shall  be  administered,  and 
to  subscribe  the  said  answers,  or,  upon  examination,  shall  not  declare  the 
whole  truth,  touching  the  subject  matter  of  such  examination,  then  it  shall 
be  lawful  for  the  commissioners,  or  judge,  to  commit  such  person  to 
prison,  there  to  be  detained  until  they  shall  submit  themselves  to  be 
examined  in  manner  aforesaid,  and  they  shall,  moreover,  forfeit  double 
the  value  of  all  the  property,  goods,  chattels,  and  debts,  by  them  con- 
cealed. 

§  15.  That  if  any  of  the  aforesaid  persons  shall,  after  legal  summons 
to  appear  before  the  commissioners  or  judge,  to  be  examined,  refuse  to 
attend,  or  shall  not  attend  at  the  time  appointed,  having  no  such  impedi- 
ment as  shall  be  allowed  of  by  the  commissioners  or  judge,  it  shall  be 
lawful  for  the  said  commissioners  or  judge  to  direct  their  warrants  to 
such  person  or  persons  as  by  them  shall  be  thought  proper,  to  apprehend 
such  persons  as  shall  refuse  to  appear,  and  to  bring  them  before  the  com- 
missioners or  judge,  to  be  examined,  and  upon  their  refusal  to  come,  tO' 
commit  them  to  prison,  until  they  shall  submit  themselves  to  be  exam- 
ined, according  to  the  directions  of  this  act:  Provided,  That  such  wit- 
nesses as  shall  be  so  sent  for,  shall  be  allowed  such  compensation  as  the 
commissioners,  or  judge,  shall  think  fit,  to  be  rateably  borne  by  the  cred- 
itors; and  if  any  person,  other  than  the  bankrupt,  either  by  subornation 
of  others,  or  by  his  or  her  own  act,  shall,  wilfully  or  corruptly,  commit 
perjury  on  such  examination,  to  be  taken  before  the  commissioners  as 
aforesaid,  the  party  so  offending,  and  all  persons  who  shall  procure  any 
person  to  commit  such  perjury,  shall,  on  conviction  thereof,  be  fined,  not 
exceeding  four  thousand  dollars,  and  imprisoned,  not  exceeding  two 
years,  and  moreover  shall,  in  either  case,  be  rendered  incapable  of  being 
a  witness  in  any  court  of  record. 

§  16.  That  if  any  person  or  persons  shall  fraudulently  or  collusively, 
claim  any  debts,  or  claim  or  detain  any  real  or  personal  estate  of  the 
bankrupt,  every  such  person  shall  forfeit  double  the  value  thereof,  to  and 

for  the  use  of  the  creditors. 

§  17.  That  i*  any  person,  prior  to  his  or  her  becoming  a  bankrupt, 
shall  convey  to  any  of  his  or  her  children,  or  other  persons,  any  lands 


430  FORMER  BANKRUPTCY  ACTS. 

or  goods,  or  transfer  his  or  [her]  debts  or  demands  into  other  persons' 
names,  with  intent  to  defraud  his  or  her  creditors,  the  commissioners 
shall  have  power  to  assign  the  same,  in  as  effectual  a  manner  as  if  the 
bankrupt  had  been  actually  seised  or  possessed  thereof. 

§  18.  That  if  any  person  or  persons,  who  shall  become  bankrupt 
within  the  intent  and  meaning  of  this  act,  and  against  whom  a  commission 
of  bankruptcy  shall  be  duly  issued,  upon  which  commission  such  person 
or  persons  shall  be  declared  bankrupt,  shall  not,  within  forty-two  days 
after  notice  thereof,  in  writing,  to  be  left  at  the  usual  place  of  abode  of 
such  person  or  persons,  or  personal  notice,  in  case  such  person  or  persons 
be  then  in  prison,  and  notice  given  in  some  gazette,  that  such  commission 
hath  been  issued,  and  of  the  time  and  place  of  meeting  of  the  commis- 
sioners, surrender  him  or  herself  to  the  said  commissioners,  and  sign  or 
subscribe  such  surrender,  and  submit  to  be  examined,  from  time  to  time, 
upon  oath  or  solemn  affirmation,  by  and  before  such  commissioners,  and 
in  all  things  conform  to  the  provisions  of  this  act,  and  also,  upon  such 
his  or  her  examination,  fully  and  truly  disclose  and  discover  all  his  or  her 
effects  and  estate,  real  and  personal,  and  how  and  in  what  manner,  to 
whom  and  upon  what  consideration,  and  at  what  time  or  times,  he  or 
she  hath  disposed  of,  assigned,  or  transferred,  any  of  his  or  her  goods, 
wares,  or  merchandise,  moneys,  or  other  effects  and  estate,  and  of  all 
books,  papers,  and  writings,  relating  thereunto,  of  which  he  or  she  was 
possessed  or  in  or  to  which  he  or  she  was  any  ways  interested  or  entitled, 
or  which  any  person  or  persons  shall  then  have,  or  shall  have  had,  in  trust 
for  him  or  her,  or  for  his  or  her  use,  at  any  time  before  or  after  the  issu- 
ing of  the  said  commission,  or  whereby  such  bankrupt,  or  his  or  her 
family  then  hath,  or  may  have,  or  expect,  any  profit,  possibility  of  profit, 
benefit,  or  advantage  whatsoever,  except  only  such  part  of  his  or  her  estate 
and  effects  as  shall  have  been  really  and  bona  fide  before  sold  and  disposed 
of,  in  the  way  of  his  or  her  trade  and  dealings,  and  except  such  sums 
of  money  as  shall  have  been  laid  out  in  the  ordinary  expenses  of  his  or 
her  family,  and  also  upon  such  examination,  execute,  in  due  form  of  law, 
such  conveyance,  assurance,  and  assignment  of  his  or  her  estate,  whatso- 
ever and  wheresoever,  as  shall  be  devised  and  directed  by  the  commis- 
sioners, to  vest  the  same  in  the  assignees,  their  heirs,  executors,  admin- 
istrators, and  assigns,  forever,  in  trust,  for  the  use  of  all  and  every  the 
creditors  of  such  bankrupt,  who  shall  come  in  and  prove  their  debts  under 
the  commission ;  and  deliver  up  unto  the  commissioners,  all  such  part  of  his 
or  her,  the  said  bankrupt's  goods,  wares,  merchandises,  money,  effects, 
and  estate,  and  all  books,  papers,  and  writings,  relating  thereunto,  as,  at 
the  time  of  such  examination,  shall  be  in  his  or  her  possession,  custody, 
or  power,  his  or  her  necessary  wearing  apparel,  and  the  necessary  wearing 
apparel  of  the  wife  and  children,  and  necessary  beds  and  bedding,  of  such 
bankrupt,  only  excepted,  then  he  or  she,  the  said  bankrupt,  upon  the  con- 


FORMER  BANKRUPTCY  ACTS.  431 

viction  of  any  wilful  default  or  omission  in  any  of  the  matters  or  things 
aforesaid,  shall  be  adjudged  a  fraudulent  bankrupt,  and  shall  suflfer 
imprisonment  for  a  term  not  less  than  twelve  months,  nor  exceeding  ten 
years,  and  shall  not,  at  any  time  after,  be  entitled  to  the  benefits  of  this 
act:  Provided  always,  That  in  case  any  bankrupt  shall  be  in  prison,  or 
custody,  at  the  time  of  issuing  such  commission,  and  is  willing  to  sur- 
render and  submit  to  be  examined,  according  to  the  directions  of  this  act, 
and  can  be  brought  before  the  said  commissioners  and  creditors  for  that 
purpose,  the  expense  thereof  shall  be  paid  out  of  the  said  bankrupt's 
effects;  and  in  case  such  bankrupt  is  in  execution,  or  cannot  be  brought 
before  the  commissioners,  that  then  the  said  commissioners,  or  some  one 
of  them,  shall,  from  time  to  time,  attend  the  said  bankrupt  in  prison  or 
custody,  and  take  his  or  her  discovery,  as  in  other ,  cases ;  and  the 
assignees,  or  one  of  them,  or  some  person  appointed  by  them,  shall  attend 
such  bankrupt  in  prison  or  custody,  and  produce  his  or  her  books,  papers, 
and  writings,  in  order  to  enable  him  or  her  to  prepare  his  or  her  dis- 
covery; a  copy  whereof  the  said  assignees  shall  apply  for,  and  the  said 
bankrupt  shall  deliver  to  them,  or  their  order,  within  a  reasonable  time 
after  the  same  shall  have  been  required. 

§  19.  That  the  said  commissioners  shall  appoint,  within  the  said  forty- 
two  days,  so  limited  as  aforesaid,  for  the  bankrupt  to  surrender  and  con- 
form as  aforesaid,  not  less  than  three  several  meetings,  for  the  purposes 
.aforesaid,  the  third  of  which  meetings  shall  be  on  the  last  of  the  said 
forty-two  days:  Provided  always,  That  the  judge  of  the  district  within 
which  such  commission  issues,  shall  have  power  to  enlarge  the  time  so 
limited  as  aforesaid,  for  the  purposes  aforesaid,  as  he  shall  think  fit,  not 
exceeding  fifty  days,  to  be  computed  from  the  end  of  the  said  forty-two 
days,  so  as  such  order  for  enlarging  the  time  be  made  at  least  six  days 
before  the  expiration  of  said  term. 

§  20.  That  it  shall  be  lawful  for  the  commissioners,  or  any  other 
person  or  officers,  by  them  to  be  appointed,  by  their  warrant,  under  their 
hands  and  seals,  to  break  open,  in  the  day  time,  the  houses,  chambers, 
shops,  warehouses,  doors,  trunks,  or  chests,  of  the  bankrupt,  where  any 
of  his  or  her  goods  or  estate,  deeds  books  of  account,  or  writings,  shall 
be,  and  to  take  possession  of  the  goods,  money,  and  other  estate,  deeds, 
books  of  account,  or  writings,  of  such  bankrupt. 

§  21.  That  if  the  bankrupt  shall  refuse  to  be  examined,  or  to  answer 
fully,  or  to  subscribe  his  or  her  examination,  as  aforesaid,  it  shall  be 
lawful  for  the  commissioners  to  commit  the  offender  to  close  imprison- 
ment, until  he  or  she  shall  conform  him  or  herself;  and  if  the  said  bank- 
rupt shall  submit  to  be  examined,  and,  upon  his  or  her  examination,  it 
shall  appear  that  he  or  she  hath  committed  wilful  or  corrupt  perjury, 
he  or  she  may  be  indicted  therefor,  and,  being  thereof  convicted,  shall 


432  FORMER  BANKRUPTCY  ACTS. 

suffer  imprisonment  for  a  term  not  less  than  two  years,  nor  exceeding 

ten  years. 

§  22.  That  every  bankrupt,  having  surrendered,  shall  at  all  seasonable 
times,  before  the  expiration  of  the  said  forty-two  days,  as  aforesaid,  or 
of  such  further  time  as  shall  be  allowed  to  finish  his  or  her  examina- 
tion, be  at  liberty  to  inspect  his  or  her  books  and  writings,  in  the  pres- 
ence of  some  person  to  be  appointed  by  the  commissioners,  and  to  bring 
with  him  or  her,  for  his  or  her  assistance,  such  persons  as  he  or  she 
shall  think  fit,  not  exceeding  two  at  one  time,  and  to  make  extracts  and 
copies  to  enable  him  or  her  to  make  a  full  discovery  of  his  or  her  effects; 
and  the  said  bankrupt  shall  be  free  from  arrests  in  coming  to  surrender, 
and  after  having  surrendered  to  the  said  commissioners,  for  the  said 
forty-two  days,  or  such  further  time  as  shall  be  allowed  for  the  finish- 
ing of  his  or  her  examination ;  and  in  case  such  bankrupt  shall  be  arrested 
for  debt,  or  taken  on  any  escape  warrant  or  execution,  coming  to  sur- 
render, or  after  his  surrender,  within  the  time  before  mentioned,  then, 
on  producing  such  summons  or  notice  under  the  hand  of  the  commission- 
ers, and  giving  the  officer  a  copy  thereof,  he  or  she  shall  be  discharged; 
and  in  case  any  officer  shall  afterwards  detain  such  bankrupt,  such  officer 
shall  forfeit  to  such  bankrupt,  for  his  or  her  own  use,  ten  dollars  for 
every  day  he  shall  detain  the  bankrupt. 

§  23.  That  every  person  who  shall,  knowingly  or  wilfully,  receive  or 
keep  concealed  any  bankrupt,  so  as  aforesaid  summoned  to  appear,  or 
who  shall  assist  such  bankrupt  in  concealing  him  or  herself,  or  in  abscond- 
ing, shall  suffer  such  imprisonment,  not  exceeding  twelve  months,  or  pay 
such  fine  to  the  United  States,  not  exceeding  one  thousand  dollars,  as 
upon  conviction  thereof  shall  be  adjudged. 

§  24.  That  the  said  commissioners,  shall  have  power  to  examine,  upon 
oath  or  affirmation,  the  wife  of  any  person  lawfully  declared  a  bankrupt, 
for  the  discovery  of  such  part  of  his  estate  as  may  be  concealed  or  dis- 
posed of  by  such  wife,  or  by  any  such  person;  and  the  wife  shall  incur 
such  penalties  for  not  appearing  before  the  said  commissioners,  or  refus- 
ing to  be  sworn  or  affirmed  or  examined,  and  to  subscribe  her  examina- 
tion, or  for  not  disclosing  the  truth,  as  by  this  act  is  provided  against 
any  other  person  in  like  cases. 

§  25.  That  in  case  any  person  shall  be  committed  by  the  commissioners 
for  refusing  to  answer,  or  for  not  fully  answering  any  question,  or  for 
any  other  cause,  the  commissioners  shall  in  their  warrant  specify  such 
question  or  other  cause  of  commitment. 

§  26.  That  if  after  the  bankrupt  shall  have  finished  his  or  her  final  ex- 
amination, any  other  person  or  persons  shall  voluntarily  make  discovery 
of  any  part  of  such  bankrupt's  estate,  before  unknown  to  the  commis- 


FORMER  BANKRUPTCY  ACTS.  433 

sioners,  such  person  or  persons  shall  be  entitled  to  five  per  cent,  out  of 
the  effects  so  discovered,  and  such  further  reward  as  the  commissioners 
shall  think  proper;  and  any  trustee  having  notice  of  the  bankruptcy,  wil- 
fully concealing  the  estate  of  any  bankrupt  for  the  space  of  ten  days 
after  the  bankrupt  shall  have  finished  his  final  examination,  as  aforesaid, 
shall  forfeit  double  the  value  of  the  estate  so  concealed,  for  the  benefit 
of  the  creditors. 

§  27.  That  if  any  bankrupt,  after  the  issuing  any  commission  against 
him  or  her,  pay  to  the  person  who  sued  out  the  same,  or  give  or  de- 
liver to  such  person,  goods,  or  any  other  satisfaction  or  security  for  his 
or  her  debt,  whereby  such  person  shall  privately  have  and  receive  a  greater 
proportion  of  his  or  her  debt  than  the  other  creditors,  such  preference 
shall  be  a  new  act  of  bankruptcy,  and  on  good  proof  thereof  such  com- 
mission may  and  shall  be  superseded,  and  it  shall  and  may  be  lawful  for 
either  of  the  judges  having  authority  to  grant  the  commission  as  afore- 
said, to  award  any  creditor  petitioning  another  commission,  and  such 
person,  so  taking  such  undue  satisfaction  as  aforesaid,  shall  forfeit  and  lose, 
as  well  his  or  her  whole  debts,  as  the  whole  he  or  she  shall  have  taken 
and  received,  and  shall  pay  back  or  deliver  up  the  same,  or  the  full  value, 
thereof,  to  the  assignee  or  assignees  who  shall  be  appointed  or  chosen 
under  such  commission,  in  manner  aforesaid,  in  trust  for,  and  to  be  divided 
among,  the  other  creditors  of  the  said  bankrupt,  in  proportion  to  their 
respective  debts. 

§  28.  That  if  any  bankrupt,  after  the  issuing  any  commission  against 
him  or  her,  pay  to  the  person  who  sued  out  the  same,  or  give  or  deliver 
to  such  person,  goods,  or  any  other  satisfaction  or  security,  for  his  or 
her  debt,  whereby  such  person  shall  privately  have  and  receive  a  greater 
proportion  of  his  or  her  debt  than  the  other  creditors,  such  preference 
shall  be  a  new  act  of  bankruptcy,  and  on  good  proof  thereof,  such  com- 
mission shall  and  may  be  superseded,  and  it  shall  and  may  be  lawful  for 
either  of  the  judges,  having  authority  to  grant  the  commission  as  afore- 
said, to  award  any  creditor  petitioning  another  commission;  and  such 
person,  so  taking  such  undue  satisfaction  as  aforesaid,  shall  forfeit  and 
lose,  as  well  his  or  her  whole  debts,  as  the  whole  he  or  she  shall  have 
taken  and  received,  and  shall  pay  back,  or  deliver  up  the  same,  or  the 
full  value  thereof,  to  the  assignee  or  assignees  who  shall  be  appointed 
or  chosen  under  such  commission  in  manner  aforesaid,  in  trust  for,  and 
to  be  divided  amongst  the  other  creditors  of  the  said  bankrupt,  in  pro- 
portion to  their  respective  debts. 

§  29.  That  every  person  who  shall  be  chosen  assignee  of  the  estate 
and  effects  of  a  bankrupt  shall,  at  some  time  after  the  expiration  of  four 
months,  and  within  twelve  months  from  the  time  of  issuing  the  commis- 
sion, cause  at  least  thirty  days  public  notice  to  be  given  of  the  time  and 


434  FORMER  BANKRUPTCY  ACTS. 

place  the  commissioners  and  assignees  intend  to  meet,  to  make  a  dividend 
or  distribution  of  the  bankrupt's  estate  and  effects;  at  which  time  the 
creditors  who  have  not  before  proved  their  debts  shall  be  at  liberty  to 
prove  the  same;  and  upon  every  such  meeting  the  assignee  or  assignees 
shall  produce  to  the  commissioners  and  creditors  then  present  fair  and 
just  accounts  of  all  his  or  their  receipts  and  payments,  touching  the  bank- 
rupt's estate  and  effects,  and  of  what  shall  remain  outstanding,  and  the 
particulars  thereof,  and  shall,  if  the  creditors  then  present,  or  a  major 
part  of  them,  require  the  same,  be  examined  upon  oath  or  solemn  affirma- 
tion before  the  same  commissioners,  touching  the  truth  of  such  accounts; 
and  in  such  accounts  the  said  assignee  or  assignees  shall  be  allowed  and 
retain  all  such  sum  and  sums  of  money  as  they  shall  have  paid  or  ex- 
pended in  the  suing  out  and  prosecuting  the  commission,  and  all  other 
just  allowances  on  account  of  or  by  reason  or  means  of  their  being 
assignee  or  assignees;  and  the  said  commissioners  shall  order  such  part 
of  the  net  produce  of  all  the  said  bankrupt's  estate  as  by  such  accounts 
or  otherwise  shall  appear  to  be  in  the  hands  of  the  said  assignees,  as 
they  shall  think  fit,  to  be  forthwith  divided  among  such  of  the  bank- 
rupt's creditors  as  had  duly  proved  their  debts  under  such  commission, 
in  proportion  to  their  several  and  respective  debts ;  and  the  commissioners 
shall  make  such  their  order  for  a  dividend  in  writing,  under  their  hands, 
and  shall  cause  one  part  of  such  order  to  be  filed  amongst  the  proceed- 
ings under  the  said  commission,  and  shall  deliver  to  each  of  the  assignees 
under  such  commission  a  duplicate  of  such  their  order,  which  order  of 
distribution  shall  contain  an  account  of  the  time  and  place  of  making 
such  order,  and  the  sum  total  or  quantum  of  all  the  debts  proved  under 
the  commission,  and  the  sum  total  of  the  money  remaining  in  the  hands 
of  the  assignee  or  assignees  to  be  divided,  and  how  many  per  cent  in 
particular  is  there  ordered  to  be  paid  to  every  creditor  of  his  debt;  and 
the  said  assignee  or  assignees,  in  pursuance  of  such  order,  and  without 
any  deed  or  deeds  of  distribution  to  be  made  for  the  purpose,  shall  forth- 
with make  such  dividend  and  distribution  accordingly,  and  shall  take 
receipts  in  a  book  to  be  kept  for  the  purpose,  from  each  creditor,  for  the 
part  or  share  of  such  dividend  or  distribution  which  he  or  they  shall 
make  and  pay  to  each  creditor  respectively;  and  such  order  and  receipt 
shall  be  a  full  and  effectual  discharge  to  such  assignee  for  so  much  as  he 
shall  fairly  pay,  pursuant  to  such  order  as  aforesaid. 

§  30.  That  within  eighteen  months  next  after  the  issuing  of  the  com- 
mission the  assignee  or  assignees  shall  make  a  second  dividend  of  the  bank- 
rupt's estate  and  effects,  in  case  the  same  were  not  wholly  divided  upon  the 
first  dividend,  and  shall  cause  due  public  notice  to  be  given  of  the  time  and 
place  the  said  commissioners  intend  to  meet  to  make  a  second  distribution 
of  the  bankrupt's  estate  and  effects,  and  for  the  creditors  who  shall  not 
before  have  proved  their  debts,  to  come  in  and  prove  the  same;  and  at 


FORMER  BANKRUPTCY  ACTS.  435 

said  meeting  the  said  assignees  shall  produce,  on  oath  or  solemn  aflSrma- 
tion,  as  aforesaid,  their  accounts  of  the  bankrupt's  estate  and  effects,  and 
what,  upon  the  balance  thereof,  shall  appear  to  be  in  their  hands,  shall, 
by  like  order  of  the  commissioners,  be  forthwith  divided  amongst  such 
of  the  bankrupt's  creditors  as  shall  have  made  due  proof  of  their  debts, 
in  proportion  to  their  several  and  respective  debts;  which  second  divi- 
dend shall  be  final,  unless  any  suit  at  law,  or  equity,  be  depending,  or 
any  part  of  the  estate  standing  out,  that  could  not  have  been  dis- 
posed of,  or  that  the  major  part  of  the  creditors  shall  not  have  agreed 
to  be  sold  or  disposed  of,  or  unless  some  other  or  future  estate  or 
effects  of  the  bankrupt  shall  afterwards  come  to,  or  vest  in,  the  said 
assignees,  in  which  cases  the  said  assignees  shall,  as  soon  as  may  be, 
convert  such  future  or  other  estate  and  effects  into  money,  and  shall, 
within  two  months  after  the  same  be  converted  into  money,  by  like  order 
of  the  commissioners,  divide  the  same  among  such  bankrupt's  creditors 
as  shall  have  made  due  proof  of  their  debt  under  such  commission. 

§  31.  That  in  the  distribution  of  the  bankrupt's  effects,  there  shall 
be  paid  to  every  of  the  creditors  a  portion  rate,  according  to  the  amount 
of  their  respective  debts,  so  that  every  creditor  having  security  for  his 
debt  by  judgment,  statute,  recognisance,  or  specialty,  or  having  an  attach- 
ment under  any  of  the  laws  of  the  individual  states,  or  of  the  United 
States,  on  the  estate  of  such  bankrupt,  {Provided,  there  be  no  execution 
executed  upon  any  of  the  real  or  personal  estate  of  such  bankrupt,  before 
the  time  he  or  she  became  bankrupts)  shall  not  be  relieved  upon  any 
such  judgment,  statute,  recognisance,  specialty,  or  attachment,  for  more 
than  a  rateable  part  of  his  debt,  with  the  other  creditors  of  the  bank- 
rupt. 

§  32.  That  the  assignees  shall  keep  one  or  more  distinct  book,  or 
books,  of  account,  wherein  he  or  they  shall  duly  enter  all  sums  of  money 
or  effects  which  he  or  they  shall  have  received,  or  got  into  his  or  their 
possession,  of  the  said  bankrupt's  estate,  to  which  books  of  account,  every 
creditor,  who  shall  have  proved  his  or  her  debt,  shall,  at  all  reasonable 
times,  have  free  resort,  and  inspect  the  same  as  often  as  he  or  she  shall 
think  fit. 

§  33.  That  every  bankrupt,  not  being  in  prison  or  custody,  shall,  at  all 
times  after  his  surrender,  be  bound  to  attend  the  assignees,  upon  every 
reasonable  notice,  in  writing,  for  that  purpose  given,  or  left  at  the 
usual  place  of  his  or  her  abode,  in  order  to  assist  in  making  out  the  ac- 
counts of  the  said  bankrupt's  estate  and  effects,  and  to  attend  any  court 
of  record,  to  be  examined  touching  the  same,  or  such  other  business  as 
the  said  assignees  shall  judge  necessary,  for  which  he  shall  receive  three 
dollars  per  day. 

§  34.   That  all  and  every  person  and  persons  who  shall  become  bank- 


436  FORMER  BANKRUPTCY  ACTS. 

rupt  as  aforesaid,  and  who  shall,  within  the  time  limited  by  this  act, 
surrender  him  or  herself  to  the  commissioners,  and  in  all  things  con- 
form as  in  and  by  this  act  is  directed,  shall  be  allowed  five  per  cent, 
upon  the  nett  produce  of  all  the  estate  that  shall  be  recovered  in  and 
received,  which  shall  be  paid  unto  him  or  her  by  the  assignee  or  as- 
signees, in  case  the  nett  produce  of  such  estate,  after  such  allowance 
made,  shall  be  sufficient  to  pay  the  creditors  of  said  bankrupt,  who  shall 
have  proved  their  debts  under  such  commission,  the  amount  of  fifty  per 
cent,  on  their  said  debts,  respectively,  and  so  as  the  said  five  per  cent, 
shall  not  exceed,  in  the  whole,  the  sum  of  five  hundred  dollars;  and  iri 
case  the  nett  produce  of  the  said  estate  shall,  over  and  above  the  allow- 
ance hereafter  mentioned,  be  sufficient  to  pay  the  said  creditors  seventy- 
five  per  cent,  on  the  amount  of  their  said  debts,  respectively,  that  then 
the  said  bankrupt  shall  be  allowed  ten  per  cent,  on  the  amount  of  such 
nett  produce,  to  be  paid  as  aforesaid,  so  as  such  ten  per  cent,  shall  not. 
in  the  whole,  exceed  the  sum  of  eight  hundred  dollars;  and  every  such 
bankrupt  shall  be  discharged  from  all  debts  by  him  or  her  due  or  owing, 
at  the  time  he  or  she  became  bankrupt,  and  all  which  were  or  might 
have  been  proved  under  the  said  commission ;  and  in  case  any  such  bank- 
rupt shall  afterwards  be  arrested,  prosecuted,  or  impleaded,  for  or  an  ac- 
count of  any  of  the  said  debts,  such  bankrupt  may  appear  without  bail, 
and  may  plead  the  general  issue,  and  give  this  act,  and  the  special  mat- 
ter, in  evidence:  And  the  certificate  of  such  bankrupt's  conforming,  and 
the  allowance  thereof,  according  to  the  directions  of  this  act,  shall  be  and 
shall  be  allowed  to  be  sufficient  evidence,  prima  facie,  of  the  party's 
being  a  bankrupt  within  the  meaning  of  this  act,  and  of  the 
commission,  and  other  proceedings  precedent  to  the  obtaining  such 
certificate,  and  a  verdict  shall  thereupon  pass  for  the  defendant,  unless 
the  plaintiff  in  such  action  can  prove  the  said  certificate  was  obtained 
unfairly,  and  by  fraud,  or  unless  he  can  make  appear  any  concealment 
of  estate  or  effects,  by  such  bankrupt,  to  the  value  of  one  hundred  dol- 
lars: Provided,  That  no  such  discharge  of  a  bankrupt  shall  release  or 
discharge  any  person  who  was  a  partner  with  such  bankrupt  at  the 
time  he  or  she  became  bankrupt,  or  who  was  then  jointly  held  or  bound 
with  such  bankrupt,  for  the  same  debt  or  debts  from  which  such  bank- 
rupt was  discharged  as  aforesaid. 

§  35.  That  if  the  net  proceeds  of  the  bankrupt's  estate,  so  to  be  dis- 
covered, recovered,  and  received,  shall  not  amount  to  so  much  as  will 
pay  all  and  every  of  the  creditors  of  the  said  bankrupt,  who  shall  have 
proved  their  debts  under  the  said  commission,  the  amount  of  fifty  per 
cent,  on  their  debts,  respectively,  after  all  charges  first  deducted,  that 
then,  and  in  such  case,  the  bankrupt  shall  not  be  allowed  five  per  centum 
on  such  estate  as  shall  be  recovered  in,  but  shall  have  and  be  paid  by  the 
assignees  so  much  money  as  the  commissioners  shall  think  fit  to  allow. 


Former  bankruptcy  acts,  437 

not  more  than  three  hundred  dollars,  nor  exceeding  three  per  centum 
on  the  nett  proceeds  of  the  said  bankrupt's  estate. 

§  36.  That  no  person  becoming  a  bankrupt  according  to  the  intent 
and  provisions  of  this  act,  shall  be  entitled  to  a  certificate  of  discharge, 
or  to  any  of  the  benefits  of  the  act,  unless  the  commissioners  shall  certify 
under  their  hands,  to  the  judge  of  the  district  within  which  such  com- 
mission issues,  that  such  bankrupt  hath  made  a  full  discovery  of  his  or 
her  estate  and  effects,  and  in  all  things  conformed  him  or  herself  to  the 
directions  of  this  act,  and  that  there  doth  not  appear  to  them  any  reason 
to  doubt  of  the  truth  of  such  discovery,  or  that  the  same  was  not  a  full 
discovery  of  the  said  bankrupt's  estate  and  effects;  or  unless  the  said 
judge  should  be  of  opinion  that  the  said  certificate  was  unreasonably 
denied  by  the  commissioners;  and  unless  two  thirds,  in  number  and  in 
value,  of  the  creditors  of  the  bankrupt,  who  shall  be  creditors  for  not 
less  than  fifty  dollars,  respectively,  and  who  shall  have  duly  proved  their 
debts  under  the  said  commission,  shall  sign  such  certificate  to  the  judge, 
and  testify  their  consent  to  the  allowance  of  a  certificate  of  discharge, 
in  pursuance  of  this  act ;  which  signing  and  consent  shall  be  also  certified 
by  the  commissioners;  but  the  said  commissioners  shall  not  certify  the 
same  till  they  have  proof,  by  affidavit  or  information,  in  writing,  of  such 
creditors,  or  of  the  persons  respectively  authorized  for  that  purpose,  sign- 
ing the  said  certificate;  which  affidavit  or  affirmation,  together  with  the 
letter  or  power  of  attorney  to  sign,  shall  be  laid  before  the  judge  of  the 
district  within  which  such  commission  issues,  in  order  for  the  allowing 
the  certificate  of  discharge;  and  the  said  certificate  shall  not  be  allowed, 
unless  the  bankrupt  make  oath  or  affirmation,  in  writing,  that  the  certifi- 
cate of  the  commissioners,  and  consent  of  the  creditors  thereunto,  were 
obtained  fairly  and  without  fraud;  and  any  of  the  creditors  of  the  said 
bankrupt  are  allowed  to  be  heard,  if  they  shall  think  fit,  before  the  respec- 
tive persons  aforesaid,  against  the  making  or  allowing  of  such  certifi- 
cates by  the  commissioners  or  judge. 

§  37.  That  if  any  creditor,  or  pretended  creditor,  of  any  bankrupt,  shall 
exhibit  to  the  commissioners  any  fictitious  or  false  debt,  or  demand,  with 
'intent  to  defraud  the  real  creditors  of  such  bankrupt,  and  the  bankrupt 
shall  refuse  to  make  discovery  thereof,  and  suffer  the  fair  creditors  to  be 
imposed  upon,  he  shall  lose  all  title  to  the  allowance  upon  the  amount  of 
his  effects,  and  to  a  certificate  of  discharge  as  aforesaid;  nor  shall  he 
be  entitled  to  the  said  allowance  or  certificate,  if  he  has  lost,  at  any  one 
time,  fifty  dollars,  or,  in  the  whole,  three  hundred  dollars,  after  the  pass- 
ing of  this  act,  and  within  twelve  months  before  he  became  a  bankrupt, 
by  any  manner  of  gaming  or  wagering  whatever. 

§  38.  That  if  any  bankrupt,  who  shall  have  obtained  his  certificate, 
shall  be  taken  in  execution  or   detained   in  prison,   on  account  of  any 


438  FORMER  BANKRUPTCY  ACTS. 

debts  owing  before  he  became  a  bankrupt,  by  reason  that  judgment  was 
obtained  before  such  certificate  was  allowed,  it  shall  be  lawful  for  any 
of  the  judges  of  the  court  wherein  judgment  was  so  obtained,  or  for  any 
court,  judge,  or  justice,  within  the  district  in  which  such  bankrupt  shall  be 
detained,  having  powers  to  award  or  allow  the  writ  of  habeas  corpus,  on 
such  bankrupt  producing  his  certificate  so  as  aforesaid  allowed,  to  order  any 
sheriff  or  gaoler  who  shall  have  such  bankrupt  in  custody,  to  discharge 
such  bankrupt,  without  fee  or  charge,  first  giving  reasonable  notice  to  the 
plaintiff,  or  his  attorney,  of  the  motion  for  such  discharge. 

§  39.  That  every  person  who  shall  have,  bona  fide,  given  credit  to, 
or  taken  securities,  payable  at  future  days,  from  persons  who  are,  or 
shall  become,  bankrupts,  not  due  at  the  time  of  such  persons'  becom- 
ing bankrupt,  shall  be  admitted  to  prove  their  debts  and  con- 
tracts, as  if  they  were  payable  presently,  and  shall  have  a  dividend  in 
proportion  to  the  other  creditors,  discounting,  where  no  interest  is  pay- 
able, at  the  rate  of  so  much  per  centum  per  annum,  as  is  equal  to  the 
lawful  interest  of  the  state  where  the  debt  is  payable;  and  the  obligee 
of  any  bottomry  or  respondentia  bond,  and  the  assured  in  any  policy  of 
ensurance,  shall  be  admitted  to  claim,  and  after  the  contingency  or  loss, 
to  prove  the  debt  thereon,  in  like  manner  as  if  the  same  had  happened 
before  issuing  the  commission ;  and  the  bankrupt  shall  be  discharged  from 
such  securities,  as  if  such  money  had  been  due  and  payable  before  the 
time  of  his  or  her  becoming  bankrupt;  and  such  creditors  may  petition 
for  a  commission,  or  join  in  petitioning. 

§  40.  That  in  case  any  person,  committed  by  the  commissioners'  war- 
rant, shall  obtain  a  habeas  corpus,  in  order  to  be  discharged,  and  there 
shall  appear  any  insufficiency  in  the  form  of  the  warrant,  it  shall  be 
lawful  for  the  court  or  judge  before  whom  such  party  shall  be  brought 
by  habeas  corpus,  by  rule  or  warrant,  to  commit  such  persons  to  the 
same  prison,  there  to  remain  until  he  shall  conform  as  aforesaid,  unless 
it  shall  be  made  to  appear  that  he  had  fully  answered  all  lawful  questions 
put  to  him  by  the  commissioners;  or  in  case  such  person  was  committed 
for  not  signing  his  examination,  unless  it  shall  appear  that  the  party  had 
good  reason  for  refusing  to  sign  the  same,  or  that  the  commissioners 
had  exceeded  their  authority  in  making  such  commitment.  And  in  case 
the  gaoler  to  whom  such  person  shall  be  committed,  shall  wilfully  or 
negligently  suffer  such  person  to  escape,  or  go  without  the  doors  or  walls 
of  the  prison,  such  gaoler  shall,  for  such  offense,  being  convicted  thereof, 
forfeit  a  sum  not  exceeding  three  thousand  dollars,  for  the  use  of  the 
creditors. 

§  41.  That  the  gaoler  shall  upon  the  request  of  any  creditor,  having 
proved  his  debt,  and  showing  a  certificate  thereof,  under  the  hands  of 
the  commissioners,  which  the  commissioners  shall  give  without  fee  or 


FORMER  BANKRUPTCY  ACTS.  439 

reward,  produce  the  person  so  committed;  and  in  case  such  gaoler  shall 
refuse  to  show  such  person  to  such  creditor  requesting  the  same,  such 
person  shall  be  considered  as  having  escaped,  and  the  gaoler  or  sheriff 
so  refusing  shall  be  liable  as  for  a  wilful  escape. 

§  42.  That  where  it  shall  appear  to  the  said  commissioners  that  there 
hath  been  mutual  credit  given  by  the  bankrupt,  and  any  other  person 
or  mutual  debts  between  them,  at  any  time  before  such  person 
became  bankrupt,  the  assignee  or  assignees  of  the  estate  shall  state  the 
account  between  them,  and  one  debt  may  be  set  off  against  the  other,  and 
what  shall  appear  to  be  due  on  either  side,  on  the  balance  of  such  ac- 
count, after  such  set  off,  and  no  more,  shall  be  claimed  or  paid  on  either 
side,  respectively. 

§  43.  That  it  shall  and  may  be  lawful  to  and  for  the  assignee  or  as- 
signees of  any  bankrupt's  estate  and  effects,  under  the  direction  of  the 
commissioners,  and  by  and  with  the  consent  of  the  major  part  in  value 
of  such  of  the  said  bankrupt's  creditors  as  shall  have  duly  proved  their 
debts  under  the  commission,  and  shall  be  present  at  any  meeting  of  the 
said  creditors,  to  be  held  in  pursuance  of  due  and  public  notice  for 
that  purpose  given,  to  submit  any  difference  or  dispute  for,  on  account 
of,  or  by  reason  or  means  of,  any  matter,  cause,  or  thing  whatsoever,  re- 
lating to  such  bankrupt,  or  to  his  or  her  estate  or  effects,  to  the  final 
end  and  determination  of  arbitrators,  to  be  chosen  by  the  said  commis- 
sioners and  the  major  part  in  value  of  such  creditors  as  shall  be  pres- 
ent at  such  meeting  as  aforesaid,  and  the  party  or  parties  with  whom 
they  shall  have  such  difference  or  dispute,  and  to  perform  the  award 
of  such  arbitrators,  or  otherwise  to  compound  and  agree  the  matter  in 
difference  and  dispute  as  aforesaid,  in  such  manner  as  the  said  assignee 
or  assignees,  under  the  direction  and  with  the  consent  aforesaid,  shall 
think  fit  and  can  agree;  and  the  same  shall  be  binding  on  the  several 
creditors  of  the  said  bankrupt;  and  the  said  assignee  or  assignees  are 
hereby  indemnified  for  what  they  shall  fairly  do,  according  to  the  direc- 
tions aforesaid. 

§  44.  That  the  assignees  shall  be,  and  hereby  are,  vested  with  full 
power  to  dispose  of  all  the  bankrupt's  estate,  real  and  personal,  at  pub- 
lic auction  or  vendue,  without  being  subject  to  any  tax,  duty,  imposition, 
or  restriction,  any  law  to  the  contrary  notwithstanding. 

§  45.  That  if,  after  any  commission  of  bankruptcy  sued  forth,  the 
bankrupt  happen  to  die  before  the  commissioners  shall  have  distributed 
the  effects,  or  any  part  thereof,  the  commissioners  shall,  nevertheless, 
proceed  to  execute  the  commission,  as  fully  as  they  might  have  done  if 
the  party  were  living. 

§  46.    That  where  any  commission  of  bankruptcy  shall  be  delivered 


440  FORMER  BANKRUPTCY  ACTS. 

to  the  commissioners  therein  named,  to  be  executed,  it  shall  and  may  be 
lawful  for  them,  before  they  take  the  oath  or  affirmation  of  qualifica- 
tion, to  demand  and  take  from  the  creditor  or  creditors  prosecuting  such 
commission,  a  bond,  with  one  good  security,  if  required,  in  the  penalty 
of  one  thousand  dollars,  conditioned  for  the  payment  of  the  costs,  charges, 
and  expenses,  which  shall  arise  and  accrue  upon  the  prosecution  of  the 
said  commission:  Provided  always.  That  the  expenses,  so  as  aforesaid 
to  be  secured  and  paid  by  the  petitioning  creditor  or  creditors,  shall  be 
repaid  to  him  or  them  by  the  commissioners  or  assignees,  out  of  the  first 
moneys  arising  from  the  bankrupt's  estate  or  effects,  if  so  much  be  re- 
ceived therefrom. 

§  47.  That  the  district  judges,  in  each  district,  respectively,  shall  fix 
a  rate  of  allowance  to  be  made  to  the  commissioners  of  bankruptcy,  as 
compensation  of  services  to  be  rendered  under  the  commission,  and  it 
shall  be  lawful  for  any  creditor,  by  petition  to  the  district  judge,  to  ex- 
cept to  any  charge  contained  in  the  account  of  the  commissioners:  And 
the  said  judge,  after  hearing  the  commissioners,  may,  in  a  summary  way, 
decide  upon  the  validity  of  such  exception. 

§  48.  That  all  penalties  given  by  this  act  for  the  benefit  of  the 
creditors,  shall  be  recovered  by  the  assignee  or  assignees  by  action  of 
debt,  and  the  money  so  recovered,  the  charges  of  suit  being  deducted, 
shall  be  distributed  towards  payment  of  the  creditors. 

§  49.  That  if  any  action  shall  be  brought  against  any  commissioner, 
or  assignee,  or  other  person,  having  authority  under  the  commission,  for 
any  thing  done  or  performed  by  force  of  this  act,  the  defendant  may 
plead  the  general  issue,  and  give  this  act,  and  the  special  matter,  in  evi- 
dence; and  in  case  of  a  nonsuit,  discontinuance,  or  verdict  or  judg- 
ment for  him,  he  shall  recover  double  costs. 

§  50.  That  if  any  estate,  real  or  personal  shall  descend,  revert  to, 
or  become  vested  in  any  person,  after  he  or  she  shall  be  declared  a 
bankrupt,  and  before  he  or  she  shall  obtain  a  certificate,  signed  by  the 
judge  as  aforesaid,  all  such  estate  shall,  by  virtue  of  this  act,  be  vested 
in  the  said  commissioners,  and  shall  be  by  them  assigned  and  conveyed 
to  the  assignee  or  assignees,  in  fee  simple,  or  otherwise,  in  like  manner 
as  above  directed,  with  the  estate  of  the  said  bankrupt,  at  the  time  of 
the  bankruptcy,  and  the  proceeds  thereof  shall  be  divided  among  the 
creditors. 

§  51.  That  the  said  commissioners  shall,  once  in  every  year,  carefully 
file,  in  the  clerk's  office  of  the  district  court,  all  the  proceedings  had  in 
every  case  before  them,  and  which  shall  have  been  finished;  including 
the  commissions,  examinations,  dividends,  entries,  and  other  determina- 
tions, of  the  said  commissioners,  in  which  office  the  final  certificate  of  the 


FORMER  BANKRUPTCY  ACTS.  441 

said  bankrupt  may  also  be  recorded;  all  which  proceedings  shall  remain 
of  record  in  the  said  office,  and  certified  copies  thereof  shall  be  admitted 
as  evidence  in  all  courts  in  like  manner  as  the  copies  of  the  proceedings 
of  the  said  district  court  are  admitted  in  other  cases. 

§  52.  That  it  shall  and  may  be  lawful  for  any  creditor  of  such  bank- 
rupt, to  attend  all  or  any  of  the  examinations  of  said  bankrupt,  and  the 
allowance  of  the  final  certificate,  if  he  shall  think  proper,  and  then  and 
there  to  propose  interrogatories,  to  be  put  by  the  judge  or  commissioners 
to  the  said  bankrupt  and  others,  and  also  to  produce  and  examine  wit- 
nesses and  documents  before  such  judge  or  commissioners,  relative  to 
the  subject  matter  before  them.  And  in  case  either  the  bankrupt  or 
creditor  shall  think  him  or  herself  aggrieved  by  the  determination  of  the 
said  judge  or  commissioners,  relative  to  any  material  fact,  in  the  com- 
mencement or  progress  of  the  said  proceedings,  or  in  the  allowance  of 
the  certificate  aforesaid,  it  shall  and  may  be  lawful  for  either  party  to 
petition  the  said  judge,  setting  forth  such  facts,  and  the  determination 
thereon,  with  the  complaint  of  the  party,  and  a  prayer  for  trial  by  a  jury 
to  determine  the  same,  and  the  said  judge  shall,  in  his  discretion,  make 
order  thereon,  and  award  a  venire  facias  to  the  marshal  of  the  district, 
returnable  within  fifteen  days,  before  him,  for  the  trial  of  the  facts  men- 
tioned in  the  said  petition,  notice  whereof  shall  be  given  to  the  com- 
missioners and  creditors  concerned  in  the  same;  at  which  time  the  said 
trial  shall  be  had,  unless,  on  good  cause  shown,  the  judge  shall  give  fur- 
ther time;  and  judgment  being  entered  on  the  verdcit  of  the  jury,  shall 
be  final  on  the  said  facts,  and  the  judge  or  commissioners  shall  proceed 
agreeably  thereto. 

§  53.  That  the  commissioners,  before  the  appointment  of  assignees, 
and  the  assignees  after  such  appointment,  may,  from  time  to  time,  make 
such  allowance,  out  of  the  bankrupt's  estate,  until  he  shall  have  obtained 
his  final  discharge,  as,  in  their  opinion,  may  be  requisite  for  the  neces- 
sary support  of  the  said  bankrupt  and  his  family. 

§  54.  That  it  shall  be  lawful  for  the  major  part,  in  value,  of  the 
creditors,  before  they  proceed  to  the  choice  of  assignees,  to  direct  in 
what  manner,  with  whom,  and  where,  the  moneys  arising  by,  and  to  be 
received  from  time  to  time  out  of,  the  bankrupt's  estate,  shall  be  lodged, 
until  the  same  shall  be  divided  among  the  creditors,  as  herein  provided; 
to  which  direction  every  such  assignee  and  assignees  shall  conform,  as 
often  as  three  hundred  dollars  shall  be  received. 

§  55.  That  every  matter  and  thing,  by  this  act  required  to  be  done 
by  the  commissioners  of  any  bankrupt,  shall  be  valid  to  all  intents 
and  purposes,  if  performed  by  a  majority  of  them. 

§  56.  That  in  all  cases  where  the  assignees  shall  prosecute  any  debtor 


442  FORMER  BANKRUPTCY  ACTS. 

of  the  bankrupt  for  any  debt,  duty,  or  demand,  the  commission,  or  a 
certified  copy  thereof,  and  the  assignment  of  the  commissioners  of  the 
bankrupt's  estate,  shall  be  conclusive  evidence  of  the  issuing  the  commis- 
sion, and  of  the  person  named  therein  being  a  trader  and  bankrupt,  at 
the  time  mentioned  therein. 

§  57,  That  every  person  obtaining  a  dischaige  from  his  debts,  by 
certificate  as  aforesaid,  granted  under  a  commission  of  bankruptcy,  shall 
not,  on  any  future  commission,  be  entitled  to  any  other  certificate  than  a 
discharge  of  his  person  only;  unless  the  nett  proceeds  of  the  estate  anil 
effects  of  such  person,  so  becoming  bankrupt  a  second  time,  shall  be  suf- 
ficient to  pay  seventy-five  per  cent,  to  his  or  her  creditors,  on  the 
amount  of  their  debts,  respectively. 

§  58.  That  any  creditor  of  a  person,  against  whom  a  commission  of 
bankruptcy  shall  have  been  sued  forth,  and  who  shall  lay  his  claim  before 
the  commissioners  appointed  in  pursuance  of  this  act,  may,  at  the  same 
time,  declare  his  unwillingness  to  submit  the  same  to  the  judgment  of 
the  said  commissioners,  and  his  wish  that  a  jury  may  be  empannelled  to 
decide  thereon:  And  in  like  manner,  the  assignee  or  assignees  of  such 
bankrupt,  may  object  to  the  consideration  of  any  particular  claim  by  the 
commissioners,  and  require  that  the  same  should  be  referred  to  a  jury. 
In  either  case,  such  objection  and  request  shall  be  entered  on  the  books 
of  the  commissioners,  and  thereupon  an  issue  shall  be  made  up  between 
the  parties,  and  a  jury  shall  be  empannelled,  as  in  other  cases,  to  try  the 
same  in  the  circuit  court  for  the  district  in  which  such  bankrupt  has 
usually  resided.  The  verdict  of  such  jury  shall  be  subject  to  the  contrcJ 
of  the  court,  as  in  suits  originally  instituted  in  the  said  court,  and  when 
rendered,  if  not  set  aside  by  the  court,  shall  be  certified  to  the  commis- 
sioners, and  shall  ascertain  the  amount  of  any  such  claim,  and  such 
creditor  or  creditors  shall  be  considered  in  all  respects  as  having  proved 
their  debts  under  the  commission. 

§  59.  That  the  lands  and  effects  of  any  person  becoming  bankrupt, 
may  be  sold  on  such  credit,  and  on  such  security,  as  a  major  part  in 
value  of  the  creditors  may  direct:  Provided,  nothing  herein  contained 
shall  be  allowed  so  to  operate,  as  to  retard  the  granting  the  bankrupt's 
certificate. 

§  60.  That  if  any  person  becoming  bankrupt  shall  be  in  prison,  it 
shall  be  lawful  for  any  creditor  or  creditors,  at  whose  suit  he  or  she  shall 
be  in  execution,  to  discharge  him  or  her  from  custody,  or  if  such  creditor 
or  creditors  shall  refuse  to  do  so,  the  prisoner  may  petition  the  com- 
missioners to  liberate  him  or  her,  and  thereupon,  if,  in  the  opinion  of  the 
commissioners,  the  conduct  of  such  bankrupt  shall  have  been  fair,  so  as 
to  entitle  him  or  her,  in  their  opinion,  to  a  certificate,  when  by  law  such 
certificate  might  be  given,  it  shall  be  lawful  for  them  to  direct  the  dis- 


FORMER  BANKRUPTCY  ACTS.  443 

charge  of  such  prisoner,  and  to  enter  the  same  in  their  books,  which  be- 
ing notified  to  the  keeper  of  the  gaol  in  which  such  prisoner  may  be 
confined,  shall  be  a  sufficient  authority  for  his  or  her  discharge:  Pro- 
vided, That  in  either  case,  such  discharge  shall  be  no  bar  to  another  exe- 
cution, if  a  certificate  shall  be  refused  to  such  bankrupt:  And  provided 
also.  That  is  shall  be  no  bar  to  a  subsequent  imprisonment  of  such  bank- 
rupt by  order  of  the  commissioners,  in  conformity  with  the  provisions 
of  this  act. 

§  61.  That  this  act  shall  not  repeal  or  annul,  or  be  construed  to  repeal 
or  annul,  the  laws  of  any  state  now  in  force,  or  which  may  be  hereafter 
enacted,  for  the  relief  of  insolvent  debtors,  except  so  far  as  the  same 
may  respect  persons  who  are,  or  may  be,  clearly  within  the  purview  of 
this  act,  and  whose  debts  shall  amount,  in  the  cases  specified  in  the  sec- 
ond section  thereof,  to  the  sums  therein  mentioned.  And  if  any  person 
within  the  purview  of  this  act,  shall  be  imprisoned  for  the  space  of  three 
months,  for  any  debt,  or  upon  any  contract,  unless  the  creditors  of  such 
prisoner  shall  proceed  to  prosecute  a  commission  of  bankruptcy  against 
him  or  her,  agreeably  to  the  provisions  of  this  act,  such  debtor  may  and 
shall  be  entitled  to  relief,  under  any  such  laws  for  the  relief  of  insol- 
vent debtors,  this  act  notwithstanding. 

§  62.  That  nothing  contained  in  this  law  shall,  in  any  manner,  af- 
fect the  right  of  preference  to  prior  satisfaction  of  debts  due  to  the  United 
States,  as  secured  or  provided  by  any  law  heretofore  passed,  nor  shall 
be  construed  to  lessen  or  impair  any  right  to,  or  security  for,  money  due 
to  the  United  States,  or  to  any  of  them. 

§  63.  That  nothing  contained  in  this  act  shall  be  taken  or  construed  to 
invalidate,  or  impair,  any  lien  existing  at  the  date  of  this  act,  upon  the 
lands  or  chattels  of  any  person  who  may  become  a  bankrupt. 

§  64.  That  this  act  shall  continue  in  force  during  the  term  of  five 
years,  and  from  thence  to  the  end  of  the  next  session  of  congress  there- 
after, and  no  longer:  Provided,  That  the  expiration  of  this  act  shall  not 
prevent  the  complete  execution  of  any  commission  which  may  have  been 
previously  thereto  issued.     [Approved,  April  4,  1800.] 

AMENDMENT  OF  FEBRUARY  13th,  1801. 

Sec.  12  of  "An  Act  to  provide  for  the  more  convenient  organization 
of    Courts    of    the    United    States."     Approved,    February  13th,  1801. 

§  12.  That  the  said  Circuit  Courts,  respectively,  shall  have  cogniz- 
ance, concurrently  with  the  District  Courts,  of  all  cases,  which  shall 
arise,  within  their  respective  circuits,  under  the  act  to  establish  a  uniform 
system  of  bankruptcy  throughout  the  United  States;  and  that  each 
circuit  judge,  within  his  respective  circuit,  shall  and  may  perform  all 
and  singular  the  duties  enjoined  by  the  said  act,  upon  a  judge  of  a 


444  FORMER  BANKRUPTCY  ACTS, 

District  Court;  and  that  the  proceedings  under  a  commission  of  bank- 
ruptcy, which  shall  issue  from  a  circuit  judge,  shall,  in  all  respects, 
be  conformable  to  the  proceedings  under  a  commission  of  bankruptcy 
which  shall  issue  from  a  district  judge,  mutatis  mutandis. 

AMENDMENT  OF  APRIL  29,  1802. 

Cognizance  of  pending  cases  was  transferred  to  the  district  judge  by 
Sec.  11  of  "An  Act  to  Amend  the  judicial  system  of  the  United  States." 

§  11.  That  in  all  cases  in  which  proceedings  shall,  on  the  said  first 
day  of  July  next,  be  pending  under  a  commission  of  bankruptcy,  issued 
in  pursuance  of  the  aforesaid  act,  entitled  "An  act  to  provide  for  the 
more  convenient  organization  of  the  courts  of  the  United  States,"  the 
cognizance  of  the  same  shall  be,  and  hereby  is,  transferred  to,  and  vested 
in,  the  district  judge  of  the  district  within  which  such  commission  shall 
have  issued,  who  is  hereby  empowered  to  proceed  therein,  in  the  game 
manner,  and  to  the  same  effect,  as  if  such  commission  of  bankruptcy  had 
been  issued  by  his  order. 

AN  ACT  TO  REPEAL  BANKRUTCY  ACT. 

Chapter  6,  par.  i.  Approved  Dec.  igth,  1803. 

§  1.  Be  it  enacted,  &c.  That  the  act  of  congress,  passed  on  the  fourth 
day  of  April,  one  thousand  eight  hundred,  entitled  "An  act  to  establish 
an  uniform  system  of  bankruptcy  throughout  the  United  States,"  shall 
be  and  the  same  is  hereby,  repealed:  Provided,  nevertheless.  That  the 
repeal  of  the  said  act  shall,  in  nowise,  affect  the  execution  of  any  com- 
mission of  bankruptcy  which  may  have  been  issued  prior  to  the  passing 
of  this  act,  but  every  such  commission  may  and  shall  be  proceeded  on 
and  fully  executed,  as  though  this  act  had  not  passed.  ^Approved,  De- 
cember 19,  1803.] 


FORMER  BANKRUPTCY  ACTS.  445 

BANKRUPTCY  ACT  OF  AUGUST  19th,  1841. 

An  act  to    establish    a    uniform   system  of  bankruptcy  throughout  the 
United  States. 

Be  it  enacted  by  the  Senate  and  House  of  Representatives  of  the 
United  States  of  America  in  Congress  assembled.  That  there  be,  and 
hereby  is,  established  throughout  the  United  States,  a  uniform  system  of 
bankruptcy,  as  follows:  All  persons  whatsoever,  residing  in  any  State, 
District  or  Territory  of  the  United  States,  owing  debts,  which  shall  not 
have  been  created  in  consequence  of  a  defalcation  as  a  public  officer;  or 
as  executor,  administrator,  guardian  or  trustee,  or  while  acting  in  any 
other  fiduciary  capacity,  who  shall,  by  petition,  setting  forth  to  the  best 
of  his  knowledge  and  belief,  a  list  of  his  or  their  creditors,  their  re- 
spective places  of  residence,  and  the  amount  due  to  each,  together  with 
an  accurate  inventory  of  his  or  their  property  rights,  and  credits,  of 
every  name,  kind,  and  description,  and  the  location  and  situation  of  each 
and  every  parcel  and  portion  thereof,  verified  by  oath,  or,  if  conscien- 
tiously scrupulous  of  taking  an  oath,  by  solemn  affirmation  apply  to  the 
proper  court,  as  hereinafter  mentioned,  for  the  benefit  of  this  act  and 
therein  declare  themselves  to  be  unable  to  meet  their  debts  and  engage- 
ments, shall  be  deemed  bankrupts  within  the  purview  of  this  act,  and 
may  be  so  declared  accordingly  by  decree  of  such  court;  all  persons,  be- 
ing merchants,  or  using  the  trade  of  merchandise,  all  retailers  of  mer- 
chandise, and  all  bankers,  factors,  brokers,  underwriters,  or  marine  in- 
surers, owing  debts  to  the  amount  of  not  less  than  two  thousand  dollars, 
shall  be  liable  to  become  bankrupts  within  the  true  intent  and  meaning 
of  this  act,  and  may,  upon  the  petition  of  one  or  more  of  their  creditors, 
to  whom  they  owe  debts  amounting  in  the  whole  to  not  less  than  five 
hundred  dollars,  to  the  appropriate  court,  be  so  declared  accordingly,  in 
the  following  cases,  to  wit:  whenever  such  person,  being  a  merchant,  or 
actually  using  the  trade  of  merchandise,  or  being  a  retailer  of  merchan- 
dise, or  being  a  banker,  factor,  broker,  underwriter  or  marine  insurer, 
shall  depart  from  the  State,  District,  or  Territory,  of  which  he  is  an  in- 
habitant, with  intent  to  defraud  his  creditors;  or  shall  conceal  himself 
to  avoid  being  arrested;  or  shall  willingly  or  fraudulently  procure  him- 
self to  be  arrested,  or  his  goods  and  chattels,  lands,  or  tenements,  to  be 
attached,  distrained,  sequestered,  or  taken  in  execution;  or  shall  remove 
his  goods,  chattels,  and  effects,  or  conceal  them  to  prevent  their  being 
levied  upon,  or  taken  in  execution,  or  by  other  process;  or  make  any 
fraudulent  conveyance,  assignment,  sale,  gift,  or  other  transfer  of  his 
lands,  tenements,  goods  or  chattels,  credits,  or  evidence  of  debt:  Pro- 
vided, however,  That  any  person  so  declared  a  bankrupt,  at  the  instance 
of  a  creditor,  may,  at  his  election,  by  petition  to  such  court  within  ten 


446  FORMER  BANKRUPTCY  ACTS. 

days  after  its  decree,  be  entitled  to  a  trial  by  jury  before  such  court, 
to  ascertain  the  fact  of  such  bankruptcy;  or  if  such  person  shall  reside 
at  a  great  distance  from  the  place  of  holding  such  court,  the  said  judge, 
in  his  discretion,  may  direct  such  trial  by  jury  to  be  had  in  the  county 
of  such  person's  residence,  in  such  manner,  and  under  such  directions, 
as  the  said  court  may  prescribe  and  give;  and  all  such  decrees  passed  by 
such  court,  and  not  so  re-examined,  shall  be  deemed  final  and  conclusive 
as  to  the  subject-matter  thereof. 

Sec  2.  And  be  it  further  enacted,  That  all  future  payments,  secur- 
ities, conveyances,  or  transfers  of  property,  or  agreements  made  or  given 
by  any  bankrupt,  in  contemplation  of  bankruptcy,  and  for  the  purpose 
of  giving  any  creditor,  endorser,  surety,  or  other  person,  any  prefer- 
ence or  priority  over  the  general  creditors  of  such  bankrupts;  and  all 
other  payments,  securities,  conveyances,  or  transfers  of  property,  or 
agreements  made  or  given  by  such  bankrupt  in  contemplation  of  bank- 
ruptcy, to  any  person  or  persons  whatever,  not  being  a  bona  fide  credi- 
tor or  purchaser,  for  a  valuable  consideration,  without  notice,  shall  be 
deemed  utterly  void,  and  a  fraud  upon  this  act;  and  the  assignee  under 
the  bankruptcy  shall  be  entitled  to  claim,  sue  for,  recover,  and  receive 
the  same  as  part  of  the  assets  of  the  bankruptcy;  and  the  person  mak- 
ing such  unlawful  preferences  and  payments  shall  receive  no  discharge 
under  the  provisions  of  this  act:  Provided,  That  all  dealings  and  trans- 
actions by  and  with  any  bankrupt,  bona  fide  made  and  entered  into  more 
than  two  months  before  the  petition  filed  against  him,  or  by  him,  shall 
not  be  invalidated  or  affected  by  this  act :  Provided,  That  the  other  party 
to  any  such  dealings  or  transactions  had  no  notice  of  a  prior  act  of 
bankruptcy,  or  of  the  intention  of  the  bankrupt  to  take  the  benefit  of 
this  act.  And  in  case  it  shall  be  made  to  appear  to  the  court,  in  the 
course  of  the  proceedings  in  bankruptcy,  that  the  bankrupt,  his  appli- 
cation being  voluntary,  has,  subsequent  to  the  first  day  of  January  last, 
or  at  any  other  time,  in  contemplation  of  the  passage  of  a  bankrupt  law, 
by  assignments  or  otherwise,  given  or  secured  any  preference  to  one 
creditor  over  another,  he  shall  not  receive  a  discharge  unless  the  same 
be  assented  to  by  a  majority  in  interest  of  those  of  his  creditors  who 
have  not  been  so  preferred:  /Ind  provided,  also.  That  nothing  in  this 
act  contained  shall  be  construed  to  annul,  destroy,  or  impair  any  lawful 
rights  of  married  women,  or  minors,  or  any  liens,  mortgages,  or  other 
securities  on  property,  real  or  personal,  which  may  be  valid  by  the  laws 
of  the  States  respectively,  and  which  are  not  inconsistent  with  the  pro- 
visions of  the  second  and  fifth  sections  of  this  act. 

Sec.  3.  "And  be  it  further  enacted.  That  all  the  property,  and  rights 
of  property,  of  every  name  and  nature,  and  whether  real,  personal,  or 
mixed,  of  every  bankrupt,  except  as  is  hereinafter  provided,  who  shall 


FORMER  BANKRUPTCY  ACTS.  447 

by  a  decree  of  the  proper  court,  be  declared  to  be  a  bankrupt  within 
this  act,  shall  by  mere  operation  of  law,  ipso  facto,  from  the  time  of 
such  decree,  be  deemed  to  be  divested  out  of  such  bankrupt,  without 
any  other  act,  assignment,  or  other  conveyance  whatsoever;  and  the 
same  shall  be  vested,  by  force  of  the  same  decree,  in  such  assignee  as 
from  time  to  time  shall  be  appointed  by  the  proper  court  for  this  purpose, 
which  power  of  appointment  and  removal  such  court  may  exercise  at  its 
discretion,  toties  quoties;  and  the  assignee  so  appointed  shall  be  vested 
with  all  the  rights,  titles,  powers,  and  authorities  to  sell,  manage,  and 
dispose  of  the  same,  and  to  sue  for  and  defend  the  same,  subject  to 
the  orders  and  directions  of  such  court,  as  fully,  to  all  intents  and  pur- 
poses, as  if  the  same  were  vested  in,  or  might  be  exercised  by,  such  bank- 
rupt before  or  at  the  time  of  his  bankruptcy  declared  as  aforesaid;  and 
all  suits  in  law  or  in  equity,  then  pending,  in  which  such  bankrupt  is  a 
party  may  be  prosecuted  and  defended  by  such  assignee  to  its  final 
conclusion,  in  the  same  way,  and  with  the  same  effect  as  they  might 
have  been  by  such  bankrupt;  and  no  suit  commenced  by  or  against  any 
assignee  shall  be  abated  by  his  death  or  removal  from  office,  but  the 
same  may  be  prosecuted  or  defended  by  his  successor  in  the  same  office; 
Provided,  however.  That  there  shall  be  excepted  from  the  operation  of 
the  provisions  of  this  section  the  necessary  household  and  kitchen  furni- 
ture, and  such  other  articles  and  necessaries  of  such  bankrupt  as  the 
said  assignee  shall  designate  and  set  apart,  having  reference  in  the 
amount  to  the  family,  condition,  and  circumstances  of  the  bankrupt, 
but  altogether  not  to  exceed  in  value,  in  any  case,  the  sum  of  three  hun- 
dred dollars;  and,  also,  the  wearing  apparel  of  such  bankrupt,  and  that 
of  his  wife  and  children;  and  the  determination  of  the  assignee  in  the 
matter  shall,  on  exception  taken,  be  subject  to  the  final  decision  of  said 
court. 

Sec  4.  And  be  it  further  enacted.  That  every  bankrupt,  who  shall 
bona  fide  surrender  all  his  property,  and  rights  of  property,  with  the 
exception  before  mentioned,  for  the  benefit  of  his  creditors,  and  shall 
fully  comply  with  and  obey  all  the  orders  and  directions  which  may 
from  time  to  time  be  passed  by  the  proper  court,  and  shall  otherwise 
conform  to  all  the  other  requisitions  of  this  act,  shall  (unless  a  majority 
in  number  and  value  of  his  creditors  who  have  proved  their  debts,  shall 
file  their  written  dissent  thereto)  be  entitled  to  a  full  discharge  from  all 
his  debts,  to  be  decreed  and  allowed  by  the  court  which  has  declared 
him  a  bankrupt,  and  a  certificate  thereof  granted  to  him  by  such  court 
accordingly,  upon  his  petition  filed  for  such  purpose;  such  discharge 
and  certificate  not,  however,  to  be  granted  until  after  ninety  days  from 
the  decree  of  bankruptcy,  nor  until  after  seventy  days'  notice  in  some 
public  newspaper,  designated  by  such  court,  to  all  creditors  who  have 
proved  their  debts,  and  other  persons  in  interest,  to  appear  at  a  particu- 


448  FORMER  BANKRUPTCY  ACTS. 

lar  time  and  place,  to  show  cause  why  such  discharge  and  certiiicate 
shall  not  be  granted;  at  which  time  and  place  any  such  creditors,  or 
other  persons  in  interest,  may  appear  and  contest  the  right  of  the  bank- 
rupt thereto:  Provided,  That  in  all  cases  where  the  residence  of  the 
creditor  is  known,  a  service  on  him  personally,  or  by  letter  addressed 
to  him  at  his  known  usual  place  of  residence,  shall  be  prescribed  by  the 
court,  as  in  their  discretion  shall  seem  proper,  having  regard  to  the  dis- 
tance at  which  the  creditor  resides  from  such  court.  And  if  any  such 
bankrupt  shall  be  guilty  of  any  fraud  or  wilful  concealment  of  his  prop- 
erty or  rights  of  property,  or  shall  have  preferred  any  of  his  creditors 
contrary  to  the  provisions  of  this  act,  or  shall  wilfully  omit  or  refuse  to 
comply  with  any  orders  or  directions  of  such  court,  or  to  conform  to 
any  other  requisites  of  this  act,  or  shall,  in  the  proceedings  under  this 
act,  admit  a  false  or  fictitious  debt  against  his  estate,  he  shall  not  be 
entitled  to  any  such  discharge  or  certificate;  nor  shall  any  person,  being 
a  merchant,  banker,  factor,  broker,  underwriter,  or  marine  insurer,  be 
entitled  to  any  such  discharge  or  certificate,  who  shall  become  bankrupt, 
and  who  shall  not  have  kept  proper  books  of  account,  after  the  passing 
of  this  act;  nor  any  person  who,  after  the  passing  of  this  act,  shall 
apply  trust  funds  to  his  own  use:  Provided,  That  no  discharge  of  any 
bankrupt  under  this  act  shall  release  or  discharge  any  person  who  may 
be  liable  for  the  same  debt  as  a  partner,  joint  contractor,  endorser,  surety, 
or  otherwise,  for  or  with  the  bankrupt.  And  such  bankrupt  shall  at  all 
times  be  subject  to  examination,  orally,  or  upon  written  interrogatories, 
in  and  before  such  court,  or  any  commission,  appointed  by  the  court 
therefor,  on  oath,  or,  if  conscientiously  scrupulous  of  taking  an  oath, 
upon  his  solemn  affirmation,  in  all  matters  relating  to  such  bankruptcy, 
and  his  acts  and  doings,  and  his  property  and  rights  of  property,  which 
in  the  judgment  of  such  court,  are  necessary  and  proper  for  the  pur- 
poses of  justice;  and  if  in  any  such  examination,  he  shall  wilfully  and 
corruptly  answer,  or  swear,  or  affirm,  falsely,  he  shall  be  deemed  guilty 
of  perjury,  and  shall  be  punishable  therefor  in  like  manner  as  the  crime 
of  perjury  is  now  punishable  by  the  laws  of  the  United  States;  and 
such  discharge  and  certificate,  when  duly  granted,  shall,  in  all  courts 
of  justice,  be  deemed  a  full  and  complete  discharge  of  all  debts,  con- 
tracts, and  other  engagements  of  such  bankrupt,  which  are  proveable 
under  this  act,  and  shall  be  and  may  be  pleaded  as  a  full  and  complete 
bar  to  all  suits  brought  in  any  court  of  judicature  whatever,  and  the 
same  shall  be  conclusive  evidence  of  itself  in  favor  of  such  bankrupt, 
unless  the  same  shall  be  impeached  for  some  fraud  or  wilful  conceal- 
ment by  him  of  his  property  or  rights  of  property,  as  aforesaid,  contrary 
to  the  provisions  of  this  act,  on  prior  reasonable  notice  specifying  in 
writing  such  fraud  or  concealment;  and  if,  in  any  case  of  bankruptcy, 
a  majority,  in  number  and  value,  of  the  creditors  who  shall  have  proved 


FORMER  BANKRUPTCY  ACTS.  449 

Iheir  debts  at  the  time  of  hearing  of  the  petition  of  the  bankrupt  for  a 
discharge  as  hereinbefore  provided,  shall  at  such  hearing  file  their  writ- 
ten dissent  to  the  allowance  of  a  discharge  and  certificate  to  such 
bankrupt,  or  if,  upon  such  hearing,  a  discharge  shall  not  be  decreed  to 
him,  the  bankrupt  may  demand  a  trial  by  jury  upon  a  proper  issue  to 
be  directed  by  the  court,  at  such  time  and  place,  and  in  such  manner, 
as  the  court  may  order;  or  he  may  appeal  from  that  decision,  at  any 
time  within  ten  days  thereafter,  to  the  circuit  court  next  to  be  held  for 
the  same  district,  by  simply  entering  in  the  district  court,  or  with  the 
clerk  thereof,  upon  record,  his  prayer  for  an  appeal.  The  appeal  shall 
be  tried  at  the  first  term  of  the  circuit  court  after  it  be  taken,  unless, 
for  sufficient  reason,  a  continuance  be  granted;  and  it  may  be  heard 
and  determined  by  said  court  summarily,  or  by  a  jury,  at  the  option  of 
the  bankrupt;  and  the  creditors  may  appear  and  object  against  a  decree 
of  discharge  and  the  allowance  of  the  certificate,  as  hereinbefore  pro- 
vided. And  if,  upon  a  full  hearing  of  the  parties,  it  shall  appear  to  the 
satisfaction  of  the  court,  or  the  jury  shall  find  that  the  bankrupt  has 
made  a  full  disclosure  and  surrender  of  all  his  estate,  as  by  this  act 
required,  and  has  in  all  things  conformed  to  the  directions  thereof,  the 
court  shall  make  a  decree  of  discharge,  and  grant  a  certificate,  as  pro- 
vided in  this  act. 

Sec  5.  And  be  it  further  enacted,  That  all  creditors  coming  in  and 
proving  their  debts  under  such  bankruptcy,  in  the  manner  hereinafter 
prescribed,  the  same  being  bona  fide  debts,  shall  be  entitled  to  share  in 
the  bankrupt's  property  and  effects,  pro  rata,  without  any  priority  or 
preference  whatsoever,  except  only  for  debts  due  by  such  bankrupt  to 
the  United  States,  and  for  all  debts  due  by  him  to  persons  who,  by  the 
laws  of  the  United  States,  have  a  preference,  in  consequence  of  having 
paid  moneys  as  his  sureties,  which  shall  be  first  paid  out  of  the  assets; 
and  any  person  who  shall  have  performed  any  labor  as  an  operative  in 
the  service  of  any  bankrupt  shall  be  entitled  to  receive  the  full  amount 
of  the  wages  due  to  him  for  such  labor,  not  exceeding  twenty-five  dol- 
lars: Provided,  That  such  labor  shall  have  been  performed  within  six 
months  next  before  the  bankruptcy  of  his  employer;  and  all  creditors 
whose  debts  are  not  due  and  payable  until  a  future  day,  all  annuitants, 
holders  of  bottomry  and  respondentia  bonds,  holders  of  policies  of  in- 
surances, sureties,  endorsers,  bail,  or  other  persons,  having  uncertain 
or  contingent  demands  against  such  bankrupt,  shall  be  permitted  to 
come  in  and  prove  such  debts  or  claims  under  this  act,  and  shall  have  a 
right,  when  their  debts  and  claims  become  absolute,  to  have  the  same 
allowed  them;  and  such  annuitants  and  holders  of  debts  payable  in 
future  may  have  the  present  value  thereof  ascertained,  under  the  direc- 
tion of  such  court,  and  allowed  them  accordingly,  as  debts  in  presenti; 
and  no  creditor  or  other  person,  coming  in  and  proving  his  debt  or  other 


450  FORMER  BANKRUPTCY  ACTS. 

claim  shall  be  allowed  to  maintain  any  suit  at  law  or  in  equity  therefor, 
but  shall  be  deemed  thereby  to  have  waived  all  right  of  action  and  suit 
against  such  bankrupt;  and  all  proceedings  already  commenced,  and 
all  unsatisfied  judgments  already  obtained  thereon,  shall  be  deemed  to 
be  surrendered  thereby;  and  in  all  cases  where  there  are  mutual  debts 
or  mutual  credits  between  the  parties,  the  balance  only  shall  be  deemed 
the  true  debt  or  claim  between  them,  and  the  residue  shall  be  deemed 
adjusted  by  the  set-oflf;  all  such  proof  of  debts  shall  be  made  before  the 
court  decreeing  the  bankruptcy,  or  before  some  commissioner  appointed 
by  the  court  for  that  purpose;  but  such  court  shall  have  full  power  to 
set  aside  and  disallow  any  debt,  upon  proof  that  such  debt  is  founded  in 
fraud,  imposition,  illegality,  or  mistake;  and  corporations  to  whom  any 
debts  are  due,  may  make  proof  thereof  by  their  president,  cashier,  treas- 
urer, or  other  officer,  who  may  be  specially  appointed  for  that  purpose; 
and  m  appointing  commissioners  to  receive  proof  of  debts,  and  perform 
other  duties,  under  the  provisions  of  this  act,  the  said  court  shall  ap- 
point such  persons  as  have  their  residence  in  the  county  in  which  the 
bankrupt  lives. 

Sec  6.  And  be  it  further  enacted,  That  the  district  court  in  every 
district  shall  have  jurisdiction  in  all  matters  and  proceedings  in  bank- 
ruptcy arising  under  this  act,  and  any  other  act  which  may  hereafter  be 
passed  on  the  subject  of  bankruptcy;  the  said  jurisdiction  to  be  exer- 
cised summarily,  in  the  nature  of  summary  proceedings  in  equitj-;  and 
for  this  purpose  the  said  district  court  shall  be  deemed  always  open. 
And  the  district  judge  may  adjourn  any  point  or  question  arising  in  any 
case  in  bankruptcy  into  the  circuit  court  for  the  district,  in  his  discre- 
tion, to  be  there  heard  and  determined;  and  for  this  purpose  the  circuit 
court  of  such  district  shall  also  be  deemed  always  open.  And  the 
jurisdiction  hereby  conferred  on  the  district  court  shall  extend  to  all 
cases  and  controversies  in  bankruptcy  arising  between  the  bankrupt  and 
any  creditor  or  creditors  who  shall  claim  any  debt  or  demand  under  the 
bankruptcy;  to  all  cases  and  controversies  between  such  creditor  or 
creditors  and  the  assignee  of  the  estate,  whether  in  office  or  removed; 
to  all  cases  and  controversies  between  such  assignee  and  the  bankrupt, 
and  to  all  acts,  matters,  and  things  to  be  done  under  and  in  virtue  of 
the  bankruptcy,  until  the  final  distribution  and  settlement  of  the  estate 
of  the  bankrupt,  and  the  close  of  the  proceedings  in  bankruptcy.  And 
the  said  courts  shall  have  full  authority  and  jurisdiction  to  compel  obe- 
dience to  all  orders  and  decrees  passed  by  them  in  bankruptcy,  by  pro- 
cess of  contempt  and  other  remedial  process,  to  the  same  extent  the 
circuit  courts  may  now  do  in  any  suit  pending  therein  in  equity.  And 
it  shall  be  the  duty  of  the  district  court  in  each  district,  from  time  to 
time,  to  prescribe  suitable  rules  and  regulations,  and  forms  of  proceed- 
ings, in  all  matters  of  bankruptcy;  which  rules,  regulations,  and  forms, 


FORMER  BANKRUPTCY  ACTS.  451 

shall  be  subject  to  be  altered,  added  to,  revised,  or  annulled,  by  the  cir- 
cuit court  of  the  same  district,  and  other  rules  and  regulations,  and 
forms,  substituted  therefor;  and  in  all  such  rules,  regulations  and 
forms,  it  shall  be  the  duty  of  the  said  courts  to  make  them  as  simple 
and  brief  as  practicable,  to  the  end  to  avoid  all  unnecessary  expenses, 
and  to  facilitate  the  use  thereof  by  the  public  at  large.  And  the  said 
courts  shall,  from  time  to  time,  prescribe  a  tariff  or  table  of  fees  and 
charges  to  be  taxed  by  the  officers  of  the  court  or  other  persons,  for 
services  under  this  act,  or  any  other  on  the  subject  of  bankruptcy; 
which  fees  shall  be  as  low  as  practicable,  with  reference  to  the  nature 
and  character  of  such  services. 

Sec  7.  And  be  it  further  enacted,  That  all  petitions  by  any  bankrupt 
for  the  benefit  of  this  act,  and  all  petitions  by  a  creditor  against  any 
bankrupt  under  this  act,  and  all  proceedings  in  the  case  to  the  close 
thereof,  shall  be  had  in  the  district  court  within  and  for  the  district  in 
which  the  person  supposed  to  be  a  bankrupt  shall  reside,  or  have  his 
place  of  business  at  the  time  when  such  petition  is  filed,  except  where 
otherwise  provided  in  this  act.  And  upon  every  such  petition,  notice 
thereof  shall  be  published  in  one  or  more  public  newspapers  printed  i« 
such  district,  to  be  designated  by  such  court  at  least  twenty  days  before 
the  hearing  thereof;  and  all  persons  interested  may  appear  at  the  time 
and  place  where  the  hearing  is  thus  to  be  had,  and  show  cause,  if  any 
they  have,  why  the  prayer  of  the  said  petitioner  should  not  be  granted; 
all  evidence  by  witnesses  to  be  used  in  all  hearings  before  such  court 
shall  be  under  oath,  or  solemn  affirmation,  when  the  party  is  conscien- 
tiously scrupulous  of  taking  an  oath,  and  may  be  oral  or  by  deposition, 
taken  before  such  court,  or  before  any  commissioner  appointed  by  such 
court,  or  before  any  disinterested  State  judge  of  the  State  in  which  the 
deposition  is  taken;  and  all  proof  of  debts  or  other  claims,  by  creditors 
entitled  to  prove  the  same  by  this  act,  shall  be  under  oath  or  solemn 
affirmations  as  aforesaid,  before  such  court  or  commissioner  appointed 
thereby,  or  before  some  disinterested  State  judge  of  the  State  where  the 
creditors  live,  in  such  form  as  may  be  prescribed  by  the  rules  and  regu- 
lations hereinbefore  authorized  to  be  made  and  estabished  by  the  courts 
having  jurisdiction  in  bankruptcy.  But  all  such  proofs  of  debts  and 
other  claims  shall  be  open  to  contestation  in  the  proper  court  having 
jurisdiction  over  the  proceedings  in  the  particular  case  in  bankruptcy; 
and  as  well  the  assignee  as  the  creditor  shall  have  a  right  to  a  trial  by 
jury,  upon  an  issue  to  be  directed  by  such  court,  to  ascertain  the  valid- 
ity and  amount  of  such  debts  or  other  claims;  and  the  result  therein, 
unless  a  new  trial  shall  be  granted,  if  in  favor  of  the  claims,  shall  be 
evidence  of  the  validity  and  amount  of  such  debts  or  other  claims.  And 
if  any  person  or  persons,  shall  falsely  and  corruptly  answer,  swear,  or 
affirm,  in  any  hearing  or  on  trial  of  any  matter,  or  in  any  proceeding  ia 


452  FORMER  BANKRUPTCY  ACTS. 

such  court  in  bankruptcy,  or  before  any  commissioner,  he  and  they  shall 
be  deemed  guilty  of  perjury,  and  punishable  therefor  in  the  manner  and 
to  the  extent  provided  by  law  for  other  cases. 

Sec.  8.  And  be  it  further  enacted.  That  the  circuit  court  within 
and  for  the  district  where  the  decree  of  bankruptcy  is  passed,  shall  have 
concurrent  jurisdiction  with  the  district  court  of  the  same  district  of  all 
suits  at  law  and  in  equity  which  may  and  shall  be  brought  by  any 
assignee  of  the  bankrupt  against  any  person  or  persons  claiming  an 
adverse  interest,  or  by  such  person  against  such  assignee,  touching  any 
property  or  rights  of  property  of  said  bankrupt  transferable  to,  or  vested 
in,  such  assignee;  and  no  suit  at  law  or  in  equity  shall,  in  any  case,  be 
maintainable  by  or  against  such  assignee  or  by  or  against  any  person 
claiming  an  adverse  interest  touching  the  property  and  rights  of  property 
aforesaid,  in  any  court  whatsoever,  unless  the  same  shall  be  brought 
within  two  years  after  the  declaration  and  decree  of  bankruptcy,  or  after 
the  cause  of  suit  shall  first  have  accrued. 

Sec  9.  And  be  it  further  enacted.  That  all  sales,  transfers,  and  other 
conveyances  of  the  assignee  of  the  bankrupt's  property  and  rights  of 
property,  shall  be  made  at  such  times  and  in  such  manner  as  shall  be 
ordered  and  appointed  by  the  court  in  bankruptcy;  and  all  assets  re- 
ceived by  the  assignee  in  money,  shall,  within  sixty  days  afterwards, 
be  paid  into  the  court,  subject  to  its  order  respecting  its  future  safe- 
keeping and  disposition;  and  the  court  may  require  of  such  assignee  a 
bond,  with  at  least  two  sureties,  in  such  sum  as  it  may  deem  proper, 
conditioned  for  the  due  and  faithful  discharge  of  all  his  duties,  and  his 
compliance  with  the  orders  and  directions  of  the  court;  which  bond  shall 
be  taken  in  the  name  of  the  United  States,  and  shall,  if  there  be  any 
breach  thereof,  be  sued  and  sueable,  under  the  order  of  such  court,  for 
the  benefit  of  the  creditors  and  other  persons  in  interest. 

Sec.  10.  And  be  it  further  enacted.  That  in  order  to  ensue  a  speedy 
settlement  and  close  of  the  proceedings  in  each  case  in  bankruptcy,  it 
shall  be  the  duty  of  the  court  to  order  and  direct  a  collection  of  the 
assets,  and  a  reduction  of  the  same  to  money,  and  a  distribution  thereof 
at  as  early  periods  as  practicable,  consistently  with  a  due  regard  to  the 
interests  of  the  creditors:  and  a  dividend  and  distribution  of  such  assets 
as  shall  be  collected  and  reduced  to  money,  or  so  much  thereof  as  can 
be  safely  so  disposed  of,  consistently  with  the  rights  and  interests  of 
third  persons  having  adverse  claims  thereto,  shall  be  made  among  the 
creditors  who  have  proved  their  debts,  as  often  as  once  in  six  months 
from  the  time  of  the  decree  declaring  the  bankruptcy;  notice  of  such 
dividends  and  distribution  to  be  given  in  some  newspaper  or  newspapers 
in  the  district,  designated  by  the  court,  ten  days  at  least  before  the  order 
therefor  is  passed;  and  the  pendency  of  any  suit  at  law  or  in  equity,  by 


FORMER  BANKRUPTCY  ACTS.  453 

or  against  such  third  persons,  shall  not  postpone  such  division  and  dis- 
tribution, except  so  far  as  the  assets  may  be  necessary  to  satisfy  the  same ; 
and  all  the  proceedings  in  bankruptcy  in  each  case  shall,  if  practicable, 
be  finally  adjusted,  settled,  and  brought  to  a  close,  by  the  court,  within 
two  years  after  the  decree  declaring  the  bankruptcy.  And  where  any 
creditor  shall  not  have  proved  his  debt  until  a  dividend  or  distribution 
shall  have  been  made  and  declared,  he  shall  be  entitled  to  be  paid  the 
same  amount,  pro  rata,  out  of  the  remaining  dividends  or  distributions 
thereafter  made,  as  the  other  creditors  have  already  received,  before  the 
latter  shall  be  entitled  to  any  portion  thereof. 

Sec  11.  And  be  it  further  enacted.  That  the  assignee  shall  have  full 
authority,  by  and  under  the  order  and  direction  of  the  proper  court  in 
bankruptcy,  to  redeem  and  discharge  any  mortgage  or  other  pledge,  or 
deposite,  or  lien  upon  any  property,  real  or  personal,  whether  payable 
in  presenti  or  at  a  future  day,  and  to  tender  a  due  performance  of  the 
conditions  thereof.  And  such  assignee  shall  also  have  authority,  by  and 
under  the  order  and  direction  of  the  proper  court  in  bankruptcy,  to 
compound  any  debts,  or  other  claims,  or  securities  due  or  belonging  to 
the  estate  of  the  bankrupt;  but  no  such  order  or  direction  shall  be  made 
until  notice  of  the  application  is  given  in  some  public  newspaper  in  the 
district,  to  be  designated  by  the  court,  ten  days  at  least  before  the  hear- 
ing, so  that  all  creditors  and  other  persons  in  interest  may  appear  and 
show  cause,  if  any  they  have,  at  the  hearing,  why  the  order  or  direction 
should  not  be  passed. 

Sec  12.  And  be  it  further  enacted,  That  if  any  person,  who  shall 
have  been  discharged  under  this  act,  shall  afterward  become  bankrupt, 
he  shall  not  again  be  entitled  to  a  discharge  under  this  act,  unless  his 
estate  shall  produce  (after  all  charges)  sufficient  to  pay  every  creditor 
seventy-five  per  cent,  on  the  amount  of  the  debt  which  shall  have  been 
allowed  to  each  creditor. 

Sec  13.  And  be  it  further  enacted.  That  the  proceedings  in  all  cases 
in  bankruptcy  shall  be  deemed  matters  of  record;  but  the  same  shall 
not  be  required  to  be  recorded  at  large,  but  shall  be  carefully  filed, 
kept,  and  numbered,  in  the  office  of  the  court,  and  a  docket  only,  or 
short  memorandum  thereof,  with  the  numbers,  kept  in  a  book  by  the 
clerk  of  the  court;  and  the  clerk  of  the  court,  for  aEBxing  his  name  and 
the  seal  of  the  court  to  any  form,  or  certifying  a  copy  thereof,  when 
required  thereto,  shall  be  entitled  to  receive,  as  compensation,  the  sum 
of  twenty-five  cents  and  no  more.  And  no  officer  of  the  court,  or  com- 
missioner, shall  be  allowed  by  the  court  more  than  one  dollar  for  taking 
the  proof  of  any  debt  or  other  claim  of  any  creditor  or  other  person 
against  the  estate  of  the  bankrupt;  but  he  may  be  allowed,  in  addition, 
his  actual  travel  expenses  for  that  purpose. 


454  FORMER  BARKRUPTCY  ACTS. 

Sec  14.  And  be  it  further  enacted.  That  where  two  or  more  persons, 
who  are  partners  in  trade,  become  insolvent,  an  order  may  be  made  in 
the  manner  provided  in  this  act,  either  on  the  petition  of  such  partners, 
or  any  one  of  them,  or  on  the  petition  of  any  creditor  of  the  partners; 
upon  which  order  all  the  joint  stock  and  property  of  the  company,  and 
also  all  the  separate  estate  of  each  of  the  partners,  shall  be  taken,  ex- 
cepting such  parts  thereof  as  are  herein  exempted;  and  all  the  creditors 
of  the  company,  and  the  separate  creditors  of  each  partner,  shall  be 
allowed  to  prove  their  respective  debts;  and  the  assignees  shall  also 
keep  separate  accounts  of  the  joint  stock  or  property  of  the  company, 
and  of  the  separate  estate  of  each  member  thereof;  and  after  deducting 
out  of  the  whole  amount  received  by  such  assignees  the  whole  of  the 
expenses  and  disbursements  paid  by  them,  the  nett  proceeds  of  the  joint 
stock  shall  be  appropriated  to  pay  the  creditors  of  the  company,  and  the 
nett  proceeds  of  the  separate  estate  of  each  partner  shall  be  appropriated 
to  pay  his  separate  creditors;  and  if  there  shall  be  any  balance  of  the 
separate  estate  of  any  partner,  after  the  payment  of  his  separate  debts, 
such  balance  shall  be  added  to  the  joint  stock,  for  the  payment  of  the 
joint  creditors;  and  if  there  shall  be  any  balance  of  the  joint  stock,  after 
payment  of  the  joint  debts,  such  balance  shall  be  divided  and  appropriated 
to  and  among  the  separate  estates  of  the  several  partners,  according  to 
their  respective  rights  and  interests  therein,  and  as  it  would  have  been 
if  the  partnership  had  been  dissolved  without  any  bankruptcy;  and  the 
sum  so  appropriated  to  the  separate  estate  of  each  partner  shall  be  ap- 
plied to  the  payment  of  his  separate  debts ;  and  the  certificate  of  discharge 
shall  be  granted  or  refused  to  each  partner,  as  the  same  would  or  ought 
to  be  if  the  proceedings  had  been  against  him  alone  under  this  act; 
and  in  all  other  respects  the  proceedings  against  partners  shall  be  con- 
ducted in  the  like  manner  as  if  they  had  been  commenced  and  prosecuted 
against  one  person  alone. 

Sec.  15.  And  be  it  further  enacted,  That  a  copy  of  any  decree  of 
bankruptcy,  and  the  appointment  of  assignees,  as  directed  by  the  third 
section  of  this  act,  shall  be  recited  in  every  deed  of  lands  belonging  to 
the  bankrupt,  sold  and  conveyed  by  any  assignees  under  and  by  virtue 
of  this  act;  and  that  such  recital,  together  with  a  certified  copy  of  such 
order,  shall  be  full  and  complete  evidence  both  of  the  bankruptcy  and 
assignment  therein  recited,  and  supersede  the  necessity  of  any  other  proof 
of  such  bankruptcy  and  assignment  to  validate  the  said  deed;  and  all 
deeds  containing  such  recital,  and  supported  by  such  proof,  shall  be 
as  eflfectual  to  pass  the  title  of  the  bankrupt,  of,  in,  and  to  the  lands 
therein  mentioned  and  described  to  the  purchaser,  as  fully,  to  all  intents 
and  purposes,  as  if  made  by  such  bankrupt  himself,  immediately  before 
such  order. 


FORMER  BANKRUPTCY  ACTS.  455 

Sec.  16.  And  be  it  further  enacted,  That  all  jurisdiction,  power,  and 
authority,  conferrred  upon  and  vested  in  the  district  court  of  the  United 
States  by  this  act,  in  cases  in  bankruptcy,  are  hereby  conferred  upon 
and  vested  in  the  circuit  court  of  the  United  States  for  the  District  of 
Columbia,  and  in  and  upon  the  supreme  or  superior  courts  of  any  of 
the  Territories  of  the  United  States,  in  cases  in  bankruptcy,  where  the 
bankrupt  resides  in  the  said  District  of  Columbia,  or  in  either  of  the 
said  Territories. 

Sec.  17.    And  be  it  further  enacted,  That  this  act  shall  take  eflfect  from 
and  after  the  first  day  of  February  next. 
Approved,  August  19,  1841. 

Act  of  March  3rd,  1843.    Repealing  Bankruptcy  Statute. 
An  Act  to  repeal  the  bankrupt  act. 

Be  it  enacted  by  the  Senate  and  House  of  Representatives  of  the 
United  States  of  America  in  Congress  assembled.  That  the  act  entitled, 
"An  act  to  establish  a  uniform  system  of  bankruptcy  throughout  the 
United  States,"  approved  on  the  nineteenth  day  of  August,  eighteen 
hundred  and  forty-one,  be,  and  the  same  hereby  is,  repealed:  Provided, 
That  this  act  shall  not  aflfect  any  case  or  proceeding  in  bankruptcy  com- 
menced before  the  passage  of  this  act,  or  any  pains,  penalties,  or  for- 
feitures, incurred  under  the  said  act;  but  every  such  proceeding  may 
be  continued  to  its  final  consummation  in  like  manner  as  if  this  act  had 
not  been  passed. 

Approved,  March  3,  1843. 


456  FORMER  BANKRUPTCY  ACTS. 


BANKRUPTCY  ACT  OF  MARCH  2nd,  1867. 

AN  ACT  to  establish  a  uniform  system  of  bankruptcy  throughout  the 
United   States. 

Be  it  enacted  by  the  Senate  and  House  of  Representatives  of  the 
United  States  of  America  in  Congress  assembled,  That  the  several  dis- 
trict courts  of  the  United  States  be,  and  they  hereby  are,  constituted 
courts  of  bankruptcy,  and  they  shall  have  original  jurisdiction  in  their 
respective  districts  in  all  matters  and  proceedings  in  bankruptcy,  and 
they  are  hereby  authorized  to  hear  and  adjudicate  upon  the  same  accord- 
ing to  the  provisions  of  this  act.  The  said  courts  shall  be  always  open 
for  the  transaction  of  business  under  this  act,  and  the  powers  and  juris- 
diction hereby  granted  and  conferred  shall  be  exercised  as  well  in  vaca- 
tion as  in  term  time,  and  a  judge  sitting  at  chambers  shall  have  the  same 
powers  and  jurisdiction,  including  the  power  of  keeping  order  and  of 
punishing  any  contempt  of  his  authority,  as  when  sitting  in  court.  And 
the  jurisdiction  hereby  conferred  shall  extend  to  all  cases  and  contro-> 
versies  arising  between  the  bankrupt  and  any  creditor  or  creditors  who 
shall  claim  any  debt  or  demand  under  the  bankruptcy;  to  the  collection 
of  all  the  assets  of  the  bankrupt;  to  the  ascertainment  and  liquidation 
of  the  liens  and  other  specific  claims  thereon;  to  the  adjustment  of  the 
various  priorities  and  conflicting  interests  of  all  parties;  and  to  the 
marshaling  and  disposition  of  the  different  funds  and  assets,  so  as  to 
secure  the  rights  of  all  parties  and  due  distribution  of  the  assets  among 
all  the  creditors;  and  to  all  acts,  matters,  and  things  to  be  done  under 
and  in  virtue  of  the  bankruptcy,  until  the  final  distribution  and  settle- 
ment of  the  estate  of  the  bankrupt,  and  the  close  of  the  proceedings  in 
bankruptcy.  The  said  courts  shall  have  full  authority  to  compel  obedi- 
ence to  all  orders  and  decrees  passed  by  them  in  bankruptcy,  by  process 
of  contempt  and  other  remedial  process,  to  the  same  extent  that  the 
circuit  courts  now  have  in  any  suit  pending  therein  in  equity.  Said 
courts  may  sit  for  the  transaction  of  business  in  bankruptcy  at  any  place 
in  the  district,  of  which  place,  and  the  time  of  holding  court,  they  shall 
have  given  notice,  as  well  as  at  the  places  designated  by  law  for  holding 
such  courts. 

Sec  2.  And  be  it  further  enacted,  That  the  several  circuits  courts  of 
the  United  States  within  and  for  the  districts  where  the  proceedings  in 
bankruptcy  shall  be  pending  shall  have  a  general  superintendence  and 
jurisdiction  of  all  cases  and  questions  arising  under  this  act;  and,  except 
when  special  provision  is  otherwise  made,  may,  upon  bill,  petition,  or  other 
proper  process,  of  any  party  aggrieved,  hear  and  determine  the  case  as 
a  court  of  equity.  The  powers  and  jurisdiction  hereby  granted  may  be 
exercised  either  by  said  court,  or  by  any  justice  thereof,  in  term  time 


FORMER  BANKRUPTCY  ACTS.  457 

or  vacation.  Said  circuit  courts  shall  also  have  concurrent  jurisdiction 
with  the  district  courts  of  the  same  district,  of  all  suits  at  law  or  in 
equity,  which  may  or  shall  be  brought  by  the  assignee  in  bankruptcy 
against  any  person  claiming  an  adverse  interest,  or  by  such  person  against 
such  assignee,  touching  any  property  or  rights  of  property  of  said  bank- 
rupt transferable  to  or  vested  in  such  assignee;  but  no  suit  at  law  or  in 
equity  shall,  in  any  case,  be  maintainable  by  or  against  such  assignee, 
or  by  or  against  any  person  claiming  an  adverse  interest,  touching  the 
property  and  rights  of  property  aforesaid,  in  any  court  whatsoever,  unless 
the  same  shall  be  brought  within  two  years  from  the  time  the  cause  of 
action  accrued,  for  or  against  such  assignee:  Provided,  That  nothing 
herein  contained  shall  revive  a  right  of  action  barred  at  the  time  such 
assignee  is  appointed. 

OF  THE  ADMINISTRATION  OF  THE  LAW  IN  COURTS  OF  BANKRUPTCY. 

Sec  3.  And  be  it  further  enacted.  That  it  shall  be  the  duty  of  the 
judges  of  the  district  courts  of  the  United  States  within  and  for  the 
several  districts  to  appoint  in  each  congressional  district  in  said  districts, 
upon  the  nomination  and  recommendation  of  the  Chief  Justice  of  the 
Supreme  Court  of  the  United  States,  one  or  more  registers  in  bank- 
ruptcy, to  assist  the  judge  of  the  district  court  in  the  performance  of 
his  duties  under  this  act.  No  person  shall  be  eligible  to  such  appoint- 
ment unless  he  be  a  counsellor  of  said  court,  or  of  some  one  of  the 
courts  of  record  of  the  State  in  which  he  resides.  Before  entering  upon 
the  duties  of  his  office,  every  person  so  appointed  a  register  in  bank- 
ruptcy shall  give  a  bond  to  the  United  States,  with  condition  that  he 
will  faithfully  discharge  the  duties  of  his  office,  in  a  sum  not  less  than 
one  thousand  dollars,  to  be  fixed  by  said  court,  with  sureties  satisfactory 
to  said  court,  or  to  either  of  the  said  justices  thereof;  and  he  shall,  in 
open  court,  take  and  subscribe  the  oath  prescribed  in  the  act  entitled, 
"An  act  to  prescribe  an  oath  of  office,  and  for  other  purposes,"  approved 
July  second,  eighteen  hundred  and  sixty-two;  and  also  that  he  will  not 
during  his  continuance  in  office  be,  directly  or  indirectly,  interested  in 
or  benefited  by  the  fees  or  emoluments  arising  from  any  suit  or  matter 
pending  in  bankruptcy  in  either  the  district  or  circuit  court  in  his  district. 

Sec.  4.  And  be  it  further  enacted,  That  every  register  in  bankruptcy, 
so  appointed  and  qualified,  shall  have  power,  and  it  shall  be  his  duty, 
to  make  adjudication  of  bankruptcy,  to  receive  the  surrender  of  any  bank- 
rupt, to  administer  oaths  in  all  proceedings  before  him,  to  hold  and  pre- 
side at  meetings  of  creditors,  to  take  proof  of  debts,  to  make  all  com- 
putations of  dividends,  and  all  orders  of  distribution,  and  to  furnish  the 
assignee  with  a  certified  copy  of  such  orders,  and  of  the  schedules  of 
creditors  and  assets  filed  in  each  case,  to  audit  and  pass  accounts  of 
assignees,  to  grant  protection,  to  pass  the  last  examination  of  any  bank- 


458  FORMER  BANKRUPTCY  ACTS. 

rupt  in  cases  whenever  the  assignee  or  a  creditor  do  not  oppose,  and  to 
sit  in  chambers  and  despatch  there  such  part  of  the  administrative  busi- 
ness of  the  court  and  such  uncontested  matters  as  shall  be  defined  in 
general  rules  and  orders,  or  as  the  district  judge  shall  in  any  particular 
matter  direct;  and  he  shall  also  make  short  memoranda  of  his  proceed- 
ings in  each  case  in  which  he  shall  act,  in  a  docket  to  be  kept  by  him 
for  that  purpose,  and  he  shall  forthwith,  as  the  proceedings  are  taken, 
forward  to  the  clerk  of  the  district  court  a  certified  copy  of  said  memo- 
randa, which  shall  be  entered  by  said  clerk  in  the  proper  minute-book 
to  be  kept  in  his  office,  and  any  register  of  the  court  may  act  for  any 
other  register  thereof:  Provided,  however.  That  nothing  in  this  section 
contained  shall  empower  a  register  to  commit  for  contempt,  or  to  hear 
a  disputed  adjudication,  or  any  question  of  the  allowance  or  suspension 
of  an  order  of  discharge;  but  in  all  matters  where  an  issue  of  fact  or 
of  law  is  raised  and  contested  by  any  party  to  the  proceedings  before 
him,  it  shall  be  his  duty  to  cause  the  question  or  issue  to  be  stated  by  the 
opposing  parties  in  writing,  and  he  shall  adjourn  the  same  into  court 
for  decision  by  the  judge.  No  register  shall  be  of  counsel  or  attorney, 
either  in  or  out  of  court,  in  any  suit  or  matter  pending  in  bankruptcy 
in  either  the  circuit  or  district  court  of  his  district,  nor  in  an  appeal 
therefrom;  nor  shall  he  be  executor,  administrator,  guardian,  commis- 
sioner, appraiser,  divider,  or  assignee,  of  or  upon  any  estate  within  the 
jurisdiction  of  either  of  said  courts  of  bankruptcy,  nor  be  interested  in 
the  fees  or  emoluments  arising  from  either  of  said  trusts.  The  fees  of 
said  registers,  as  established  by  this  act,  and  by  the  general  rules  and 
orders  required  to  be  framed  under  it,  shall  be  paid  to  them  by  the 
parties  for  whom  the  services  may  be  rendered  in  the  course  of  proceed- 
ings authorized  by  this  act. 

Sec.  5.  And  be  it  further  enacted,  That  the  judge  of  the  district  court 
may  direct  a  register  to  attend  at  any  place  within  the  district,  for  the 
purpose  of  hearing  such  voluntary  applications  under  this  act  as  may  not 
be  opposed,  of  attending  any  meeting  of  creditors,  or  receiving  any  proof 
of  debts,  and,  generally,  for  the  prosecution  of  any  bankruptcy  or  other 
proceedings  under  this  act ;  and  the  travelling  and  incidental  expenses  of 
such  register,  and  of  any  clerk  or  other  officer  attending  him,  incurred 
in  so  acting,  shall  be  settled  by  said  court  in  accordance  with  the  rules 
prescribed  under  the  tenth  section  of  this  act,  and  paid  out  of  the  assets 
of  the  estate  in  respect  of  which  such  register  has  so  acted;  or,  if  there 
be  no  such  assets,  or  if  the  assets  shall  be  insufficient,  then  such  expenses 
shall  form  a  part  of  the  costs  in  the  case  or  cases  in  which  the  register 
shall  have  acted  in  such  journey,  to  be  apportioned  by  the  judge;  and 
such  register,  so  acting,  shall  have  and  exercise  all  powers,  except  the 
power  of  commitment,  vested  in  the  district  court  for  the  summoning 
and  examination  of  persons  or  witnesses,  and  for  requiring  the  produc- 


FORMER  BANKRUPTCY  ACTS.  459 

tion  of  books,  papers,  and  documents :  Provided  always.  That  all  deposi- 
tions of  persons  and  witnesses  taken  before  said  register,  and  all  acts 
done  by  him,  shall  be  reduced  to  writing  and  be  signed  by  him,  and  shall 
be  filed  in  the  clerk's  oflSce  as  part  of  the  proceedings.  Such  register 
shall  be  subject  to  removal  by  the  judge  of  the  [circuit]  district  court, 
and  all  vacancies  accurring  by  such  removal,  or  by  resignation,  change 
of  residence,  death,  or  disability,  shall  be  promptly  filled  by  other  fit 
persons,  unless  said  court  shall  deem  the  continuance  of  the  particular 
office  unnecessary. 

Sec.  C.  And  be  it  further  enacted,  That  any  party  shall,  during  the 
proceedings  before  a  register,  be  at  liberty  to  take  the  opinion  of  the 
district  judge  upon  any  point  or  matter  arising  in  the  course  of  such 
proceedings,  or  upon  the  result  of  such  proceedings,  which  shall  be  stated 
by  the  register  in  the  shape  of  a  short  certificate  to  the  judge,  who  shall 
sign  the  same  if  he  approve  thereof;  and  such  certificate,  so  signed,  shall 
be  binding  on  all  the  parties  to  the  proceedings;  but  every  such  cer- 
tificate may  be  discharged  or  varied  by  the  judge  at  chambers  or  in  open 
court.  In  any  bankruptcy,  or  in  any  other  proceedings  within  the  juris- 
diction of  the  court  under  this  act,  the  parties  concerned,  or  submitting 
to  such  jurisdiction,  may  at  any  stage  of  the  proceedings,  by  consent, 
state  any  question  or  questions  in  a  special  case  for  the  opinion  of  the 
court;  and  the  judgment  of  the  court  shall  be  final,  unless  it  be  agreed 
and  stated  in  such  special  case  that  either  party  may  appeal,  if,  in  such 
case,  an  appeal  is  allowed  by  this  act.  The  parties  may  also,  if  they 
think  fit,  agree,  that  upon  the  question  or  questions  raised  by  such  special 
case  being  finally  decided,  a  sum  of  money,  fixed  by  the  parties,  or  to 
be  ascertained  by  the  court,  or  in  such  manner  as  the  court  may  direct, 
or  any  property,  or  the  amount  of  any  disputed  debt  or  claim,  shall  be 
paid,  delivered,  or  transferred  by  one  of  such  parties  to  the  other  of 
them,  either  with  or  without  costs. 

Sec.  7.  And  be  it  further  enacted.  That  parties  and  witnesses  sum- 
moned before  a  register  shall  be  bound  to  attend  in  pursuance  of  such 
summons  at  the  place  and  time  designated  therein,  and  shall  be  entitled 
to  protection,  and  be  liable  to  process  of  contempt  in  like  manner  as 
parties  and  witnesses  are  now  liable  thereto  in  case  of  default  in  attend- 
ence  under  any  writ  of  subpoena;  and  all  persons  wilfully  and  corruptly 
swearing  or  afiirming  falsely  before  a  register  shall  be  liable  to  all  the 
penalties,  punishments,  and  consequences  of  perjury.  If  any  person  ex- 
amined before  a  register  shall  refuse  or  decline  to  answer,  or  to  swear 
to  or  sign  his  examination  when  taken,  the  register  shall  refer  the  matter 
to  the  judge,  who  shall  have  power  to  order  the  person  so  acting  to  pay 
the  costs  thereby  occasioned,  if  such  person  be  compellable  by  law  to 
answer  such  question,  or  to  sign  such  examination,  and  such  person  shall 
also  be  liable  to  be  punished  for  contempt. 


460  FORMER  BANKRUPTCY  ACTS. 

OF   APPEALS    AND    PRACTICE. 

Sec  8.  And  be  it  further  enacted.  That  appeals  may  be  taken  from 
the  district  to  the  circuit  courts  in  all  cases  in  equity,  and  writs  of  error 
may  be  allowed  to  said  circuit  courts  from  said  district  courts  in  cases 
at  law  under  the  jurisdiction  created  by  this  act  when  the  debt  or  dam- 
ages claimed  amount  to  more  than  five  hundred  dollars;  and  any  sup- 
posed creditor,  whose  claim  is  wholly  or  in  part  rejected,  or  an  assignee 
who  is  dissatisfied  with  the  allowance  of  a  claim,  may  appeal  from  the 
decision  of  the  district  court  to  the  circuit  court  for  the  same  district; 
but  no  appeal  shall  be  allowed  in  any  case  from  the  district  to  the 
circuit  court  unless  it  is  claimed,  and  notice  given  thereof  to  the  clerk 
of  the  district  court,  to  be  entered  with  the  record  of  the  proceedings, 
and  also  to  the  assignee  or  creditor,  as  the  case  may  be,  or  to  the 
defeated  party  in  equity,  within  ten  days  after  the  entry  of  the  decree 
or  decision  appealed  from.  The  appeal  shall  be  entered  at  the  term  of 
the  circuit  court  which  shall  be  first  held  within  and  for  the  district  next 
after  the  expiration  of  ten  days  from  the  time  of  claiming  the  same. 
But  if  the  appellant  in  writing  waives  his  appeal  before  any  decision 
thereon,  proceedings  may  be  had  in  the  district  court  as  if  no  appeal  had 
been  taken,  and  no  appeal  shall  be  allowed  unless  the  appellant  at  the 
time  of  claiming  the  same  shall  give  bond  in  manner  now  required  by 
law  in  cases  of  such  appeals.  No  writ  of  error  shall  be  allowed  unless 
the  party  claiming  it  shall  comply  with  the  statutes  regulating  the  grant- 
ing of  such  writs. 

Sec  9.  And  be  it  further  enacted,  That  in  cases  arising  under  this  act 
no  appeal  or  writ  of  error  shall  be  allowed  in  any  case  from  the  circuit 
courts  to  the  Supreme  Court  of  the  United  States,  unless  the  matter  in 
dispute  in  such  case  shall  exceed  two  thousand  dollars. 

Sec.  10.  And  be  it  further  enacted,  That  the  justices  of  the  Supreme 
Court  of  the  United  States  subject  to  the  provisions  of  this  act  shall  frame 
general  orders  for  the  following  purposes: 

For  regulating  the  practice  and  procedure  of  the  district  courts  in 
bankruptcy,  and  the  several  forms  of  petitions,  orders,  and  other  pro- 
ceedings to  be  used  in  said  courts  in  all  matters  under  this  act; 

For  regulating  the  duties  of  the  various  officers  of  said  courts; 

For  regulating  the  fees  payable,  and  the  charges  and  costs  to  be 
allowed,  except  such  as  are  established  by  this  act  or  by  law,  with  respect 
to  all  proceedings  in  bankruptcy  before  said  courts,  not  exceeding  the 
rate  of  fees  now  allowed  by  law  for  similar  services  in  other  proceedings ; 

For  regulating  the  practice  and  procedure  upon  appeals; 

For  regulating  the  filing,  custody,  and  inspection  of  records; 

And  generally  for  carrying  the  provisions  of  this  act  into  effect. 


FORMER  BANKRUPTCY  ACTS.  461 

After  such  general  orders  shall  have  been  so  framed,  they,  or  any  of 
them,  may  be  rescinded  or  varied,  and  other  general  orders  may  be 
framed  in  manner  aforesaid,  and  all  such  general  orders  so  framed  shall, 
from  time  to  time,  be  reported  to  Congress,  with  such  suggestions  as 
said  justices  may  think  proper. 

VOLUNTARY  BANKRUPTCY — COMMENCEMENT  OF  PROCEEDINGS. 

Sec  11.  And  be  it  further  enacted.  That  if  any  person  residing 
within  the  jurisdiction  of  the  United  States,  owing  debts  provable  under 
this  act  exceeding  the  amount  of  three  hundred  dollars,  shall  apply  by 
petition,  addressed  to  the  judge  of  the  judicial  district  in  which  such 
debtor  has  resided  or  carried  on  business  for  the  six  months  next  im- 
mediately preceding  the  time  of  filing  such  petition,  or  for  the  longest 
period  during  such  six  months,  setting  forth  his  place  of  residence,  his 
inability  to  pay  all  his  debts  in  full,  his  willingness  to  surrender  all  his 
estate  and  effects  for  the  benefit  of  his  creditors,  and  his  desire  to  obtain 
the  benefit  of  this  act,  and  shall  annex  to  his  petition  a  schedule,  verified 
by  oath  before  the  court,  or  before  a  register  in  bankruptcy,  or  before 
one  of  the  commissioners  of  the  circuit  court  of  the  United  States,  con- 
taining a  full  and  true  statement  of  all  his  debts,  and,  as  far  as  possible, 
to  whom  due,  with  the  place  of  residence  of  each  creditor,  if  known  to 
the  debtor,  and  if  not  known  the  fact  to  be  so  stated,  and  the  sum  due 
to  each  creditor,  also  the  nature  of  each  debt  or  demand,  whether  founded 
on  written  security,  obligation,  contract,  or  otherwise,  and  also  the  true 
cause  and  consideration  of  such  indebtedness  in  each  case,  and  the  place 
where  such  indebtedness  accrued,  and  a  statement  of  any  existing  mort- 
gage, pledge,  lien,  judgment,  or  collateral  or  other  security  given  for 
the  payment  of  the  same ;  and  shall  also  annex  to  his  petition  an  accurate 
inventory,  verified  in  like  manner,  of  all  his  estate,  both  real  and  personal, 
assignable  under  this  act,  describing  the  same,  and  stating  where  it  is 
situated,  and  whether  there  are  any,  and  if  so,  what  incumbrances  thereon, 
the  filing  of  such  petition  shall  be  an  act  of  bankruptcy,  and  such  peti- 
tioner shall  be  adjudged  a  bankrupt:  Provided,  That  all  citizens  of  the 
United  States  petitioning  to  be  declared  bankrupt  shall,  on  filing  such 
petition  and  before  any  proceedings  thereon,  take  and  subscribe  an  oath 
of  allegiance  and  fidelity  to  the  United  States,  which  oath  shall  be  filed 
and  recorded  with  the  proceedings  in  bankruptcy.  And  the  judge  of 
the  district  court,  or,  if  there  be  no  opposing  party,  any  register  of  said 
court,  to  be  designated  by  the  judge,  shall  forthwith,  if  he  be  satisfied 
that  the  debts  due  from  the  petitioner  exceed  three  hundred  dollars, 
issue  a  warrant,  to  be  signed  by  such  judge  or  register,  directed  to  the 
marshal  of  said  district,  authorizing  him  forthwith,  as  messenger,  to 
publish  notices  in  such  newspapers  as  the  warrant  specifies;  to  serve 
written  or  printed  notice,  by  mail  or  personally,  on  all  creditors  upon  the 


462  FORMER  BANKRUPTCY  ACTS. 

schedule  filed  with  the  debtor's  petition,  or  whose  names  may  be  given 
to  him,  in  addition,  by  the  debtor,  and  to  give  such  personal  or  other 
notice  to  any  persons  concerned  as  the  warrant  specifies,  which  notice 
shall  state — 

First  That  a  warrant  in  bankruptcy  has  been  issued  against  the 
estate  of  the  debtor. 

Second.  That  the  payment  of  any  debts  and  the  delivery  of  any 
property  belonging  to  such  debtor  to  him  or  for  his  use,  and  the  transfer 
of  any  property  by  him,  are  forbidden  by  law. 

Third.  That  a  meeting  of  the  creditors  of  the  debtor,  giving  the 
names,  residences,  and  amounts,  so  far  as  known,  to  prove  their  debts 
and  choose  one  or  more  assignees  of  his  estate,  will  be  held  at  a  court 
of  bankruptcy,  to  be  holden  at  a  time  and  place  designated  in  the  war- 
rant, jiot  less  than  ten  nor  more  than  ninety  days  after  the  issuing  of 
the  same. 

OF   ASSIGNMENTS    AND   ASSIGNEES, 

Sec  12.  And  be  it  further  enacted.  That  at  the  meeting,  held  in  pur- 
suance of  the  notice,  one  of  the  registers  of  the  court  shall  preside,  and 
the  messenger  shall  make  return  of  the  warrant  and  of  his  doings  thereon ; 
and  if  it  appears  that  the  notice  to  the  creditors  has  not  been  as  required 
in  the  warrant,  the  meeting  shall  forthwith  be  adjourned,  and  a  new 
notice  given  as  required.  If  the  debtor  dies  after  the  issuing  the  war- 
rant, the  proceedings  may  be  continued  and  concluded  in.  like  manner 
as  if  he  had  lived. 

Sec.  13.  And  be  it  further  enacted,  That  the  creditors  shall,  at  the 
first  meeting  held  after  due  notice  from  the  messenger,  in  presence  of 
a  register  designated  by  the  court,  choose  one  or  more  assignees  of  the 
estate  of  the  debtor ;  the  choice  to  be  made  by  the  greater  part  in  value  and 
in  number  of  the  creditors  who  have  proved  their  debts.  If  no  choice  is 
made  by  the  creditors  at  said  meeting,  the  judge,  or,  if  there  be  no  oppos- 
ing interest,  the  register,  shall  appoint  one  or  more  assignees.  If  an 
assignee,  so  chosen  or  appointed,  fails  within  five  days  to  express  in  writ- 
ing his  acceptance  of  the  trust,  the  judge  or  register  may  fill  the  vacancy. 
All  elections  or  appointments  of  assignees  shall  be  subject  to  the  approval 
of  the  judge;  and  when  in  his  judgment  it  is  for  any  cause  needful  or 
expedient,  he  may  appoint  additional  assignees,  or  order  a  new  election. 
The  judge  at  any  time  may,  and,  upon  the  request  in  writing  of  any 
creditor  who  has  proved  his  claim,  shall,  require  the  assignee  to  give 
good  and  sufficient  bond  to  the  United  States,  with  a  condition  for  the 
faithful  performance  and  discharge  of  his  duties;  the  bond  shall  be  ap- 
proved by  the  judge  or  register  by  his  indorsement  thereon,  shall  be 
filed  with  the  record  of  the  case,  and  inure  to  the  benefit  of  all  creditors 
proving  their  claims,  and  may  be  prosecuted  in  the  name  and  for  the 


FORMER  BANKRUPTCY  ACTS.  463 

benefit  of  any  injured  party.  If  the  assignee  fails  to  give  the  bond 
within  such  time  as  the  judge  orders,  not  exceeding  ten  days  after  notice 
to  him  of  such  order,  the  judge  shall  remove  him  and  appoint  another 
in  his  place. 

Sec.  14.  And  be  it  further  enacted,  That  as  soon  as  said  assignee  is 
appointed  and  qualified,  the  judge,  or,  where  there  is  no  opposing  interest, 
tha-^register,  shall,  by  an  instrument  under  his  hand,  assign  and  convey 
to  tKe  assignee  all  the  estate,  real  and  personal,  of  the  bankrupt,  with  all 
his  deeds,  books,  and  papers  relating  thereto,  and  such  assignment  shall 
relate  back  to  the  commencement  of  said  proceedings  in  bankruptcy,  and 
thereupon,  by  operation  of  law,  the  title  to  all  such  property  and  estate, 
both  real  and  personal,  shall  vest  in  said  assignee,  although  the  same  is 
then  attached  on  mesne  process  as  the  property  of  the  debtor,  and  shall  dis- 
solve any  such  attachment  made  within  four  months  next  preceding  the 
commencement  of  said  proceedings  Provided,  however,  That  there  shall 
be  excepted  from  the  operation  of  the  provisions  of  this  section  the  nec- 
essary household  and  kitchen  furniture,  and  such  other  articles  and 
necessaries  of  such  bankrupt  as  the  said  assignee  shall  designate  and  set 
apart,  having  reference  in  the  amount  to  the  family,  condition,  and  cir- 
cumstances of  the  bankrupt,  but  altogether  not  to  exceed  in  value,  in  any 
case,  the  sum  of  five  hundred  dollars;  and  also  the  wearing  apparel  of 
such  bankrupt,  and  that  of  his  wife  and  children,  and  the  uniform,  arms, 
and  equipments  of  any  person  who  is  or  has  been  a  soldier  in  the  milita 
or  in  the  service  of  the  United  States;  and  such  other  property  as  now 
is,  or  hereafter  shall  be,  exempted  from  attachment,  or  seizure,  or  levy 
on  execution  by  the  laws  of  the  United  States,  and  such  other  property 
not  included  in  the  foregoing  exceptions  as  is  exempted  from  levy  and 
sale  upon  execution  or  other  process  or  order  of  any  court  by  the  laws 
of  the  State  in  which  the  bankrupt  has  his  domicile  at  the  time  of  the 
commencement  of  the  proceedings  in  bankruptcy,  to  an  amount  not  ex- 
ceeding that  allowed  by  such  State  exemption  laws  in  force  in  the  year 
eighteen  hundred  and  sixty-four.  Provided,  That  the  foregoing  exception 
shall  operate  as  a  limitation  upon  the  conveyance  of  the  property  of  the 
bankrupt  to  his  assignees,  and  in  no  case  shall  the  property  hereby  ex- 
cepted pass  to  the  assignees,  or  the  title  of  the  bankrupt  thereto  be  im- 
paired or  affected  by  any  of  the  provisions  of  this  act;  and  the  deter- 
mination of  the  assignee  in  the  matter  shall,  on  exception  taken,  be  sub- 
ject to  the  final  decision  of  the  said  court:  And  provided  further.  That 
no  mortgage  of  any  vessel  or  of  any  other  goods  or  chattels,  made  as 
security  for  any  debt  or  debts,  in  good  faith  and  for  present  considera- 
tions, and  otherwise  valid,  and  duly  recorded,  pursuant  to  any  statute  of 
the  United  States,  or  of  any  State,  shall  be  invalidated  or  affected  hereby ; 
and  all  the  property  conveyed  by  the  bankrupt  in  fraud  of  his  creditors; 
all  rights  in  equity,  choses  in  action,  patents  and  patent  rights  and  copy- 


464  FORMER  BANKRUPTCY  ACTS. 

rights;  all  debts  due  him,  or  any  person  for  his  use,  and  all  liens  and 
securities  therefor;  and  all  his  rights  of  action  for  property  or  estate, 
real  or  personal,  and  for  any  cause  of  action  which  the  bankrupt  had 
against  any  person  arising  from  contract  or  from  the  unlawful  taking 
or  detention  of  or  injury  to  the  property  of  the  bankrupt;  and  all  his 
rights  of  redeeming  such  property  or  estate,  with  the  like  right,  title, 
power,  and  authority  to  sell,  manage,  dispose  of,  sue  for,  and  recover 
or  defend  the  same,  as  the  bankrupt  might  or  could  have  had  if  no 
assignment  had  been  made,  shall,  in  virtue  of  the  adjudication  of  bank- 
ruptcy and  the  appointment  of  his  assignee,  be  at  once  vested  in  such 
assignee;  and  he  may  sue  for  and  recover  the  said  estate,  debts,  and 
effects,  and  may  prosecute  and  defend  all  suits  at  law  or  in  equity,  pend- 
ing at  the  time  of  the  adjudication  of  bankruptcy,  in  which  such  bank- 
rupt is  a  party  in  his  own  name,  in  the  same  manner  and  with  the  like 
effect  as  they  might  have  been  presented  or  defended  by  such  bankrupt; 
and  a  copy,  duly  certified  by  the  clerk  of  the  court  under  the  seal  thereof, 
of  the  assignment  made  by  the  judge  or  register,  as  the  case  may  be,  to 
him  as  assignee,  shall  be  conclusive  evidence  of  his  title  as  such  assignee 
to  take,  hold,  sue  for,  and  recover  the  property  of  the  bankrupt,  as  here- 
inbefore mentioned;  but  no  property  held  by  the  bankrupt  in  trust  shall 
pass  by  such  assignment.  No  person  shall  be  entitled  to  maintain  an 
action  against  an  assignee  in  bankruptcy  for  anything  done  by  him  as 
such  assignee,  without  previously  giving  him  twenty  days'  notice  of  such 
action  specifying  the  cause  thereof,  to  the  end  that  such  assignee  may 
have  an  opportunity  of  tendering  amends,  should  he  see  fit  to  do  so. 
No  person  shall  be  entitled,  as  against  the  assignee,  to  withhold  from 
him  possession  of  any  books  of  account  of  the  bankrupt,  or  claim  any 
lien  thereon;  and  no  suit  in  which  the  assignee  is  a  party  shall  be  abated 
by  his  death  or  removal  from  office,  but  the  same  may  be  prosecuted 
and  defended  by  his  successor,  or  by  the  surviving  or  remaining  assignee, 
as  the  case  may  be.  The  assignee  shall  have  authority,  under  the  order 
and  direction  of  the  court,  to  redeem  or  discharge  any  mortgage  or  con- 
ditional contract,  or  pledge  or  deposit,  or  lien  upon  any  property,  real  or 
personal,  whenever  payable,  and  to  tender  due  performance  of  the  condi- 
tion thereof,  or  to  sell  the  same  subject  to  such  mortgage,  lien  or  other 
incumbrances.  The  debtor  shall  also,  at  the  request  of  the  assignee,  and 
at  the  expense  of  the  estate,  make  and  execute  any  instruments,  deeds, 
and  writings  which  may  be  pi"0per,  to  enable  the  assignee  to  possess  him- 
self fully  of  all  the  assets  of  the  bankrupt.  The  assignee  shall  immedi- 
ately give  notice  of  his  appointment  by  publication  at  least  once  a  week 
for  three  successive  weeks,  in  such  newspapers  as  shall,  for  that  purpose, 
be  designated  by  the  court,  due  regard  being  had  to  their  general  cir- 
culation in  the  district,  or  in  that  portion  of  the  district  in  which  the 
bankrupt  and  his  creditors  shall  reside,  and  shall,   within  six  months. 


FORMER  BANKRUPTCY  ACTS.  465 

cause  the  assignment  to  him  to  be  recorded  in  every  registry  of  deeds 
or  other  office  within  the  United  States  where  a  conveyance  of  any  lands 
owned  by  the  bankrupt  ought  by  law  to  be  recorded;  and  the  record 
of  such  assignment,  or  a  duly  certified  copy  thereof,  shall  be  evidence 
thereof  in  all  courts. 

Sec.  15.  And  be  it  further  enacted,  That  the  assignee  shall  demand 
and  receive  from  any  and  all  persons  holding  the  same  all  the  estate 
assigned,  or  intended  to  be  assigned,  under  the  provisions  of  this  act; 
and  he  shall  sell  all  such  unincumbered  estate,  real  and  personal,  which 
comes  to  his  hands,  on  such  terms  as  he  thinks  most  for  the  interest 
of  the  creditors ;  but  upon  petition  of  any  person  interested,  and  for  cause 
shown,  the  court  may  make  such  order  concerning  the  time,  place,  and 
manner  of  sale,  as  will,  in  his  opinion,  prove  to  the  interest  of  the 
creditors;  and  the  assignee  shall  keep  a  regular  account  of  all  money 
received  by  him  as  assignee,  to  which  every  creditor  shall,  at  reasonable 
times,  have  free  resort. 

Sec  16.  And  be  it  further  enacted,  That  the  assignee  shall  have  the 
like  remedy  to  recover  all  said  estate,  debts,  and  effects,  in  his  own  name, 
as  the  debtor  might  have  had  if  the  decree  in  bankruptcy  had  not  been 
rendered  and  no  assignment  had  been  made.  If,  at  the  time  of 
the  commencement  of  proceedings  in  bankruptcy,  an  action  is  pending 
in  the  name  of  the  debtor  for  the  recovery  of  a  debt  or  other 
thing  which  might  or  ought  to  pass  to  the  assignee  by  the  assign- 
ment, the  assignee  shall,  if  he  requires  it,  be  admitted  to  prosecute  the 
action  in  his  own  name,  in  like  manner  and  with  like  effect,  as  if 
it  had  been  originally  commenced  by  him.  No  suit  pending  in  the 
name  of  the  assignee  shall  be  abated  by  his  death  or  removal ;  but  upon 
the  motion  of  the  surviving,  or  remaining,  or  new  assignee,  as  the  case 
may  be,  he  shall  be  admitted  to  prosecute  the  suit,  in  like  manner  and 
with  like  effect  as  if  it  had  been  originally  commenced  by  him.  In  suits 
prosecuted  by  the  assignee,  a  certified  copy  of  the  assignment  made  to 
him  by  the  judge  or  register  shall  be  conclusive  evidence  of  his  authority 
to  sue. 

Sec  17.  And  be  it  further  enacted,  That  the  assignee  shall,  as  soon 
as  may  be  after  receiving  any  money  belonging  to  the  estate,  deposit  the 
same  in  some  bank  in  his  name  as  assignee,  or  otherwise  keep  it  distinct 
and  apart  from  all  other  money  in  his  possession;  and  shall,  as  far  as 
practicable,  keep  all  goods  and  effects  belonging  to  the  estate  separate 
and  apart  from  all  other  goods  in  his  possession,  or  designated  by  appro- 
priate marks,  so  that  they  may  be  easily  and  clearly  distinguished,  and 
may  not  be  exposed  or  liable  to  be  taken  as  his  property  or  for  the  pay- 
ment of  his  debts.  When  it  appears  that  the  distribution  of  the  estate 
may  be  delayed  by  litigation  or  other  cause,  the  court  may  direct  the 


466  FORMER  BANKRUPTCY  ACTS. 

temporary  investment  of  the  money  belonging  to  such  estate  in  securities 
to  be  approved  by  the  judge  or  a  register  of  said  court,  or  may  authorize 
the  same  to  be  deposited  in  any  convenient  bank,  upon  such  interest, 
not  exceeding  the  legal  rate,  as  the  bank  may  contract  with  the  assignee 
to  pay  thereon.  He  shall  give  written  notice  to  all  known  creditors,  by 
mail  or  otherwise,  of  all  dividends,  and  such  notice  of  meetings,  after 
the  first,  as  may  be  ordered  by  the  court  He  shall  be  allowed,  and  may 
retain,  out  of  money  in  his  hands,  all  the  necessary  disbursements  made 
by  him  in  the  discharge  of  his  duty,  and  a  reasonable  compensation  for 
his  services,  in  the  discretion  of  the  court.  He  may,  under  the  direction 
of  the  court,  submit  any  controversy  arising  in  the  settlement  of  demands 
against  the  estate,  or  of  debts  due  to  it,  to  the  determination  of  arbitrators, 
to  be  chosen  by  him  and  the  other  party  to  the  controversy,  and  may, 
under  such  direction,  compound  and  settle  any  such  controversy  by  agree- 
ment with  the  other  party,  as  he  thinks  proper  and  most  for  the  interest 
of  the  creditors. 

Sec  18.  And  be  it  further  enacted,  That  the  court,  after  due  notice 
and  hearing,  may  remove  an  assignee  for  any  cause  which,  in  the  judg- 
ment of  the  court,  renders  such  removal  necessary  or  expedient.  At  a 
meeting  called  by  order  of  the  court  in  its  discretion  for  the  purpose, 
or  which  shall  be  called  upon  the  application  of  a  majority  of  the 
creditors  in  number  and  value,  the  creditors  may,  with  consent  of  the 
court,  remove  any  assignee  by  such  a  vote  as  is  hereinbefore  provided 
for  the  choice  of  assignee.  An  assignee  may,  with  the  consent  of  the 
judge,  resign  his  trust  and  be  discharged  therefrom.  Vacancies  caused 
by  death  or  otherwise  in  the  office  of  assignee  may  be  filled  by  appoint- 
ment of  the  court,  or,  at  its  discretion,  by  an  election  by  the  creditors, 
in  the  manner  hereinbefore  provided,  at  a  regular  meeting,  or  at  a  meet- 
ing called  for  the  purpose,  with  such  notice  thereof  in  writing  to  all 
known  creditors,  and  by  such  person,  as  the  court  shall  direct.  The 
resignation  or  removal  of  an  assignee  shall  in  no  way  release  him  from 
performing  all  things  requisite  on  his  part  for  the  proper  closing  up  of 
his  trust  and  the  transmission  thereof  to  his  successors,  nor  shall  it  affect 
the  liability  of  the  principal  or  surety  on  the  bond  given  by  the  assignee. 
When,  by  death  or  otherwise,  the  number  of  assignees  is  reduced,  the 
estate  of  the  debtor  not  lawfully  disposed  of,  shall  vest  in  the  remaining 
assignee  or  assignees,  and  the  persons  selected  to  fill  vacancies,  if  any, 
with  the  same  powers  and  duties  relative  thereto  as  if  they  were  originally 
chosen.  Any  former  assignee,  his  executors,  or  administrators,  upon  re- 
quest, and  at  the  expense  of  the  estate,  shall  make  and  execute  to  the 
new  assignee  all  deeds,  conveyances,  and  assurances,  and  do  all  other 
lawful  acts  requisite  to  enable  him  to  recover  and  receive  all  the  estate. 
And  the  court  may  make  all  orders  which  it  may  deem  expedient  to 
secure  the  proper  fulfilment  of  the  duties  of  any  former  assignee,  and 


FORMER  BANKRUPTCY  ACTS.  467 

the  rights  and  interests  of  all  persons  interested  in  the  estate.  No  person 
who  has  received  any  preference  contrary  to  the  provisions  of  this  act 
shall  vote  for  or  be  eligible  as  assignee;  but  no  title  to  property,  real 
or  personal,  sold,  transferred,  or  conveyed  by  an  assignee,  shall  be 
affected  or  impaired  by  reason  of  his  ineligibility.  An  assignee  refusing 
or  unreasonably  neglecting  to  execute  an  instrument  when  lawfully  re- 
quired by  the  court,  or  disobeying  a  lawful  order  or  decree  of  the  court 
in  the  premises,  may  be  punished  as  for  a  contempt  of  court. 

OF  DEBTS  AND  PROOF  OF  CLAIMS. 

Sec  19.  And  be  it  further  enacted.  That  all  debts  due  and  payable 
from  the  bankrupt  at  the  time  of  the  adjudication  of  bankruptcy,  and  all 
debts  then  existing,  but  not  payable  until  a  future  day,  a  rebate  of  interest 
being  made  when  no  interest  is  payable  by  the  terms  of  contract,  may  be 
proved  against  the  estate  of  the  bankrupt.  All  demands  against  the  bank- 
rupt for  or  on  account  of  any  goods  or  chattels  wrongfully  taken,  con- 
verted, or  withheld  by  him,  may  be  proved  and  allowed  as  debts  to  the 
amount  of  the  value  of  the  property  so  taken  or  withheld,  with  interest. 
If  the  bankrupt  shall  be  bound  as  drawer,  indorser,  surety,  bail,  or 
guarantor  upon  any  bill,  bond,  note,  or  any  other  specialty  or  contract, 
or  for  any  debt  of  another  person,  and  his  liability  shall  not  have  be- 
come absolute  until  after  the  adjudication  of  bankruptcy,  the  creditor 
may  prove  the  same  after  such  liability  shall  have  become  fixed,  and 
before  the  final  dividend  shall  have  been  declared.  In  all  cases  of  con- 
tingent debts  and  contingent  liabilities  contracted  by  the  bankrupt,  and 
not  herein  otherwise  provided  for,  the  creditor  may  make  claim  therefor, 
and  have  his  claim  allowed,  with  the  right  to  share  in  the  dividends,  if 
the  contingency  shall  happen  before  the  order  for  the  final  dividend;  or 
he  may  at  any  time  apply  to  the  court  to  have  the  present  value  of  the 
debt  or  liability  ascertained  and  liquidated,  which  shall  then  be  done  in 
such  manner  as  the  court  shall  order,  and  he  shall  be  allowed  to  prove 
for  the  amount  so  ascertained.  Any  person  liable  as  bail,  surety,  guar- 
antor, or  otherwise  for  the  bankrupt,  who  shall  have  paid  the  debt  or 
any  part  thereof  in  discharge  of  the  whole,  shall  be  entitled  to  prove  such 
debt,  or  to  stand  in  the  place  of  the  creditor  if  he  shall  have  proved 
the  same,  although  such  payments  shall  have  been  made  after  the  pro- 
ceedings in  bankruptcy  were  commenced.  And  any  person  so  liable  for 
the  bankrupt,  and  who  has  not  paid  the  whole  of  said  debt,  but  is  still 
liable  for  the  same  or  any  part  thereof,  may,  if  the  creditor  shall  fail 
or  omit  to  prove  such  debt,  prove  the  same  either  in  the  name  of  the 
creditor  or  otherwise,  as  may  be  provided  by  the  rules,  and  subject  to 
such  regulations  and  limitations  as  may  be  established  by  such  rules. 
Where  the  bankrupt  is  liable  to  pay  rent,  or  other  debt  falling  due  at 
fixed  and  stated  periods,  the  creditor  may  prove  for  a  proportionate  part 


468  FORMER  BANKRUPTCY  ACTS. 

thereof  up  to  the  time  of  the  bankruptcy,  as  if  the  same  grew  due  from 
day  to  day,  and  not  at  such  fixed  and  stated  periods.  If  any  bankrupt 
shall  be  liable  for  unliquidated  damages  arising  out  of  any  contract  or 
promise,  or  on  account  of  any  goods  or  chattels  wrongfully  taken,  con- 
verted or  withheld,  the  court  may  cause  such  damages  to  be  assessed  in 
such  mode  as  it  may  deem  best,  and  the  sum  so  assessed  may  be  proved 
against  the  estate.  No  debts  other  than  those  above  specified  shall  be 
proved  or  allowed  against  the  estate. 

Sec.  20.  And  be  it  further  enacted.  That,  in  all  cases  of  mutual  debts 
or  mutual  credits  between  the  parties,  the  account  between  them  shall  be 
stated,  and  one  debt  set  off  against  the  other,  and  the  balance  only  shall 
be  allowed  or  paid,  but  no  set-off  shall  be  allowed  of  a  claim  in  its  nature 
not  provable  against  the  estate :  Provided,  That  no  set-off  shall  be  allowed 
in  favor  of  any  debtor  to  the  bankrupt  of  a  claim  purchased  by  or  trans- 
ferred to  him  after  the  filing  of  the  petition.  When  a  creditor  has  a 
mortgage  or  pledge  of  real  or  personal  property  of  the  bankrupt,  or  a 
lien  thereon  for  securing  the  payment  of  a  debt  owing  to  him  from  the 
bankrupt,  he  shall  be  admitted  as  a  creditor  only  for  the  balance  of  the 
debt  after  deducting  the  value  of  such  property,  to  be  ascertained  by 
agreement  between  him  and  the  assignee,  or  by  a  sale  thereof,  to  be  made 
in  such  manner  as  the  court  shall  direct;  or  the  creditor  may  release 
or  convey  his  claim  to  the  assignee  upon  such  property,  and  be  admitted 
to  prove  his  whole  debt.  If  the  value  of  the  property  exceeds  the  sum 
for  which  it  is  so  held  as  security,  the  assignee  may  release  to  the  creditor 
the  bankrupt's  right  of  redemption  therein  on  receiving  such  excess;  or 
he  may  sell  the  property,  subject  to  the  claim  of  the  creditor  thereon; 
and  in  either  case  the  assignee  and  creditor,  respectively,  shall  execute 
all  deeds  and  writings  necessary  or  proper  to  consummate  the  transaction. 
If  the  property  is  not  so  sold  or  released  and  delivered  up,  the  creditor 
shall  not  be  allowed  to  prove  any  part  of  his  debt. 

Sec.  21.  And  be  it  further  enacted,  That  no  creditor  proving  his  debt 
or  claim  shall  be  allowed  to  maintain  any  suit  at  law  or  in  equity  therefor 
against  the  bankrupt,  but  shall  be  deemed  to  have  waived  all  right  of 
action  and  suit  against  the  bankrupt,  and  all  proceedings  already  com- 
menced, or  unsatisfied  judgments  already  obtained  thereon,  shall  be 
deemed  to  be  discharged  and  surrendered  thereby ;  and  no  creditor  whose 
debt  is  provable  under  this  act  shall  be  allowed  to  prosecute  to  final 
judgment  any  suit  at  law  or  in  equity  therefor  against  the  bankrupt,  until 
the  question  of  the  debtor's  discharge  shall  have  been  determined;  and 
any  such  suit  or  proceedings  shall,  upon  the  application  of  the  bank- 
rupt, be  stayed  to  await  the  determination  of  the  court  in  bankruptcy 
on  the  question  of  the  discharge,  provided  there  be  no  unreasonable 
delay  on  the  part  of  the  bankrupt  in  endeavoring  to  obtain  his  discharge. 


FORME?.  BANKRUPTCY  ACTS.  469 

and  provided,  also,  that  if  the  amount  due  the  creditor  is  in  dispute,  the 
suit,  by  leave  of  the  court  in  bankruptcy,  may  proceed  to  judgment,  for 
the  purpose  of  ascertaining  the  amoimt  due,  which  amount  may  be  proved 
in  bankruptcy,  but  execution  shall  be  stayed  as  aforesaid.  If  any  bank- 
rupt shall,  at  the  time  of  adjudication,  be  liable  upon  any  bill  of  exchange, 
promissory  note,  or  other  obligation  in  respect  of  distinct  contracts  as 
a  member  of  two  or  more  firms  carrying  on  separate  and  distinct  trades, 
and  having  distinct  estates  to  be  wound  up  in  bankruptcy,  or  as  a  sole 
trader  and  also  as  a  member  of  a  firm,  the  circumstance  that  such  firms 
are  in  whole  or  in  part  composed  of  the  same  individuals,  or  that  the 
sole  contractor  is  also  one  of  the  joint  contractors,  shall  not  prevent  proof 
and  receipt  of  dividend  in  respect  of  such  distinct  contracts  against  the 
estates  respectively  liable  upon  such  contracts. 

Sec  22.  And  be  it  further  enacted,  That  all  proofs  of  debts  against 
the  estate  of  the  bankrupt,  by  or  in  behalf  of  creditors  residing  within 
the  judicial  districts  where  the  proceedings  in  bankruptcy  are  pending, 
shall  be  made  before  one  of  the  registers  of  the  court  in  said  district, 
and  by  or  in  behalf  of  non-resident  debtors  before  any  register  in  bank- 
ruptcy in  the  judicial  district  where  such  creditors,  or  either  of  them, 
reside,  or  before  any  commissioner  of  the  circuit  court  authorized  to 
administer  oaths  in  any  district.  To  entitle  a  claimant  against  the  estate 
of  a  bankrupt  to  have  his  demand  allowed,  it  must  be  verified  by  a  deposi- 
tion in  writing  on  oath  or  solemn  affirmation  before  the  proper  register 
or  commissioner,  setting  forth  the  demand,  the  consideration  thereof, 
whether  any  and  what  securities  are  held  therefor,  and  whether  any  and 
what  payments  have  been  made  thereon;  that  the  sum  claimed  is  justly 
due  from  the  bankrupt  to  the  claimant;  that  the  claimant  has  not,  nor 
has  any  other  person  for  his  use,  received  any  security  or  satisfaction 
whatever  other  than  that  by  him  set  forth;  that  the  claim  was  not  pro- 
cured for  the  purpose  of  influencing  the  proceedings  under  this  act,  and 
that  no  bargain  or  agreement,  express  or  implied,  has  been  made  or 
entered  into,  by  or  on  behalf  of  such  creditor,  to  sell,  transfer,  or  dis- 
pose of  the  said  claim,  or  any  part  thereof,  against  such  bankrupt,  or 
take  or  receive,  directly  or  indirectly,  any  money,  property,  or  consid- 
eration whatever,  whereby  the  vote  of  such  creditor  for  assignee,  or  any 
action  on  the  part  of  such  creditor  or  any  other  person  in  the  proceedings 
under  this  act,  is  or  shall  be  in  any  way  affected,  influenced,  or  controlled, 
and  no  claim  shall  be  allowed  unless  all  the  statements  set  forth  in  such 
deposition  shall  appear  to  be  true.  Such  oath  or  solemn  affirmation  shall 
be  made  by  the  claimant  testifying  of  his  own  knowledge,  unless  he  is 
absent  from  the  United  States  or  prevented  by  some  other  good  cause 
from  testifying,  in  which  cases  the  demand  may  be  verified  in  like  manner 
by  the  attorney  or  authorized  agent  of  the  claimant  testifying  to  the  best 
of  his  knowledge,  information,  and  belief,  and  setting  forth  his  means 


470  FORMER  BANKRUPTCY  ACTS. 

of  knowledge,  or,  if  in  a  foreign  country,  the  oath  of  the  creditor  may 
be  taken  before  any  minister,  consul,  or  vice-consul  of  the  United  States ; 
and  the  court  may,  if  it  shall  see  fit,  require  or  receive  further  perti.ient 
evidence,  either  for  or  against  the  admission  of  the  claim.  Corporations 
may  verify  their  claim  by  the  oath  or  solemn  affirmation  of  their  presi- 
dent, cashier,  or  treasurer.  If  the  proof  is  satisfactory  to  the  register  or 
commissioner,  it  shall  be  signed  by  the  deponent,  and  delivered  or  sent 
by  mail  to  the  assignee,  who  shall  examine  the  same  and  compare  it 
with  the  books  and  accounts  of  the  bankrupt,  and  shall  register,  in  a 
book  to  be  kept  by  him  for  that  purpose,  the  names  of  creditors  who 
have  proved  their  claims,  in  the  order  in  which  such  proof  is  received, 
stating  the  time  of  receipt  of  such  proof,  and  the  amount  and  nature 
of  the  debts,  which  books  shall  be  open  to  the  inspection  of  all  the 
creditors.  The  court  may,  on  the  application  of  the  assignee,  or  of  any 
creditor,  or  of  the  bankrupt,  or  without  any  application,  examine  upon 
oath  the  bankrupt,  or  any  person  tendering  or  who  has  made  proof  of 
claims,  and  may  summon  any  person  capable  of  giving  evidence  concern- 
ing such  proof,  or  concerning  the  debt  sought  to  be  proved,  and  shall 
reject  all  claims  not  duly  proved,  or  where  the  proof  shows  the  claim  to 
be  founded  in  fraud,  illegality,  or  mistake. 

Sec  23.  And  be  it  further  enacted.  That  when  a  claim  is  presented 
for  proof  before  the  election  of  the  assignee,  and  the  judge  entertains 
doubts  of  its  validity,  or  of  the  right  of  the  creditor  to  prove  it,  and 
is  of  opinion  that  such  validity  or  right  ought  to  be  investigated  by  the 
assignee,  he  may  postpone  the  proof  of  the  claim  until  the  assignee  is 
chosen.  Any  person  who,  after  the  approval  of  this  act,  shall  have 
accepted  any  preference,  having  reasonable  cause  to  believe  that  the  same 
was  made  or  given  by  the  debtor,  contrary  to  any  provision  of  this  act, 
shall  not  prove  the  debt  or  claim  on  account  of  which  the  preference 
was  made  or  given,  nor  shall  he  receive  any  dividend  therefrom,  until 
he  shall  first  have  surrendered  to  the  assignee  all  property,  money,  benefit, 
or  advantage,  received  by  him  under  such  preference.  The  court  shall 
allow  all  debts  duly  proved,  and  shall  cause  a  list  thereof  to  be  made 
and  certified  by  one  of  the  registers;  and  any  creditor  may  act  at  all 
meetings  by  his  duly  constituted  attorney  the  same  as  though  personally 
present. 

Sec  24.  And  be  it  further  enacted,  That  a  supposed  creditor  who 
takes  an  appeal  to  the  circuit  court  from  the  decision  of  the  district  court 
rejecting  his  claim,  in  whole  or  in  part,  shall,  upon  entering  his  appeal 
in  the  circuit  court,  file  in  the  clerk's  office  thereof  a  statement  in  writing 
of  his  claim,  setting  forth  the  same,  substantially,  as  in  a  declaration 
for  the  same  cause  of  action  at  law  and  the  assignee  shall  plead  or  answer 
thereto  in  like  manner,  and  like  proceedings  shall  thereupon  be  had  in 


FORMER  BANKRUPTCY  ACTS.  471 

the  pleadings,  trial,  and  determination  of  the  cause,  as  in  an  action  at 
law  commenced  and  prosecuted,  in  the  usual  manner,  in  the  courts  of 
the  United  States,  except  that  no  execution  shall  be  awarded  against  the 
assignee  for  the  amount  of  a  debt  found  due  to  the  creditor.  The  final 
judgment  of  the  court  shall  be  conclusive,  and  the  list  of  debts  shall, 
if  necessary,  be  altered  to  conform  thereto.  The  party  prevailing  in  the 
suit  shall  be  entitled  to  costs  against  the  adverse  party,  to  be  taxed  and 
recovered  as  in  suits  at  law;  if  recovered  against  the  assignee,  they  shall 
be  allowed  out  of  the  estate.  A  bill  of  exchange,  promissory  note,  or 
other  instrument,  used  in  evidence  upon  the  proof  of  a  claim,  and  left 
in  court,  or  deposited  in  the  clerk's  office,  may  be  delivered,  by  the 
register  or  clerk  having  the  custody  thereof,  to  the  person  who  used  it, 
upon  his  filing  a'  copy  thereof,  attested  by  the  clerk  of  the  court,  who 
shall  indorse  upon  it  the  name  of  the  party  against  whose  estate  it  has 
been  proved,  and  the  date  and  amount  of  any  dividend  declared  thereon. 

OF    PROPERTY   PERISHABLE    AND    IN    DISPUTE. 

Sec  25.  And  be  it  further  enacted,  That  when  it  appears  to  the  satis- 
faction of  the  court  that  the  estate  of  the  debtor,  or  any  part  thereof,  is 
of  a  perishable  nature,  or  liable  to  deteriorate  in  value,  the  court  may  order 
the  same  to  be  sold,  in  such  manner  as  may  be  deemed  most  expedient, 
under  the  direction  of  the  messenger  or  assignee,  as  the  case  may  be,  who 
shall  hold  the  funds  received  in  place  of  the  estate  disposed  of;  and 
whenever  it  appears  to  the  satisfaction  of  the  court  that  the  title  to  any 
portion  of  an  estate,  real  or  personal,  which  has  come  into  possession 
of  the  assignee,  or  which  is  claimed  by  him,  is  in  dispute,  the  court  may, 
upon  the  petition  of  the  assignee,  and  after  such  notice  to  the  claimant, 
his  agent  or  attorney,  as  the  court  shall  deem  reasonable,  order  it  to  be 
sold,  under  the  direction  of  the  assignee,  who  shall  hold  the  funds  re- 
ceived in  place  of  the  estate  disposed  of;  and  the  proceeds  of  the  sale 
shall  be  considered  the  measure  of  the  value  of  the  property  in  any  suit 
or  controversy  between  the  parties  in  any  courts.  But  this  provision  shall 
not  prevent  the  recovery  of  the  property  from  the  possession  of  the 
assignee  by  any  proper  action  commenced  at  any  time  before  the  court 
orders  the  sale. 

EXAMINATION    OF   BANKRUPTS. 

Sec.  26.  And  be  it  further  enacted,  That  the  court  may,  on  the  applica- 
tion of  the  assignee  in  bankruptcy,  or  of  any  creditor,  or  without  any 
application,  at  all  times  require  the  bankrupt,  upon  reasonable  notice,  to 
attend  and  submit  to  an  examination,  on  oath,  upon  all  matters  relating 
to  the  disposal  or  condition  of  his  property,  to  his  trade  and  dealings 
with  others,  and  his  accounts  concerning  the  same,  to  all  debts  due  to 
or  claimed  from  him,  and  to  all  other  matters  concerning  his  property 
and  estate  and  the  due  settlement  thereof  according  to  law,  which  ex- 


472  FORMER  BANKRUPTCY  ACES. 

amination  shall  be  in  writing,  and  shall  be  signed  by  the  bankrupt  and 
filed  with  the  other  proceedings;  and  the  court  may,  in  like  manner, 
require  the  attendance  of  any  other  person  as  a  witness,  and  if  such  person 
shall  fail  to  attend,  on  being  summoned  thereto,  the  court  may  compel 
his  attendance  by  warrant  directed  to  the  marshal,  commanding  him  to 
arrest  such  person  and  bring  him  forthwith  before  the  court,  or  before 
a  register  in  bankruptcy,  for  examination  as  such  witness.  If  the  bank- 
rupt is  imprisoned,  absent,  or  disabled  from  attendance,  the  court  may 
order  him  to  be  produced  by  the  jailer,  or  any  officer  in  whose  custody 
he  may  be,  or  may  direct  the  examination  to  be  had,  taken,  and  certified, 
at  such  time  and  place  and  in  such  manner  as  the  court  may  deem 
proper,  and  with  like  effect  as  if  such  examination  had  been  had  in  court. 
The  bankrupt  shall,  at  all  times,  until  his  discharge,  be  subject  to  the 
order  of  the  court,  and  shall,  at  the  expense  of  the  estate,  execute  all 
proper  writings  and  instruments,  and  do  and  perform  all  acts  required 
by  the  court  touching  the  assigned  property  or  estate,  and  to  enable  the 
assignee  to  demand,  recover,  and  receive  all  the  property  and  estate 
assigned,  wherever  situated ;  and  for  neglect  or  refusal  to  obey  any  order 
of  the  court,  such  bankrupt  may  be  committed  and  punished  as  for  a 
contempt  of  court,  if  the  bankrupt  is  without  the  district,  and  unable 
to  return  and  personally  attend  at  any  of  the  times  or  do  any  of  the  acts 
which  may  be  specified  or  required  pursuant  to  this  section,  and  if  it  ap- 
pears that  such  absence  was  not  caused  by  wilful  default,  and  if,  as  soon 
as  may  be  after  the  removal  of  such  impediment,  he  offers  to  attend  and 
submit  to  the  order  of  the  court  in  all  respects,  he  shall  be  permitted  so 
to  do,  with  like  effect  as  if  he  had  not  been  in  default.  He  shall  also 
be  at  liberty,  from  time  to  time,  upon  oath,  to  amend  and  correct  his 
schedule  of  creditors  and  property,  so  that  the  same  shall  conform  to 
the  facts.  For  good  cause  shown  the  wife  of  any  bankrupt  may  be  te- 
quired  to  attend  before  the  court,  to  the  end  that  she  may  be  examined 
as  a  witness;  and  if  such  wife  do  not  attend  at  the  time  and  place  speci- 
fied in  the  order,  the  bankrupt  shall  not  be  entitled  to  a  discharge  unless 
he  shall  prove  to  the  satisfaction  of  the  court  that  he  was  unable  to  procure 
the  attendance  of  his  wife.  No  bankrupt  shall  be  liable  to  arrest  during  the 
pendency  of  the  proceedings  in  bankruptcy  in  any  civil  action,  unless 
the  same  is  founded  on  some  debt  or  claim  from  which  his  discharge  in 
bankruptcy  would  not  release  him. 

OF   THE    DISTRIBUTION    OF   THE   BANKRUPT'S    ESTATE. 

Sec.  27.  And  he  it  further  enacted,  That  all  creditors  whose  debts  are 
duly  proved  and  allowed  shall  be  entitled  to  share  in  the  bankrupt's  prop- 
erty and  estate  pro  rata,  without  any  priority  or  preference  whatever, 
except  that  wages  due  from  him  to  any  operative,  or  clerk,  or  house  ser- 
vant, to  an  amount  not  exceeding  fifty  dollars  for  labor  performed  within 


FORMER  BANKRUPTCY  ACTS.  473 

six  months  next  preceding  the  adjudication  of  bankruptcy,  shall  be  en- 
titled to  priority,  and  shall  be  first  paid  in  full :  Provided,  That  any  debt 
proved  by  any  person  liable  as  bail,  surety,  guarantor,  or  otherwise, 
for  the  bankrupt  shall  not  be  paid  to  the  person  so  proving  the  same 
until  satisfactory  evidence  shall  be  produced  of  the  payment  of  such 
debt  by  such  person  so  liable,  and  the  share  to  which  such  debt  would 
be  entitled  may  be  paid  into  court,  or  otherwise  held  for  the  benefit  of 
the  party  entitled  thereto,  as  the  court  may  direct.  At  the  expiration  of 
three  months  from  the  date  of  the  adjudication  of  bankruptcy  in  any 
case,  or  as  much  earlier  as  the  court  may  direct,  the  court,  upon  request 
of  the  assignee,  shall  call  a  general  meeting  of  the  creditors,  of  which  due 
notice  shall  be  given,  and  the  assignee  shall  then  report,  and  exhibit  to 
the  court  and  to  the  creditors  just  and  true  accounts  of  all  his  receipts 
and  payments,  verified  by  his  oath,  and  he  shall  also  produce  and  file 
vouchers  for  all  payments  for  which  vouchers  shall  be  required  by  any 
rule  of  the  court;  he  shall  also  submit  the  schedule  of  the  bankrupt's 
creditors  and  property  as  amended,  duly  verified  by  the  bankrupt,  and 
a  statement  of  the  whole  estate  of  the  bankrupt  as  then  ascertained,  of 
the  property  recovered  and  of  the  property  outstanding,  specifying  the 
cause  of  its  being  outstanding,  also  what  debts  or  claims  are  yet  undeter- 
mined, and  stating  what  sum  remains  in  his  hands.  At  such  meeting 
the  majority  in  value  of  the  creditors  present  shall  determine  whether 
any  and  what  part  of  the  net  proceeds  of  the  estate,  after  deducting  and 
retaining  a  sum  sufficient  to  provide  for  all  undetermined  claims  which, 
by  reason  of  the  distant  residence  of  the  creditor,  or  for  other  sufficient 
reason,  have  not  been  proved,  and  for  other  expenses  and  contingencies, 
shall  be  divided  among  the  creditors;  but  unless  at  least  one-half  in 
value  of  the  creditors  shall  attend  such  meeting,  either  in  person  or  by 
attorney,  it  shall  be  the  duty  of  the  assignee  so  to  determine.  In  case  a 
dividend  is  ordered  the  register  shall,  within  ten  days  after  such  meet- 
ing, prepare  a  list  of  creditors  entitled  to  dividend,  and  shall  calculate 
and  set  opposite  to  the  name  of  each  creditor  who  has  proved  his  claim 
the  dividend  to  which  he  is  entitled  out  of  the  net  proceeds  of  the  es- 
tate set  apart  for  dividend,  and  shall  forward  by  mail  to  every  creditor 
a  statement  of  the  dividend  to  which  he  is  entitled,  and  such  creditor 
shall  be  paid  by  the  assignee  in  such  manner  as  the  court  may  direct. 

Sec.  28.  And  be  it  further  enacted,  That  the  like  proceedings,  shall 
be  had  at  the  expiration  of  the  next  three  months,  or  earlier,  if  prac- 
ticable, and  a  third  meeting  of  creditors  shall  then  be  called  by  the  court, 
and  a  final  dividend  then  declared,  unless  any  action  at  law  or  suit  in 
equity  be  pending,  or  unless  some  other  estate  or  effects  of  the  debtor 
afterwards  come  to  the  hands  of  the  assignee,  in  which  case  the  assignee 
shall,  as  soon  as  may  be,  convert  such  estate  or  effects  into  money,  and 
within  two  months  after  the  same  shall  be  so  converted  the  same  shall 


474  FORMER  BANKRUPTCY  ACTS. 

be  divided  in  manner  aforesaid.  Further  dividends  shall  be  made  in  like 
manner  as  often  as  occasion  requires;  and  after  the  third  meeting  of 
creditors  no  further  meeting  shall  be  called  unless  ordered  by  the  court. 
If  at  any  time  there  shall  be  in  the  hands  of  the  assignee  any  outstand- 
ing debts  or  other  property,  due  or  belonging  to  the  estate  which  can- 
not be  collected  and  received  by  the  assignee  without  unreasonable  or 
inconvenient  delay  or  expense,  the  assignee  may,  under  the  direction  of 
the  court,  sell  and  assign  such  debts  or  other  property  in  such  manner  as 
the  court  shall  order.  No  dividend  already  declared  shall  be  disturbed 
by  reason  of  debts  being  subsequently  proved,  but  the  creditors  proving 
such  debts  shall  be  entitled  to  a  dividend  equal  to  those  already  received 
by  the  other  creditors  before  any  further  payment  is  made  to  the  latter. 
Preparatory  to  the  final  dividend,  the  assignee  shall  submit  his  account 
to  the  court  and  file  the  same,  and  give  notice  to  the  creditors  of  such 
filing,  and  shall  also  give  notice  that  he  will  apply  for  a  settlement  of 
his  account,  and  for  a  discharge  from  all  liability  as  assignee,  at  a  time 
to  be  specified  in  such  notice;  and  at  such  time  the  court  shall  audit  and 
pass  the  accounts  of  the  assignee,  and  such  assignee  shall,  if  required  by 
the  court,  be  examined  as  to  the  truth  of  such  account,  and  if  found 
correct  he  shall  thereby  be  discharged  from  all  liability  as  assignee  to 
any  creditor  of  the  bankrupt.  The  court  shall  thereupon  order  a  divi- 
dend of  the  estate  and  effects,  or  of  such  part  thereof  as  it  sees  fit, 
among  such  of  the  creditors  as  have  proved  their  claims,  in  proportion  to 
the  respective  amount  of  their  said  debts.  In  addition  to  all  expenses 
necessarily  incurred  by  him  in  the  execution  of  his  trust,  in  any  case, 
the  assignee  shall  be  entitled  to  an  allowance  for  his  services  in  such 
case,  on  all  moneys  received  and  paid  out  by  him  therein,  for  any  sum  not 
exceeding  one  thousand  dollars,  five  per  centum  thereon;  for  any  larger 
sum,  not  exceeding  five  thousand  dollars,  two  and  a  half  per  centum  on 
the  excess  over  one  thousand  dollars ;  and  for  any  larger  sum  one  per  cen- 
tum on  the  excess  over  five  thousand  dollars;  and  if,  at  any  time,  there 
shall  not  be  in  his  hands  a  sufficient  amount  of  money  to  defray  the  necessary 
expenses  required  for  the  further  execution  of  his  trust,  he  shall  not  be 
obliged  to  proceed  therein  until  the  necessary  funds  are  advanced  or  satis- 
factorily secured  to  him.  If,  by  accident,  mistake,  or  other  cause,  without 
fault  of  the  assignee,  either  or  both  of  the  said  second  and  third  meetings 
should  not  be  held  within  the  times  limited,  the  court  may,  upon  mo- 
tion of  an  interested  party,  order  such  meetings,  with  like  effect  as  to 
the  validity  of  the  proceedings,  as  if  the  meeting  had  been  duly  held. 
In  the  order  for  a  dividend,  under  this  section,  the  following  claims  shall 
be  entitled  to  priority  or  preference,  and  to  be  first  paid  in  full  in  the 
following  order: 

First.    The  fees,  costs  and  expenses  of  suits,  and  the  several  pioceed- 


FORMER  BANKRUPTCY  ACTS.  475 

ings  in  bankruptcy  under  this  act,  and  for  the  custody  of  property,  as 
herein  provided. 

Second.  All  debts  due  to  the  United  States,  and  all  taxes  and  assess- 
ments under  the  laws  thereof. 

Third.  All  debts  due  to  the  State  in  which  the  proceedings  in  bank- 
ruptcy are  pending,  and  all  taxes  and  assessments  made  under  the  laws 
of  such  State. 

Fourth.  Wages  due  to  any  operative,  clerk,  or  house  servant,  to  an 
amount  not  exceeding  fifty  dollars  for  labor  performed  within  six  months 
next  preceding  the  first  publication  of  the  notice  of  proceedings  in  bank- 
ruptcy. 

Fitfh.  All  debts  due  to  any  persons  who>  by  the  laws  of  the  United 
States,  are  or  may  be  entitled  to  a  priority  or  preference,  in  like  man- 
ner as  if  this  act  had  not  been  passed:  Always  provided,  That  nothing 
contained  in  this  act  shall  interfere  with  the  assessment  and  collection  of 
taxes  by  the  authority  of  the  United  States  or  any  State. 

OF  THE  bankrupt's   DISCHARGE  AND  ITS  EFFECT. 

Sec  29.  And  be  it  further  enacted,  That  at  any  time  after  the  expira- 
tion of  six  months  from  the  adjudication  of  bankruptcy,  or  if  no 
debts  have  been  proved  against  the  bankrupt,  or  if  no  assets  have  come 
to  the  hands  of  the  assignee,  at  any  time  after  the  expiration  of  sixty 
days,  and  within  one  year  from  the  adjudication  of  bankruptcy,  the  bank- 
rupt may  apply  to  the  court  for  a  discharge  from  his  debts,  and  the 
court  shall  thereupon  order  notice  to  be  given  by  mail  to  all  creditors 
who  have  proved  their  debts,  and  by  publication  at  least  once  a  week  in 
such  newspapers  as  the  court  shall  designate,  due  regard  being  had  to 
the  general  circulation  of  the  same  in  the  district,  or  in  that  portion  of 
the  district  in  which  the  bankrupt  and  his  creditors  shall  reside,  to  ap- 
pear on  a  day  appointed  for  that  purpose,  and  show  cause  why  a  dis- 
charge should  not  be  granted  to  the  bankrupt.  No  discharge  shall  be 
granted,  or,  if  granted,  be  valid,  if  the  bankrupt  has  wilfully  sworn  falsely 
in  his  affidavit  annexed  to  his  petition,  schedule,  or  inventory,  or  upon  any 
examination  in  the  course  of  the  proceedings  in  bankruptcy,  in  relation 
to  any  material  fact  concerning  his  estate  or  his  debts,  or  to  any  other 
material  fact;  or  if  he  has  concealed  any  part  of  his  estate  or  effects,  or 
any  books  or  writings  relating  thereto,  or  if  he  has  been  guilty  of  any  fraud 
or  negligence  in  the  care,  custody,  or  delivery  to  the  assignee  of  the  property 
belonging  to  him  at  the  time  of  the  presentation  of  his  petition  and  inven- 
tory, excepting  such  property  as  he  is  permitted  to  retain  under  the  pro- 
visions of  this  act,  or  if  he  has  caused,  permitted,  or  suffered  any  loss, 
waste,  or  destruction  thereof;  or  if,  within  four  months  before  the  com- 
mencement of  such  proceedings,  he  has  procured  his  lands,  goods,  money. 


476  FORMER  BANKRUPTCY  ACTS. 

or  chattels  to  be  attached,  sequestered,  or  seized  on  execution;  or  if, 
since  the  passage  of  this  act,  he  has  destroyed,  mutilated,  altered,  or  falsi- 
fied any  of  his  books,  documents,  papers,  writings,  or  securities,  or  has 
made  or  been  privy  to  the  making  of  any  false  or  fraudulent  entry  in 
any  book  of  account  or  other  document,  with  intent  to  defraud  his  credi- 
tors; or  has  removed  or  caused  to  be  removed  any  part  of  his  property 
from  the  district,  with  intent  to  defraud  his  creditors;  or  if  he  has  given 
any  fraudulent  preference  contrary  to  the  provisions  of  this  act,  or  made 
any  fraudulent  payment,  gift,  transfer,  conveyance,  or  assignment  of  any 
part  of  his  property,  or  has  lost  any  part  thereof  in  gaming,  or  has  ad- 
mitted a  false  or  fictitious  debt  against  his  estate;  or  if,  having  knowl- 
edge that  any  person  has  proved  such  false  or  fictitious  debt,  he  has  not 
disclosed  the  same  to  his  assignee  within  one  month  after  such  knowl- 
edge; or  if,  being  a  merchant  or  tradesman,  he  has  not,  subsequently  to 
the  passage  of  this  act,  kept  proper  books  of  account;  or  if  he,  or  any 
person  in  his  behalf,  has  procured  the  assent  of  any  creditor  to  the  dis- 
charge, or  influenced  the  action  of  any  creditor  at  any  stage  of  the  pro- 
ceedings, by  any  pecuniary  consideration  or  obligation;  or  if  he  has,  in 
contemplation  of  becoming  bankrupt,  made  any  pledge,  payment,  transfer, 
assignment,  or  conveyance  of  any  part  of  his  property,  directly  or  in- 
directly, absolutely  or  conditionally,  for  the  purpose  of  preferring  any 
creditor  or  person  having  a  claim  against  him,  or  who  is  or  may  be 
under  liability  for  him,  or  for  the  purpose  of  preventing  the  property  from 
coming  into  the  hands  of  the  assignee,  or  of  being  distributed  under  this 
act  in  satisfaction  of  his  debts;  or  if  he  has  been  convicted  of  any  mis- 
demeanor under  this  act,  or  has  been  guilty  of  any  fraud  whatever  con- 
trary to  the  true  intent  of  this  act;  and  before  any  discharge  is  granted, 
the  bankrupt  shall  take  and  subscribe  an  oath  to  the  effect  that  he  has 
not  done,  suffered,  or  been  pri\^  to  any  act,  matter,  or  thing  specified  in 
this  act  as  a  ground  for  withholding  such  discharge,  or  as  invalidating 
such  discharge  if  granted. 

Sec  30.  And  be  it  further  enacted,  That  no  person  who  shall  have 
been  discharged  under  this  act,  and  shall  afterwards  become  bankrupt, 
on  his  own  application  shall  be  again  entitled  to  a  discharge,  whose  estate 
is  insufficient  to  pay  seventy  per  centum  of  the  debts  proved  against  it, 
unless  the  assent  in  writing  of  three-fourths  in  value  of  his  creditors 
who  have  proved  their  claims  is  filed  at  or  before  the  time  of  application 
for  discharge.  But  a  bankrupt  who  shall  prove  to  the  satisfaction  of  the 
court  that  he  has  paid  all  the  debts  owing  by  him  at  the  time  of  any 
previous  bankruptcy,  or  who  has  been  voluntarily  released  therefrom  by 
his  creditors,  shall  be  entitled  to  a  discharge  in  the  same  manner  and 
with  the  same  effect  as  if  he  had  not  previously  been  bankrupt. 

Sec  31.    And  be  it  further  enacted,  That  any  creditor  opposing  the 


FORMER  BANKRUPTCY  ACTS.  477 

discharge  of  any  bankrupt  may  file  a  specification  in  writing  of  the  grounds 
of  his  opposition,  and  the  court  may  in  its  discretion  order  any  question 
of  fact  so  presented  to  be  tried  at  a  stated  session  of  the  district  court. 

Sec.  32.  And  be  it  further  enacted.  That  if  it  shall  appear  to  the 
court  that  the  bankrupt  has  in  all  things  conformed  to  his  duty  under 
this  act,  and  that  he  is  entitled,  under  the  provisions  thereof,  to  receive  a 
discharge,  the  court  shall  grant  him  a  discharge  from  all  his  debts  except 
as  hereinafter  provided,  and  shall  give  him  a  certificate  thereof  under  the 
seal  of  the  court,  in  substance  as  follows: 
District  court  of  the  United  States,  District  of 

Whereas  has  been  duly  adjudged  a  bankrupt  under  the  act  af 

Congress  establishing  a  uniform  system  of  bankruptcy  throughout  the 
United  States,  and  appears  to  have  conformed  to  all  the  requirements  of 
law  in  that  behalf,  it  is  therefore  ordered  by  the  court  that  said  be 

forever  discharged  from  all  debts  and  claims  which  by  said  act  are  made 
provable  against  his  estate,  and  which  existed  on  the  day  of 

,on  which  day  the  petition  for  adjudication  was  filed  by  (or 
against)  him;  excepting  such  debts,  if  any,  as  are  by  said  act  excepted 
from  the  operation  of  a  discharge  in  bankruptcy.  Given  under  my  hand 
and  the  seal  of  the  court  at  ,  in  the  said  district,  this  day 

of  .  A.  D. 

[Seal.]  ,  Judge. 

Sec.  33.  And  be  it  further  enacted.  That  no  debt  created  by  the 
fraud  or  embezzlement  of  the  bankrupt,  or  by  his  defalcation  as  a  public 
oflBcer,  or  while  acting  in  any  fiduciary  character,  shall  be  discharged 
under  this  act;  but  the  debt  may  be  proved,  and  the  dividend  thereon 
shall  be  a  payment  on  account  of  said  debt;  and  no  discharge  granted 
under  this  act  shall  release,  discharge  or  affect  any  person  liable  for  the 
same  debt  for  or  with  the  bankrupt,  either  as  partner,  joint  contractor, 
indorser,  surety,  or  otherwise.  And  in  all  proceedings  in  bankruptcy  com- 
menced after  one  year  from  the  time  this  act  shall  go  into  operation, 
no  discharge  shall  be  granted  to  a  debtor  whose  assets  do  not  pay  fifty 
per  centum  of  the  claims  against  his  estate,  unless  the  assent  in  writing 
of  a  majority  in  number  and  value  of  his  creditors  who  have  proved  their 
claims  is  filed  in  the  case  at  or  before  the  time  of  application  for  dis- 
charge. 

Sec.  34.  And  be  it  further  enacted,  That  a  discharge  duly  granted 
under  this  act  shall,  with  the  exceptions  aforesaid,  release  the  bankrupt 
from  all  debts,  claims,  liabilities,  and  demands  which  were  or  might  have 
been  proved  against  his  estate  in  bankruptcy,  and  may  be  pleaded,  by 
a  simple  averment  that  on  the  day  of  its  date  such  discharge  was  granted 
to  him,  setting  the  same  forth  in  haec  verba,  as  a  full  and  complete  bar 
to  all  suits  brought  on  any  such  debts,  claims,  liabilities,  or  demands. 


478  FORMER  BANKRUPTCY  ACTS. 

and  the  certificate  shall  be  conclusive  evidence  in  favor  of  such  bankrupt 
of  the  fact  and  the  regularity  of  such  discharge:  Always  provided,  That 
any  creditor  or  creditors  of  said  bankrupt,  whose  debt  was  proved  or 
provable  against  the  estate  in  bankruptcy,  who  shall  see  fit  to  contest 
the  validity  of  said  discharge  on  the  ground  that  it  was  fraudulently 
obtained,  may,  at  any  time  within  two  years  after  the  date'  thereof,  apply 
to  the  court  which  granted  it  to  set  aside  and  annul  the  same.  Said  ap- 
plication shall  be  in  writing,  shall  specify  which,  in  particular,  of  the 
several  acts  mentioned  in  section  twenty-nine  it  is  intended  to  give  evi- 
dence of  against  the  bankrupt,  setting  forth  the  grounds  of  avoidance, 
and  no  evidence  shall  be  admitted  as  to  any  other  of  the  said  acts;  but 
said  application  shall  be  subject  to  amendment  at  the  discretion  of  the 
court  The  court  shall  cause  reasonable  notice  of  said  application  to  be 
given  to  said  bankrupt,  and  order  him  to  appear  and  answer  the  same, 
within  such  time  as  to  the  court  shall  seem  fit  and  proper.  If,  upon  the 
hearing  of  said  parties,  the  court  shall  find  that  the  fraudulent  acts,  or 
any  of  them,  set  forth  as  aforesaid  by  said  creditor  or  creditors  against 
the  bankrupt  are  proved,  and  that  said  creditor  or  creditors  had  no 
knowledge  of  the  same  until  after  the  granting  of  said  discharge,  judg- 
ment shall  be  given  in  favor  of  said  creditor  or  creditors,  and  the  dis- 
charge of  said  bankrupt  shall  be  set  aside  and  annulled.  But  if  said 
court  shall  find  that  said  fraudulent  acts,  and  all  of  them,  set  forth  as 
aforesaid,  are  not  proved,  or  that  they  were  known  to  said  creditor  or 
creditors  before  the  granting  of  said  discharge,  then  judgment  shall  be 
rendered  in  favor  of  the  bankrupt,  and  the  validity  of  his  discharge  shall 
not  be  affected  by  said  proceedings. 

PREFERENCES  AND  FRAUDtH-ENT  CONVEYANCES   DECLARED  VOID. 

Sec  35.  And  be  it  further  enacted.  That  if  any  person,  being  in- 
solvent, or  in  contemplation  of  insolvency,  within  four  months  before 
the  filing  of  the  petition  by  or  against  him,  with  a  view  to  give  a  prefer- 
ence to  any  creditor  or  person  having  a  claim  against  him,  or  who  is 
under  any  liability  for  him,  procures  any  part  of  his  property  to  be  at- 
tached, sequestered,  or  seized  on  execution,  or  makes  any  payment, 
pledge,  assignment,  transfer,  or  conveyance  of  any  part  of  his  property 
either  directly  or  indirectly,  absolutely  or  conditionally,  the  person  re- 
ceiving such  payment,  pledge,  assignment,  transfer  or  conveyance,  or 
to  be  benefited  thereby,  or  by  such  attachment,  having  reasonable  cause 
to  believe  such  person  is  insolvent,  and  that  such  attachment,  payment, 
pledge,  assignment,  or  conveyance  is  made  in  fraud  of  the  provisions  of 
this  act,  the  same  shall  be  void,  and  the  assignee  may  recover  the  prop- 
erty, or  the  value  of  it,  from  the  person  so  receiving  it,  or  so  to  be  bene- 
fited; and  \1  any  person  being  insolvent,  or  in  contemplation  of  insol- 
vency or  bankruptcy,  within  six  months  before  the  filing  of  the  petition 


FORMER  BANKRUPTCY  ACTS.  479 

by  or  against  him,  makes  any  payment,  sale,  assignment,  transfer,  con- 
veyance, or  other  disposition  of  any  part  of  his  property  to  any  person 
who  then  has  reasonable  cause  to  believe  him  to  be  insolvent,  or  to  be 
acting  in  contemplation  of  insolvency,  and  that  such  payment,  sale,  as- 
signment, transfer,  or  other  conveyance,  is  made  with  a  view  to  prevent 
his  pioperty  from  coming  to  his  assignee  in  bankruptcy,  or  to  prevent  the 
same  from  being  distributed  under  this  act,  or  to  defeat  the  object  of, 
or  in  any  way  impair,  hinder,  impede  or  delay  the  operation  and  effect 
of,  or  to  evade  any  of  the  provisions  of  this  act,  the  sale,  assignment, 
transfer,  or  conveyance  shall  be  void,  and  the  assignee  may  recover  the 
property,  or  the  value  thereof,  as  assets  of  the  bankrupt.  And  if  such 
sale,  assignment,  tr.-.nsfer,  or  conveyance  is  not  made  in  the  usual  and 
ordinary  course  of  business  of  the  debtor,  the  fact  shall  be  prima  facie 
evidence  of  fraud.  Any  contract,  covenant,  or  security  made  or  given  by 
a  bankrupt  or  other  person  with,  or  in  trust  for,  any  creditor  for  securing 
the  payment  of  any  money  as  a  consideration  for  or  with  intent  to  in- 
duce the  creditor  to  forbear  opposing  the  application  for  discharge  of 
the  bankrupt  shall  be  void;  and  if  any  creditor  shall  obtain  any  sum  of 
money  or  other  goods,  chattels,  or  security  from  any  person  as  an  induce- 
ment for  forbearing  to  oppose,  or  consenting  to  such  application  for 
discharge,  every  creditor  so  offending  shall  forfeit  all  right  to  any  share 
or  dividend  in  the  estate  of  the  bankrupt,  and  shall  also  forfeit  double 
the  value  or  amount  of  such  money,  goods,  chattels,  or  security  so  ob- 
tained, to  be  recovered  by  the  assignee  for  the  benefit  of  the  estate. 

BANKRUPTCY   OF   PARTNERSHIPS   AND  OF   CORPORATIONS. 

Sec.  36.  And  be  it  further  enacted.  That  where  two  or  more  persons 
who  are  partners  in  trade  shall  be  adjudged  bankrupt,  either  on  the  peti- 
tion of  such  partners  or  any  one  of  them,  or  on  the  petition  of  any  creditor 
of  the  partners,  a  warrant  shall  issue  in  the  manner  provided  by  this  act, 
upon  which  all  the  joint  stock  and  property  of  the  copartnership,  and  also 
all  the  separate  estate  of  each  of  the  partners,  shall  be  taken,  excepting 
such  parts  thereof  as  are  hereinbefore  excepted;  and  all  the  creditors  of 
the  company,  and  the  separate  creditors  of  each  partner,  shall  be  allowed 
to  prove  their  respective  debts ;  and  the  assignee  shall  be  chosen  by  the 
creditors  of  the  company,  and  shall  also  keep  separate  accounts  of  the 
joint  stock  or  property  of  the  copartnership  and  of  the  separate  estate 
of  each  member  thereof;  and  after  deducting  out  of  the  whole  amount 
received  by  such  assignee  the  whole  of  the  expenses  and  disbursements, 
the  net  proceeds  of  the  joint  stock  shall  be  appropriated  to  pay  the  credi- 
tors of  the  copartnership,  and  the  net  proceeds  of  the  separate  estate  of 
each  partner  shall  be  appropriated  to  pay  his  separate  creditors;  and  if 
there  shall  be  any  balance  of  the  separate  estate  of  any  partner,  after  the 
pajmen":  of  his  separate  debts,  such  balance  shall  be  added  to  the  joint 


480  FORMER  BANKRUPTCY  ACTS. 

stock  for  the  payment  of  the  joint  creditors;  and  if  there  shall  be  any  bal- 
ance of  the  joint  stock  after  payment  of  the  joint  debts,  such  balance 
shall  be  divided  and  appropriated  to  and  among  the  separate  estates  of  the 
several  partners,  according  to  their  respective  right  and  interest  therein, 
and  as  it  would  have  been  if  the  partnership  had  been  dissolved  without 
any  bankruptcy;  and  the  sum  so  appropriated  to  the  separate  estate  of 
each  partner  shall  be  applied  to  the  payment  of  his  separate  debts;  and 
the  certificate  of  discharge  shall  be  granted  or  refused  to  each  partner 
as  the  same  would  or  ought  to  be  if  the  proceedings  had  been  against 
him  alone  under  this  act ;  and  in  all  other  respects  the  proceedings  against 
partners  shall  be  conducted  in  the  like  manner  as  if  they  had  been  com- 
menced and  prosecuted  against  one  person  alone.  If  such  copartners  re- 
side in  different  districts,  that  court  in  which  the  petition  is  first  filed  shall 
retain  exclusive  jurisdiction  over  the  case. 

Sec  37.  'And  be  it  further  enacted,  That  the  provisions  of  this  act 
shall  apply  to  all  moneyed,  business,  or  commercial  corporations  and 
joint-stock  companies,  and  that  upon  the  petition  of  any  officer  of  any 
such  corporation  or  company,  duly  authorized  by  a  vote  of  a  majority 
of  the  corporators  present  at  any  legal  meeting  called  for  the  purpose, 
or  upon  the  petition  of  any  creditor  or  creditors  of  such  corporation 
or  company,  made  and  presented  in  the  manner  hereinafter  provided  in 
respect  to  debtors,  the  like  proceedings  shall  be  had  and  taken  as  are 
hereinafter  provided  in  the  case  of  debtors;  and  all  the  provisions  of 
this  act  which  apply  to  the  debtor,  or  set  forth  his  duties  in  regard  to 
furnishing  schedules  and  inventories,  executing  papers,  submitting  to  ex- 
aminations, disclosing,  making  over,  secreting,  concealing,  conveying,  as- 
signing, or  paying  away  his  money  or  property,  shall  in  like  manner,  and 
with  like  force,  effect  and  penalties,  apply  to  each  and  every  officer  of 
such  corporation  or  company  in  relation  to  the  same  matters  concerning 
the  corporation  or  company,  and  the  money  and  property  thereof.  All 
payments,  conveyances,  and  assignments  declared  fraudulent  and  void 
by  this  act  when  made  by  a  debtor,  shall  in  like  manner,  and  to  the  like 
extent,  and  with  like  remedies,  be  fraudulent  and  void  when  made  by 
a  corporation  or  company.  No  allowance  or  discharge  shall  be  granted 
to  any  corporation  or  joint-stock  company,  or  to  any  person  or  officer 
or  member  thereof:  Provided,  That  whenever  any  corporation  by  pro- 
ceedings under  this  act  shall  be  declared  bankrupt,  all  his  property  and 
assets  shall  be  distributed  to  the  creditors  of  such  corporation  in  the 
manner  provided  in  this  act  in  respect  to  natural  persons. 

OF   DATES    AND   DEPOSITIONS. 

Sec.  38.  'And  be  it  further  enacted,  That  the  filing  of  a  petition  for 
adjudication  in  bankruptcy,  either  by  a  debtor  in  his  own  behalf,  or  by 
any  creditor  against  a  debtor,  upon  which  an  order  may  be  issued  by 


^'ORMER  BANltRUPTCY  ACTS.  481 

the  court,  or  by  a  register  in  the  manner  provided  in  section  four,  shall 
be  deemed  and  taken  to  be  the  commencement  of  proceedings  in  bank- 
ruptcy under  this  act ;  the  proceedings  in  all  cases  in  bankruptcy  shall 
be  deemed  matters  of  record,  but  the  same  shall  not  be  required  to  be 
recorded  at  large,  but  shall  be  carefully  filed,  kept,  and  numbered  in  the 
office  of  the  clerk  of  the  court,  and  a  docket  only,  or  short  memorandum 
thereof,  kept  in  books  to  be  provided  for  that  purpose  which  shall  be 
open  to  public  inspection.  Copies  of  such  records,  duly  certified  under 
the  seal  of  the  court,  shall  in  all  cases  be  prima  facie  evidence  of  the 
facts  therein  stated.*  Evidence  or  examinations  in  any  of  the  proceedings 
under  this  act  may  be  taken  before  the  court,  or  a  register  in  bank- 
ruptcy, viva  voce,  or  in  writing,  before  a  commissioner  of  the  circuit 
court,  or  by  affidavit,  or  on  commission,  and  the  court  may  direct  a 
reference  to  a  register  in  bankruptcy,  or  other  suitable  person,  to  take 
and  certify  such  examination,  and  may  compel  the  attendance  of  wit- 
nesses, the  production  of  books  and  papers,  and  the  giving  of  testimony, 
in  the  same  manner  as  in  suits  in  equity  in  the  circuit  court. 

INVOLUNTARY   BANKRUPTCY. 

Sec.  39.  And  be  it  further  enacted,  That  any  person  residing  and 
owing  debts  as  aforesaid,  who,  after  the  passage  of  this  act,  shall  depart 
from  the  State,  District,  or  Territory,  of  which  he  is  an  inhabitant,  with 
intent  to  defraud  his  creditors,  or,  being  absent,  shall,  with  such  intent, 
remain  absent;  or  shall  conceal  himself  to  avoid  the  service  of  legal 
process  in  any  action  for  the  recovery  of  a  debt  or  demand  provable  un- 
der this  act;  or  shall  conceal  or  remove  any  of  his  property  to  avoid  its 
being  attached,  taken,  or  sequestered  on  legal  process;  or  shall  make 
any  assignment,  gift,  sale,  conveyance  or  transfer  of  his  estate,  property, 
rights,  or  credits,  either  within  the  United  States  or  elsewhere,  with  in- 
tent to  delay,  defraud,  or  hinder  his  creditors;  or  who  has  been  ar- 
rested and  held  in  custody  under  or  by  virtue  of  mesne  process  of  exe- 
cution, issued  out  of  any  court  of  any  State,  District,  or  Territory,  within 
v;hich  such  debtor  resides  or  has  property,  founded  upon  a  demand  in 
its  nature  provable  against  a  bankrupt's  estate  under  this  act,  and  for 
a  sum  exceeding  one  hundred  dollars,  and  such  process  is  remaining  in 
force  and  not  discharged  by  payment,  or  in  any  other  manner  provided 
by  the  law  of  such  State,  District,  or  Territory  applicable  thereto,  for  a 
period  of  seven  days;  or  has  been  actually  imprisoned  for  more  than 
seven  days  in  a  civil  action,  founded  on  contract,  for  the  sum  of  one 
hundred  dollars  or  upwards;  or  who,  being  bankrupt  or  insolvent,  or 
in  contemplation  of  bankruptcy  or  insolvency,  shall  make  any  payment, 
gift,  grant,  sale,  conveyance  or  transfer  of  money,  or  other  property,  es- 
tate, rights  or  credits,  or  give  any  warrant  to  confess  judgment,  or 
procure  or  suffer  his  property  to  be  taken  on  legal  process,  with  intent  to 


482  FORMER  BANKRUPTCY  ACTS. 

give  a  preference  to  one  or  more  of  his  creditors,  or  to  any  person  or 
persons  who  are  or  may  be  liable  for  him  as  indorsers,  bail,  sureties,  or 
otherwise,  or  with  the  intent,  by  such  disposition  of  his  property,  to 
defeat  or  delay  the  operation  of  this  act;  or  who,  being  a  banker,  mer- 
chant, or  trader,  has  fraudulently  stopped  or  suspended  and  not  resumed 
payment  of  his  commercial  paper,  within  a  period  of  fourteen  days,  shall 
be  deemed  to  have  committed  an  act  of  bankruptcy,  and,  subject  to  the 
conditions  hereinafter  prescribed,  shall  be  adjudged  a  bankrupt,  on  the 
petition  of  one  or  more  of  his  creditors,  the  aggregate  of  whose  debts 
provable  under  this  act  amount  to  at  least  two  hundred  and  fifty  dollars, 
provided  such  petition  is  brought  within  six  months  after  the  act  of  bank- 
ruptcy shall  have  been  committed.  And  if  such  person  shall  be  adjudged 
a  bankrupt,  the  assignee  may  recover  back  the  money  or  other  property 
so  paid,  conveyed,  sold,  assigned,  or  transferred  contrary  to  this  act, 
provided  the  person  receiving  such  payment  or  conveyance  had  reasonable 
cause  to  believe  that  a  fraud  on  this  act  was  intended,  or  that  the  debtor 
was  insolvent,  and  such  creditor  shall  not  be  allowed  to  prove  his  debt 
in  bankruptcy. 

Sec  40.  And  be  it  further  enacted,  That  upon  the  filing  of  the  peti- 
tion authorized  by  the  next  preceding  section,  if  it  shall  appear  that  suf- 
ficient grounds  exist  therefor,  the  court  shall  direct  the  entry  of  an  order 
requiring  the  debtor  to  appear  and  show  cause,  at  a  court  of  bankruptcy 
to  be  holden  at  a  time  to  be  specified  in  the  order,  not  less  than  five 
days  from  the  service  thereofj  why  the  prayer  of  the  petition  should  not 
be  granted;  and  may  also,  by  its  injunction,  restrain  the  debtor,  and  any 
other  person,  in  the  mean  time,  from  making  any  transfer  or  disposition 
of  any  part  of  the  debtor's  property  not  excepted  by  this  act  from  the 
operation  thereof  and  from  any  interference  therewith;  and  if  it  shall 
appear  that  there  is  probable  cause  for  believing  that  the  debtor  is  about 
to  leave  the  district,  or  to  remove  or  conceal  his  goods  and  chattels  or 
his  evidence  of  property,  or  make  any  fraudulent  conveyance  or  dispo- 
sition thereof,  the  court  may  issue  a  warrant  to  the  marshal  of  the  dis- 
trict, commanding  him  to  arrest  the  alleged  bankrupt  and  him  safely 
keep,  unless  he  shall  give  bail  to  the  satisfaction  of  the  court  for  his  ap- 
pearance from  time  to  time,  as  required  by  the  court,  until  the  decision 
of  the  court  upon  the  petition  or  the  further  order  of  the  court,  and  forth- 
with to  take  possession  provisionally  of  all  the  property  and  eflfects  of  the 
debtor,  and  safely  keep  the  same  until  the  further  order  of  the  court.  A 
copy  of  the  petition  and  of  such  order  to  show  cause  shall  be  served  on  such 
debtor  by  delivering  the  same  to  him  personally,  or  leaving  the  same  at 
his  last  or  usual  place  of  abode;  or,  if  such  debtor  cannot  be  found,  or 
his  place  of  residence  ascertained,  service  shall  be  made  by  publication, 
in  such  manner  as  the  judge  may  direct.  No  further  proceedings,  un- 
less the   debtor  appear  and   consent   thereto,   shall  be  had   until  proof 


FORMER  BANKRUPTCY  ACTS.  483 

shall  have  been  given,  to  the  satisfaction  of  the  court,  of  such  service 
or  publication ;  and  if  such  proof  be  not  given  on  the  return  day  of  such 
order,  the  proceedings  shall  be  adjourned  and  an  order  made  that  the 
notice  be  forthwith  so  served  or  published. 

Sec  41.  And  be  it  further  enacted,  That  on  such  return  day  or  ad- 
journed day,  if  the  notice  has  been  duly  served  or  published,  or  shall  be 
waived  by  the  appearance  and  consent  of  the  debtor,  the  court  shall  pro- 
ceed summarily  to  hear  the  allegations  of  the  petitioner  and  debtor,  and 
may  adjourn  the  proceedings  from  time  to  time,  on  good  cause  shown, 
and  shall,  if  the  debtor  on  the  same  day  so  demand  in  writing,  order 
a  trial  by  jury  at  the  first  term  of  the  court  at  which  a  jury  shall  be  in 
attendance,  to  ascertain  the  fact  of  such  alleged  bankruptcy;  and  if,  upon 
such  hearing  or  trial,  the  debtor  proves  to  the  satisfaction  of  the  court 
or  of  the  jury,  as  the  case  may  be,  that  the  facts  set  forth  in  the  petition 
are  not  true,  or  that  the  debtor  has  paid  and  satisfied  all  liens  upon 
his  property  in  case  the  existence  of  such  liens  were  the  sole  ground  of 
the  proceeding,  the  proceedings  shall  be  dismissed  and  the  respondent 
shall  recover  costs. 

Sec  42.  Atid  be  it  further  enacted,  That  if  the  facts  set  forth  in  the 
petition  are  found  to  be  true,  or  if  default  be  made  by  the  debtor  to  ap- 
pear pursuant  to  the  order,  upon  due  proof  of  service  thereof  being  made, 
the  court  shall  adjudge  the  debtor  to  be  a  bankrupt,  and,  as  such,  sub- 
ject to  the  provisions  of  this  act,  and  shall  forthwith  issue  a  warrant  to 
take  possession  of  the  estate  of  the  debtor.  The  warrant  shall  be  di- 
rected, and  the  property  of  the  debtor  shall  be  taken  thereon,  and  shall 
be  assigned  and  distributed  in  the  same  manner  and  with  similar  pro- 
ceedings to  those  hereinbefore  provided  for  the  taking  possession,  as- 
signment, and  distribution  of  the  property  of  the  debtor  upon  his  own 
petition.  The  order  of  adjudication  of  bankruptcy  shall  require  the  bank- 
rupt forthwith,  or  within  such  number  of  days,  not  exceeding  five  after 
the  date  of  the  order  or  notice  thereof,  as  shall  by  the  order  be  pre- 
scribed, to  make  and  deliver,  or  transmit  by  mail,  post  paid,  to  the  mes- 
senger, a  schedule  of  the  creditors  and  an  inventory  of  his  estate  in  the 
form  and  verified  in  the  manner  required  of  a  petitioning  debtor  by  sec- 
tion thirteen.  If  the  debtor  has  failed  to  appear  in  person,  or  by  at- 
torney, a  certified  copy  of  the  adjudication  shall  be  forthwith  served  on 
him  by  delivery  or  publication  in  the  manner  hereinbefore  provided  for 
the  service  of  the  order  to  show  cause;  and  if  the  bankrupt  is  absent  or 
cannot  be  found,  such  schedule  and  inventory  shall  be  prepared  by  the 
messenger  and  the  assignee  from  the  best  information  they  can  obtain. 
If  the  petitioning  creditor  shall  not  appear  and  proceed  on  the  return 
day,  or  adjourned  day,  the  court  may,  upon  the  petition  of  any  other 
creditor,  to  the  required  amount,  proceed  to  adjudicate  on  such  petition, 
without  requiring  a  new  service  or  publication  of  notice  to  the  debtor. 


484  FORMER  BANKRUPTCY  ACTS. 

OF  SUPERSEDING  THE  BANKRUPT  PROCEEDINGS  BY  ARRANGEMENT. 

Sec  43.  And  be  it  further  enacted,  That  if  at  the  first  meeting  of 
creditors,  or  at  any  meeting  of  creditors  to  be  specially  called  for  that 
purpose,  and  of  which  previous  notice  shall  have  been  given  for  such 
length  of  time  and  in  such  manner  as  the  court  may  direct,  three-fourths 
in  value  of  the  creditors  whose  claims  have  been  proved  shall  determine 
and  resolve  that  it  is  for  the  interest  of  the  general  body  of  the  creditors 
that  the  estate  of  the  bankrupt  should  be  wound  up  and  settled,  and  dis- 
tribution made  among  the  creditors  by  trustees,  under  the  inspection  and 
direction  of  a  committee  of  the  creditors,  it  shall  be  lawful  for  the  credi- 
tors to  certify  and  report  such  resolution  to  the  court,  and  to  nominate 
one  or  more  trustees  to  take  and  hold  and  distribute  the  estate,  under 
the  direction  of  such  committee.  If  it  shall  appear  to  the  court,  after 
hearing  the  bankrupt  and  such  creditors  as  may  desire  to  be  heard,  that 
the  resolution  was  duly  passed  and  that  the  interests  of  the  creditors 
will  be  promoted  thereby,  it  shall  confirm  the  same;  and  upon  the  execu- 
tion and  filing  by  or  on  behalf  of  three-fourths  in  value  of  all  the  credi- 
tors whose  claims  have  been  proved  of  a  consent  that  the  estate  of  the 
bankrupt  be  wound  up  and  settled  by  said  trustees  according  to  the  terms 
of  such  resolution,  the  bankrupt,  or  his  assignee  in  bankruptcy,  if  ap- 
pointed, as  the  case  may  be,  shall,  under  the  direction  of  the  court,  and 
under  oath,  convey,  transfer,  and  deliver  all  the  property  and  estate  of 
the  bankrupt  to  the  said  trustee  or  trustees,  who  shall,  upon  such  con- 
veyance and  transfer,  have  and  hold  the  same  in  the  same  manner,  and 
with  the  same  powers  and  rights,  in  all  respects,  as  the  bankrupt  would 
have  had  or  held  the  same  if  no  proceedings  in  bankruptcy  had  been 
taken,  or  as  the  assignee  in  bankruptcy  would  have  done  had  such  reso- 
lution not  been  passed;  and  such  consent  and  the  proceedings  thereunder 
shall  be  as  binding  in  all  respects  on  any  creditor  whose  debt  is  prov- 
able, who  has  not  signed  the  same,  as  if  he  had  signed  it,  and  on  any 
creditor,  whose  debt,  if  provable,  is  not  proved,  as  if  he  had  proved 
it;  and  the  court,  by  order,  shall  direct  all  acts  and  things  needful  to 
be  done  to  carry  into  effect  such  resolution  of  the  creditors,  and  the 
said  trustees  shall  proceed  to  wind  up  and  settle  the  estate  under  the  di- 
rection and  inspection  of  such  committee  of  the  creditors,  for  the  equal 
benefit  of  all  such  creditors,  and  the  winding  up  and  settlement  of  any 
estate  under  the  provisions  of  this  section  shall  be  deemed  to  be  pro- 
ceedings in  bankruptcy  under  this  act;  and  the  said  trustees  shall  have 
all  the  rights  and  powers  of  assignees  in  bankruptcy.  The  court,  on  the 
application  of  such  trustees,  shall  have  power  to  summon  and  examine, 
on  oath  or  otherwise,  the  bankrupt,  and  any  creditor,  and  any  person 
indebted  to  the  estate,  or  known  or  suspected  of  having  any  of  the  es- 
tate in  his  possession,  or  any  other  person  whose  examination  may  be 
material  or  necessary  to  aid  the  trustees  in  the  execution  of  their  trust, 


FORMER  BANKRUPTCY  ACTS.  485 

and  to  compel  the  attendance  of  such  persons  and  the  production  of  books 
and  papers  in  the  same  manner  as  in  other  proceedings  in  bankruptcy 
under  this  act;  and  the  bankrupt  shall  have  the  like  right  to  apply  for 
and  obtain  a  discharge  after  the  passage  of  such  resolution  and  the  ap- 
pointment of  such  trustees  as  if  such  resolution  had  not  been  passed, 
and  as  if  all  the  proceedings  had  continued  in  the  manner  provided  in 
the  preceding  sections  of  this  act.  If  the  resolution  shall  not  be  duly 
reported,  or  the  consent  of  the  creditors  shall  not  be  duly  filed,  or  if, 
upon  its  filing,  the  court  shall  not  think  fit  to  approve  thereof,  the  bank- 
ruptcy shall  proceed  as  though  no  resolution  had  been  passed,  and  the 
court  may  make  all  necessary  orders  for  resuming  the  proceedings.  And 
the  period  of  time  which  shall  have  elapsed  between  the  date  of  the 
resolution  and  the  date  of  the  order  for  resuming  proceedings  shall  not 
be  reckoned  in  calculating  periods  of  time  prescribed  by  this  act. 

PENALTIES  AGAINST  BANKRUPTS. 

Sec  44.  And  be  it  further  enacted,  That  from  and  after  the  passage 
of  this  act,  if  any  debtor  or  bankrupt  shall,  after  the  commencement  of 
proceedings  in  bankruptcy,  secrete  or  conceal  any  property  belonging  to 
his  estate,  or  part  with,  conceal,  or  destroy,  alter,  mutilate,  or  falsify, 
or  cause  to  be  concealed,  destroyed,  altered,  mutilated,  or  falsified,  any 
book,  deed,  document,  or  writing  relating  thereto,  or  remove,  or  cause 
to  be  removed,  the  same  or  any  part  thereof,  out  of  the  district,  or  other- 
wise dispose  of  any  part  thereof,  with  intent  to  prevent  it  from  com- 
ing into  the  possession  of  the  assignee  in  bankruptcy,  or  to  hinder,  im- 
pede, or  delay  either  of  them  in  recovering  or  receiving  the  same,  or 
make  any  payment,  gift,  sale,  assignment,  transfer,  or  conveyance  of  any 
property  belonging  to  his  estate  with  the  like  intent,  or  spends  any  part 
thereof  in  gaming;  or  shall,  with  intent  to  defraud,  wilfully  and  fraudu- 
lently conceal  from  his  assignee  or  omit  from  his  schedule  any  property 
or  effects  whatsoever;  or  if,  in  case  of  any  person  having,  to  his  knowl- 
edge or  belief,  proved  a  false  or  fictitious  debt  against  his  estate,  he 
shall  fail  to  disclose  the  same  to  his  assignee  within  one  month  after 
coming  to  the  knowledge  or  belief  thereof,  or  shall  attempt  to  account 
for  any  of  his  property  by  fictitious  losses  or  expenses;  or  shall,  within 
three  months  before  the  commencement  of  proceedings  in  bankruptcy, 
under  the  false  color  and  pretense  of  carrying  on  business  and  dealing  in 
the  ordinary  course  of  trade,  obtain  on  credit  from  any  person  any  goods 
or  chattels  with  intent  to  defraud;  or  shall,  with  intent  to  defraud  his 
creditors,  within  three  months  next  before  the  commencement  of  pro- 
ceedings in  bankruptcy,  pawn,  pledge,  or  dispose  of,  otherwise  than  by 
bona  fide  transactions  in  the  ordinary  way  of  his  trade,  any  of  his  goods 
or  chattels  which  have  been  obtained  on  credit  and  remain  unpaid  for, 
he  shall  be  deemed  guilty  of  a  misdemeanor,  and  upon  conviction  thereof 


486  FORMER  BANKRUPTCY  ACTS. 

in  any  court  of  the  United  States,  shall  be  punished  by  imprisonment, 
with  or  without  hard  labor,  for  a  term  not  exceeding  three  years. 

PENALTIES  AGAINST  OFFICERS. 

Sec  45.    "And  be  it  further  enacted,  That  if  any  judge,  register,  clerk, 

marshal,  messenger,  assignee,  or  any  other  officer  of  the  several  courts 

of  bankruptcy,  shall,  for  anything  done  or  pretended  to  be  done  under  this 

act,   or  under  color  of   doing  an>-thing  thereunder,   wilfully  demand  or 

take,  or  appoint  or  allow  any  person  whatever  to  take  for  him  or  on  his 
account,  or  for  or  on  account  of  any  other  person,  or  in  trust  for  him 

or  for  any  other  person,  any  fee,  emolument,  gratuity,  sum  of  money, 
or  anything  of  value  whatever,  other  than  is  allowed  by  this  act,  or  which 
shall  be  allowed  under  the  authority  thereof,  such  person,  when  convicted 
thereof,  shall  forfeit  and  pay  the  sum  of  not  less  than  three  hundred  dol- 
lars and  not  exceeding  five  hundred  dollars,  and  be  imprisoned  not  ex- 
ceeding three  years. 

Sec.  46.  And  be  it  further  enacted,  That  if  any  person  shall  forge 
the  signature  of  a  judge,  register,  or  other  officer  of  the  court,  or  shall 
forge  or  counterfeit  the  seal  of  the  court,  or  knowingly  concur  in  using 
any  such  forged  or  counterfeit  signature  or  seal,  for  the  purpose  of  au- 
thenticating any  proceeding  or  document,  or  shall  tender  in  evidence  any 
such  proceeding  or  document  with  a  false  or  counterfeit  signature  of  any 
such  judge,  register,  or  other  officer,  or  a  false  or  counterfeit  seal  of  the 
court,  subscribed  or  attached  thereto,  knowing  such  signature  or  seal 
to  be  false  or  counterfeit,  any  such  person  shall  be  guilty  of  felony,  and 
upon  conviction  thereof  shall  be  liable  to  fine  of  not  less  than  five  hun- 
dred dollars,  and  not  more  than  five  thousand  dollars,  and  to  be  impris- 
oned not  exceeding  five  years,  at  the  discretion  of  the  court. 

FEES    AND   COSTS. 

Sec  47.  And  be  it  further  enacted,  That  in  each  case  there  shall  be 
allowed  and  paid,  in  addition  to  the  fees  of  the  clerk  of  the  court  as 
now  established  by  law,  or  as  may  be  established  by  general  order,  un- 
der the  provisions  of  this  act,  for  fees  in  bankruptcy,  the  following  fees, 
which  shall  be  applied  to  the  payment  for  the  services  of  the  registers: 

For  issuing  every  warrant,  two  dollars. 

For  each  day  in  which  a  meeting  is  held,  three  dollars. 

For  each  order  for  a  dividend,  three  dollars. 

For  every  order  substituting  an  arrangement  by  trust  deed  for  bank- 
ruptcy, two  dollars. 

For  every  bond  with  sureties,  two  dollars. 

For  every  application  for  any  meeting  in  any  matter  under  this  act, 
one  dollar. 


FORMER  BANKRUPTCY  ACTS.  487 

For  every  day's  service  while  actually  employed  under  a  special  order 
of  the  court,  a  sum  not  exceeding  five  dollars,  to  be  allowed  by  the 
court 

For  taking  depositions,  the  fees  now  allowed  by  law. 

For  every  discharge  when  there  is  no  opposition,  two  dollars. 

Such  fees  shall  have  priority  of  payment  over  all  other  claims  out  of 
the  estate,  and  before  a  warrant  issues  the  petitioner  shall  deposit  with 
the  senior  register  of  the  court,  or  with  the  clerk,  to  be  delivered  to 
the  register,  fifty  dollars  as  security  for  the  payment  thereof;  and  if 
there  are  not  sufficient  assets  for  the  payment  of  the  fees,  the  person 
upon  whose  petition  the  warrant  is  issued  shall  pay  the  same,  and  the 
court  may  issue  an  execution  against  him  to  compel  payment  to  the 
register. 

Before  any  dividend  is  ordered  the  assignee  shall  pay  out  of  the  es- 
tate to  the  messenger  the  following  fees,  and  no  more: 

First.    For  service  of  warrant,  two  dollars. 

Second.  For  all  necessary  travel,  at  the  rate  of  five  cents  a  mile, 
each  way. 

Third.  For  each  written  note  to  creditor  named  in  the  schedule,  ten 
cents. 

Fourth.  For  custody  of  property,  publication  of  notices,  and  other 
services,  his  actual  and  necessary  expenses  upon  returning  the  same  in 
specific  items,  and  making  oath  that  they  have  been  actually  incurred  and 
paid  by  him,  and  are  just  and  reasonable,  the  same  to  be  taxed  or  ad- 
justed by  the  court,  and  the  oath  of  the  messenger  shall  not  be  conclusive 
as  to  the  necessity  of  said  expenses. 

For  cause  shown,  and  upon  hearing  thereon,  such  further  allowance 
may  be  made  as  the  court,  in  its  discretion,  may  determine. 

The  enumeration  of  the  foregoing  fees  shall  not  prevent  the  judges, 
who  shall  frame  general  rules  and  orders  in  accordance  with  the  provis- 
ions of  section  ten,  from  prescribing  a  tariff  of  fees  for  all  other  services 
of  the  officers  of  courts  of  bankruptcy,  or  from  reducing  the  fees  pre- 
scribed in  this  section  in  classes  of  cases  to  be  named  in  their  rules  and 
orders. 

OF    MEANING   OF   TERMS    AND    COMPUTATION   OF   TIME. 

Sec  48.  'And  be  it  further  enacted,  That  the  word  "assignee"  and 
the  word  "creditor"  shall  include  the  plural  also;  and  the  word  "mes- 
senger" shall  include  his  assistant  or  assistants,  except  in  the  provision 
for  the  fees  of  that  officer.  The  word  "marshal"  shall  include  the  mar- 
shal's deputies,  the  word  "person"  shall  also  include  "corporation,"  and 
the  word  "oath"  shall  include  "affirmation."    And  in  all  cases  in  which 


488  FORMER  BANKRUPTCY  ACTS. 

any  particular  number  of  daj's  is  prescribed  by  this  act,  or  shall  be  men- 
tioned in  any  rule  or  order  of  court  or  general  order  which  shall  at  any 
time  be  made  under  this  act,  for  the  doing  of  any  act,  or  for  any  other 
purpose,  the  same  shall  be  reckoned,  in  the  absence  of  any  expression  to 
the  contrary,  exclusive  of  the  first  and  inclusive  of  the  last  day,  unless 
the  last  day,  shall  fall  on  a  Sunday,  Christmas  day,  or  on  any  day  ap- 
pointed by  the  President  of  the  United  States  as  a  day  of  public  fast  or 
thanksgiving,  or  on  the  fourth  of  July,  in  which  case  the  time  shall  be 
reckoned  exclusive  of  that  day  also. 

Sec  49.  And  be  it  further  enacted.  That  all  the  jurisdiction,  power, 
and  authority  conferred  upon  and  vested  in  the  district  court  of  the 
United  States  by  this  act  in  cases  in  bankruptcy  are  hereby  conferred 
upon  and  vested  in  the  supreme  court  of  the  District  of  Columbia,  and 
in  and  upon  the  supreme  courts  of  the  several  Territories  of  the  United 
States,  when  the  bankrupt  resides  in  the  said  District  of  Columbia  or 
in  either  of  the  said  Territories.  And  in  those  judicial  districts  which 
are  not  within  any  organized  circuit  of  the  United  States  the  power  and 
jurisdiction  of  a  circuit  court  in  bankruptcy  may  be  exercised  by  the 
district  judge. 

Sec  50.  And  be  it  further  enacted.  That  this  act  shall  commence  and 
take  effect,  as  to  the  appointment  of  the  officers  created  hereby  and  the 
promulgation  of  rules  and  general  orders,  from  and  after  the  date  of 
its  approval:  Provided,  That  no  petition  or  other  proceeding  under  this 
act  shall  be  filed,  received,  or  commenced  before  the  first  day  of  June, 
aimo  Domini  eighteen  hundred  and  sixty-seven. 

AMENDMENT  OF  JULY  27th,   1868. 

AN  ACT  in  amendment  of  an  act  entitled  "An  act  to  establish  a  uniform 
system  of  bankruptcy  throughout  the  United  States,"  approved  March 
second,  eighteen  hundred  and  sixty-seven. 

Be  it  enacted  by  the  Senate  and  House  of  Representatives  of  the 
United  States  of  America  in  Congress  assembled.  That  the  provisions 
of  second  clause  of  the  thirty-third  section  of  said  act  shall  not  apply  to 
the  cases  of  proceedings  in  bankrup[t]cy  commenced  prior  to  the  first 
day  of  January,  eighteen  hundred  and  sixty-nine,  and  the  time  during 
which  the  operation  of  the  provisions  of  said  clause  is  postponed  shall 
be  extended  until  said  first  day  of  January,  eighteen  hundred  and  sixty- 
nine.  And  said  clause  is  hereby  so  amended  as  to  read  as  follows:  In 
all  proceedings  in  bankruptcy  commenced  after  the  first  day  of  January, 
eighteen  hundred  and  sixty-nine,  no  discharge  shall  be  granted  to  a 
debtor  whose  assets  shall  not  be  equal  to  fifty  per  centum  of  the  claims 
proved  against  his  estate  upon  which  he  shall  be  liable  as  the  principal 


FORMER  BANKRUPTCY  ACTS.  489 

debtor,  unless  the  assent  in  writing  of  a  majority  in  number  and  value 
of  his  creditors  to  whom  he  shall  have  become  liable  as  principal  debtor, 
and  who  shall  have  proved  their  claims,  be  filed  in  the  case  at  or  before 
the  time  of  the  hearing  of  the  application  for  discharge. 

Sec.  2.  And  be  it  further  enacted,  That  said  act  be  further  amended 
as  follows:  The  phrase  "presented  or  defended"  in  the  fourteenth  sec- 
tion of  said  act  shall  read  "prosecuted  or  defended;"  the  phrase  "non- 
resident debtors"  in  line  five,  section  twenty-two,  of  the  act  as  printed 
in  the  Statutes  at  Large,  shall  read  "non-resident  creditors;"  that  the 
word  "or"  in  the  next  to  the  last  line  of  the  thirty-ninth  section  of  the 
act  shall  read  "and;"  that  the  phrase  "section  thirteen"  in  the  forty-sec- 
ond section  of  said  act  shall  read  "section  eleven;"  and  the  phrase  "or 
spends  any  part  thereof  in  gaming"  in  the  forty-fourth  section  of  said  act 
shall  read  "or  shall  spend  any  part  thereof  in  gaming;"  and  that  the 
words  "with  the  senior  register,  or"  and  the  phrase  "to  be  delivered  to 
the  register"  in  the  forty-seventh  section  of  said  act  be  stricken  out. 

Sec.  3.  And  be  it  further  enacted,  That  registers  in  bankruptcy  shall 
have  power  to  administer  oaths  in  all  cases  and  in  relation  to  all  matters 
in  which  oaths  may  be  administered  by  commissioners  of  the  circuit  courts 
of  the  United  States,  and  such  commissioners  may  take  proof  of  debts 
in  bankruptcy  in  all  cases,  subject  to  the  revision  of  such  proofs  by  the 
register  and  by  the  court  according  to  the  provisions  of  said  act. 

AMENDMENT  OF  JUNE  30th,  1870. 

AN  ACT  to  amend  an  act  entitled  "An  act  to  establish  a  uniform  sys- 
tem of  bankruptcy  throughout  the  United  States,"  approved  March  2, 
1867. 

Be  it  enacted  by  the  Senate  and  House  of  Representatives  of  the 
United  States  of  America  in  Congress  assembled.  That  the  jurisdiction 
conferred  upon  the  supreme  courts  of  the  Territories  by  the  act  to  which 
this  is  in  amendment  may  be  exercised,  upon  petitions  regularly  filed  in 
that  court,  by  either  of  the  justices  thereof  while  holding  the  district 
court  in  the  district  in  which  the  petitioner  or  the  alleged  bankrupt  re- 
sides, and  said  several  supreme  courts  shall  have  the  same  supervisory 
jurisdiction  over  all  acts  and  decisions  of  each  justice  thereof  as  is  con- 
ferred upon  the  circuit  courts  of  the  United  States  over  proceedings  in 
the  district  courts  of  the  United  States  by  the  second  section  of  said  act 

Sec.  2.  And  be  it  further  enacted,  That  in  case  of  a  vacancy  in  the 
office  of  district  judge  in  any  district,  or  in  case  any  district  judge  shall, 
from  sickness,  absence,  or  other  disability,  be  unable  to  act,  the  circuit 
judge  of  the  circuit  in  whicli  such  district  in  included  may  make,  during 
such  disability  or  vacancy,  all  necessary  rules  and  orders  preparatory  to 


490  FORMER  BANKRUPTCY  ACTS. 

the  final  hearing  of  all  causes  in  bankruptcy,  and  cause  the  same  to  be 
entered  or  issued,  as  the  case  may  require,  by  the  clerk  of  the  district 
court. 

AMENDMENT  OF  JULY  14th,  1870. 

AN  ACT  in  amendment  of  the  act  entitled  "An  act  establishing  an  uni- 
form  system  of  bankruptcy   throughout   the   United   States." 

Be  it  enacted  by  the  Senate  and  House  of  Representatives  of  the 
United  States  of  America  in  Congress  assembled.  That  the  provisions  of 
the  second  clause  of  the  thirty-third  section  of  said  act,  as  amended  by 
the  first  section  of  an  act  in  amendment  thereof,  approved  July  twenty- 
seven,  eighteen  hundred  and  sixty-eight,  shall  not  apply  to  those  debts 
from  which  the  bankrupt  seeks  a  discharge  which  were  contracted  prior 
to  the  first  day  of  January,  eighteen  hundred  and  sixty-nine. 

Sec.  2.  And  be  it  further  enacted.  That  the  clause  in  the  thirty-ninth 
section  of  said  act  which  now  reads  "or  who,  being  a  banker,  merchant, 
or  trader,  has  fraudulently  stopped  or  suspended  and  not  resumed  pay- 
ment of  his  commerical  paper  within  a  period  of  fourteen  days,"  shall 
be  amended  so  as  to  read  as  follows:  "or  who,  being  a  banker,  broker, 
merchant,  trader,  manufacturer,  or  miner,  has  fraudulently  stopped  pay- 
ment, or  who  has  stopped  or  suspended  and  not  resumed  payment  of  his 
commercial  paper  within  a  period  of  fourteen  days." 

1. 

AMENDMENTS  OF  JUNE  8th,  1872. 

AN  ACT  to  amend  an  act  entitled  "An  act  to  establish  a  uniform  system 
of  bankruptcy  throughout  the  United  States." 

Be  it  enacted  by  the  Senate  and  House  of  Representatives  of  the 
United  States  of  America  in  Congress  assembled.  That  the  first  proviso 
in  section  fourteen  of  an  act  approved  March  second,  eighteen  hundred 
and  sixty-seven,  entitled  "An  act  to  establish  a  uniform  system  of  bank- 
ruptcy throughout  the  United  States,"  be  amended  by  striking  out  the 
words  "eighteen  hundred  and  sixty-four,"  and  inserting  in  lieu  thereof 
"eighteen  hundred  and  seventy-one." 


AN  ACT  to  declare  the  true  intent  and  meaning  of  section  two  of  an 
act  entitled  "An  act  to  establish  a  uniform  system  of  bankruptcy 
throughout  the  United  States,"  approved  March  two,  eighteen  hun- 
dred and  sixty-seven. 

Be  it  enacted  by  the  Senate  and  House  of  Representatives  of  the  United 


FORMER  BANKRUPTCY  ACTS.  491 

States  of  America  in  Congress  assembled,  That  the  powers  and  jurisdic- 
tion granted  to  the  several  circuit  courts  of  the  United  States,  or  any 
justice  thereof,  by  section  two  of  an  act  entitled  "An  act  to  establish  a 
uniform  system  of  bankruptcy  throughout  the  United  States,"  approved 
March  second,  eighteen  hundred  and  sixty-seven,  may  be  exercised  in 
any  district  in  which  the  powers  or  jurisdiction  of  a  circuit  court  have 
been  or  may  be  conferred  on  the  district  court  for  such  district,  as  if  no 
such  powers  or  jurisdiction  had  been  conferred  on  such  district  court; 
it  being  the  true  intent  and  meaning  of  said  act  that  the  system  of 
bankruptcy  thereby  established  shall  be  uniform  throughout  the  United 
States. 

AMENDAIENT  OF  FEBRUARY  13th,  1873. 

AN  ACT  to  amend  an  act  entitled  "An  act  to  establish  a  uniform  system 
of  bankruptcy  throughout  the  United  States,"  approved  March  second, 
eighteen  hundred  and  sixty-seven. 

Be  it  enacted  by  the  Senate  and  House  of  Representatives  of  the  United 
States  of  America  in  Congress  assembled.  That  whenever  a  corporation 
created  by  the  laws  of  any  State,  whose  business  is  carried  on  wholly 
within  the  State  creating  the  same,  and  also  any  insurance  company  so 
created,  whether  all  its  business  shall  be  carried  on  in  such  State  or  not, 
has  had  proceedings  duly  commenced  against  such  corporation  or  com- 
pany before  the  courts  of  such  State  for  the  purpose  of  winding  up  the 
affairs  of  such  corporation  or  company  and  dividing  its  assets  ratably 
among  its  creditors  and  lawfully  among  those  entitled  thereto  prior  to 
proceedings  having  been  commenced  against  such  corporation  or  com- 
pany undc-  the  bankrupt  laws  of  the  United  States,  any  order  made, 
or  that  shall  be  made,  by  such  court  agreeably  to  the  State  law  for  the 
ratable  distribution  or  payment  of  any  dividend  of  assets. to  the  cred- 
itors of  such  corporation  or  company  while  such  State  court  shall  remain 
actually  or  constructively  in  possession  or  control  of  the  assets  of  such 
corporati)!!  or  company  shall  be  deemed  valid  notwithstanding  proceed- 
ings in  bankruptcy  may  have  been  commenced  and  be  pending  against 
such  corporation  or  company. 

AMENDMENT  OF  MARCH  3rd,  1873. 

AN  ACT  to  declare  the  true  intent  and  meaning  of  the  act  approved 
June  eight,  eighteen  hundred  and  seventy-two,  amendatory  of  the 
general  bankrupt  law. 

Beit  enacted  by  the  Senate  and  House  of  Representatives  of  the  United 
States  of  America  in  Congress  assembled.  That  it  was  the  true  intent  and 
meaning  of  an  act  approved  June  eighth,  eighteen  hundred  and  seventy- 


492  FORMER  BANKRUPTCY  ACTS. 

two,  entitled  "An  act  to  amend  an  act  entitled  'An  act  to  establish  a 
uniform  system  of  bankruptcy  throughout  the  United  States/  approved 
March  second,  eighteen  hundred  and  sixty-seven,"  that  the  exemptions 
allowed  the  bankrupt  by  the  said  amendatory  act  should,  and  it  is  hereby 
enacted  that  they  shall,  be  the  amount  allowed  by  the  constitution  and 
laws  of  each  State,  respectively,  as  existing  in  the  year  eighteen  hun- 
dred and  seventy-one;  and  that  such  exemptions  be  valid  against  debts 
contracted  before  the  adoption  and  passage  of  such  State  constitution 
and  laws,  as  well  as  those  contracted  after  the  same,  and  against  liens 
by  judgment  or  decree  of  any  State  court,  any  decision  of  any  such  court 
rendered  since  the  adoption  and  passage  of  such  constitution  ^nd  laws 
to  the  contrary  notwithstanding. 

AMENDMENT  OF  JUNE  22nd  1874. 

AN  ACT  to  amend  and  supplement  an  act  entitled  "An  act  to  establish 
a  uniform  system  of  bankruptcy  throughout  the  United  States,"  ap- 
proved March  second,  eighteen  hundred  and  sixty-seven,  and  for  other 
purposes. 

Be  it  enacted  by  the  Senate  and  House  of  Representatives  of  the  United 
States  of  America  in  Congress  assembled,  That  the  act  entitled  "An  act 
to  establish  a  uniform  system  of  bankruptcy  throughout  the  United 
States,"  approved  March  second,  eighteen  hundred  and  sixty-seven,  be 
and  the  same  is  hereby,  amended  and  supplemented  as  follows:  That 
the  court  may,  in  its  discretion,  on  sufficient  cause  shown,  and  upon 
notice  and  hearing,  direct  the  receiver  or  assignee  to  take  possession 
of  the  property,  and  carry  on  the  business  of  the  debtor,  or  any  part 
thereof,  under  the  direction  of  the  court,  when,  in  its  judgment,  the 
interest  of  th«:  estate  as  well  as  of  the  creditors  will  be  promoted  thereby, 
but  not  for  a  period  exceeding  nine  months  from  the  time  the  debtor 
shall  have  been  declared  a  bankrupt:  Provided,  That  such  order  shall 
not  be  made  until  the  court  shall  be  satisfied  that  it  is  approved  by  a 
majority  in  value  of  the  creditors. 

Sec  2.  That  section  one  of  said  act  be,  and  it  is  hereby,  amended  by 
adding  thereto  the  following  words:  "Provided,  That  the  court  having 
charge  of  the  estate  of  any  bankrupt  may  direct  that  any  of  the  legal 
assets  or  debts  of  the  bankrupt,  as  contradistinguished  from  equitable 
demands,  shall,  when  such  debt  does  not  exceed  five  hundred  dollars, 
be  collected  in  the  courts  of  the  State  where  such  bankrupt  resides 
having  jurisdiction  of  claims  of  such  nature  and  amount." 

Sec.  3.  That  section  two  of  said  act  be,  and  it  hereby  is,  amended  by 
striking  out,  in  line  ten,  the  words  "the  same,"  and  inserting  the  word 


FORMER  BANKRUPTCY  ACTS.  493 

"any";  and  by  adding  next  after  the  words  "adverse  interest,"  in  line 
twelve,  the  words  "or  owing  any  debt  to  such  bankrupt." 

Sec.  4.  That  unless  otherwise  ordered  by  the  court,  the  assignee  shall 
sell  the  property  of  the  bankrupt,  whether  real  or  personal,  at  public 
auction,  in  such  parts  or  parcels  and  at  such  times  and  places  as  shall 
be  best  calculated  to  produce  the  greatest  amount  with  the  least 
expense.  All  notices  of  public  sales  under  this  act  by  any  assignee  or 
officer  of  the  court  shall  be  published  once  a  week  for  three  consecu- 
tive weeks  in  the  newspaper  or  newspapers,  to  be  designated  by  the 
judge,  which,  in  his  opinion,  shall  be  best  calculated  to  give  general 
notice  of  the  sale.  And  the  court,  on  the  application  of  any  party  in 
interest,  shall  have  complete  supervisory  power  over  such  sales,  includ- 
ing the  power  to  set  aside  the  same  and  to  order  a  re-sale,  so  that  the 
property  sold  shall  realize  the  largest  sum.  And  the  court  may,  in  its 
discretion,  order  any  real  estate  of  the  bankrupt,  or  any  part  thereof, 
to  be  sold  for  one-fourth  cash  at  the  time  of  sale,  and  the  residue  within 
eighteen  months  in  such  installments  as  the  court  may  direct,  bearing 
interest  at  the  rate  of  seven  per  centum  per  annum,  and  secured  by 
proper  mortgage  or  lien  upon  the  property  so  sold.  And  it  shall  be  the 
duty  of  every  assignee  to  keep  a  regular  account  of  all  moneys  received 
or  expended  by  him  as  such  assignee,  to  which  account  every  creditor 
shall,  at  reasonable  times,  have  free  access.  If  any  assignee  shall  fail 
or  neglect  to  well  and  faithfully  discharge  his  duties  in  the  sale  or  dis- 
position of  property  as  above  contemplated,  it  shall  be  the  duty  of  the 
court  to  remove  such  assignee,  and  he  shall  forfeit  all  fees  and  emolu- 
ments to  which  he  might  be  entitled  in  connection  with  such  sale.  And 
if  any  assignee  shall,  in  any  manner,  in  violation  of  his  duty  aforesaid, 
unfairly  or  wrongfully  sell  or  dispose  of,  or  in  any  manner  fraudulently 
or  corruptly  combine,  conspire,  or  agree  with  any  person  or  persons 
with  intent  to  unfairly  or  wrongfully  sell  or  dispose  of  the  property  com- 
mitted to  his  charge,  he  shall,  upon  proof  thereof,  be  removed,  and  for- 
feit all  fees  or  other  compensation  for  any  and  all  services  in  connection 
with  such  bankrupt's  estate,  and,  upon  conviction  thereof  before  any 
court  of  competent  jurisdiction,  shall  be  liable  to  a  fine  of  not  more  than 
ten  thousand  dollars,  or  imprisonment  in  the  penitentiary  for  a  term  of 
not  exceeding  two  years,  or  both  fine  and  imprisonment,  at  the  discre- 
tion of  the  court.  And  any  person  so  combining,  conspiring,  or  agree- 
ing with  such  assignee  for  the  purpose  aforesaid  shall,  upon  conviction, 
be  liable  to  a  like  punishment.  That  the  assignee  shall  report,  under 
oath,  to  the  court,  at  least  as  often  as  once  in  three  months,  the  con- 
dition of  the  estate  in  his  charge,  and  the  state  of  his  accounts  in  de- 
tail, and  at  all  other  times  when  the  court,  on  motion  or  otherwise,  shall 
so  order.  And  on  any  settlement  of  the  accounts  of  any  assignee,  he 
shall  be   required  to  account  for  all  interest,  benefit,  or  advantage  re- 


494  FORMER  BANKRUPTCY  ACTS. 

ceived,  or  in  any  manner  agreed  to  be  received  directly  or  indirectly, 
from  the  use,  disposal,  or  proceeds  of  the  bankrupt's  estate.  And  he 
shall  be  required,  upon  such  settlement,  to  make  and  file  in  court  an 
aflSdavit  declaring,  according  to  the  truth,  whether  he  has  or  has  not,  as 
the  case  may  be,  received,  or  is  or  is  not,  as  the  case  may  be,  to  receive, 
directly  or  indirectly,  any  interest,  benefit,  or  advantage  from  the  use 
or  deposit  of  such  funds;  and  such  assignee  may  be  examined  orally 
upon  the  same  subject,  and  if  he  shall  wilfully  swear  falsely,  either  in 
such  affidavit  or  examination,  or  to  his  report  provided  for  in  this  sec- 
tion, he  shall  be  deemed  to  be  guilty  of  perjury,  and,  on  conviction 
thereof,  be  punished  by  imprisonment  in  the  penitentiary  not  less  than 
one  and  not  more  than  five  years. 

Sec  5.  That  section  eleven  of  said  act  be  amended  by  striking  out 
the  words  "as  the  warrant  specifies,"  where  they  first  occur,  and  insert- 
ing the  words  "as  the  marshal  shall  select,  not  exceeding  two" ;  and  in- 
serting after  the  word  "specifies"  where  it  last  occurs  the  words  "But 
whenever  the  creditors  of  the  bankrupt  are  so  numerous  as  to  make  any 
notice  now  required  by  law  to  them,  by  mail  or  otherwise,  a  great  and 
disproportionate  expense  to  the  estate,  the  court  may,  in  lieu  thereof,  in 
its  discretion,  order  such  notice  to  be  given  by  publication  in  a  news- 
paper or  newspapers,  to  all  such  creditors  whose  claims,  as  reported,  do 
not  exceed  the  sums,  respectively,  of  fifty  dollars." 

Sec  6.  That  the  first  clause  of  section  twenty  of  said  act  be  amended 
by  adding,  at  the  end  thereof,  the  words  "or  in  cases  of  compulsory  bank- 
ruptcy, after  the  act  of  bankruptcy  upon  or  in  respect  of  which  the  ad- 
judication shall  be  made,  and  with  a  view  of  making  such  set-off." 

Sec  7.  That  section  twenty-one  of  said  act  be  amended  by  inserting 
the  following  words  in  line  six,  immediately  after  "thereby" :  "But  a 
creditor  proving  his  debt  or  claim  shall  not  be  held  to  have  waived  his 
right  of  action  or  suit  against  the  bankrupt  where  a  discharge  has  been 
refused  or  the  proceedings  have  been  determined  without  a  discharge." 

Sec  8.  That  the  following  words  shall  be  added  to  section  twenty- 
six  of  said  act:  "That  in  all  causes  and  trials  arising  or  ordered  under 
this  act,  the  alleged  bankrupt,  and  any  party  thereto,  shall  be  a  competent 
witness." 

Sec  9.  That  in  cases  of  compulsory  or  involuntary  bankruptcy,  the 
provisions  of  said  act,  and  any  amendment  thereof,  or  of  any  supple- 
ment thereto,  requiring  the  payment  of  any  proportion  of  the  debts  of 
the  bankrupt,  or  the  assent  of  any  portion  of  his  creditors,  as  a  condition 
of  his  discharge  from  his  debts,  shall  not  apply;  but  he  may,  if  other- 
wise entitled  thereto,  be  discharged  by  the  court  in  the  same  manner 
and  with  the  same  effect  as  if  he  had  paid  such  per  centum  of  his  dd)ts. 


FORMER  BANKRUPTCY  ACTS.  495 

or  as  if  the  required  proportion  of  his  creditors  had  assented  thereto. 
And  in  cases  of  voluntary  bankruptcy,  no  discharge  shall  be  granted  to 
a  debtor  whose  assets  shall  not  be  equal  to  thirty  per  centum  of  the 
claims  proved  against  his  estate,  upon  which  he  shall  be  liable  as  principal 
debtor,  without  the  assent  of  at  least  one-fourth  of  his  creditors  in  num- 
ber, and  one-third  in  value;  and  the  provision  in  section  thirty-three  of 
said  act  of  March  second,  eighteen  hundred  and  sixty-seven,  requiring 
fifty  per  centum  of  such  assets,  is  hereby  repealed. 

Sec  10.  That  in  cases  of  involuntary  or  compulsory  bankruptcy,  the 
period  of  four  months  mentioned  in  section  thirty-five  of  the  act  to  which 
this  is  an  amendment  is  hereby  changed  to  two  months;  but  this  pro- 
vision shall  not  take  effect  until  two  months  after  the  passage  of  this 
act.  And  in  the  cases  aforesaid,  the  period  of  six  months  mentioned 
in  said  section  thirty-five,  is  h'^reby  changed  to  three  months;  but  this 
provision  shall  not  take  effect  until  three  months  after  the  passage  of 
this  act. 

Sec.  11.  That  section  thirty-five  of  said  act  be,  and  the  same  is  hereby, 
amended  as  follows: 

First.  After  the  word  "and"  in  line  eleven,  insert  the  word 
"knowing." 

Secondly.  After  the  word  "attachment,"  in  the  same  line,  insert  the 
words  "sequestration,  seizure." 

Thirdly.  After  the  word  "and,"  in  line  twenty,  insert  the  word  "know- 
ing." And  nothing  in  said  section  thirty-five  shall  be  construed  to  in- 
validate any  loan  of  actual  value,  or  the  security  therefor,  made  in  good 
faith,  upon  a  security  taken  in  good  faith  on  the  occasion  of  the  making 
of  such  loan. 

Sec.  12.  That  section  thirty-nine  of  said  act  of  March  second,  eigh- 
teen hundred  and  sixty-seven,  be  amended  so  as  to  read  as  follows: 

"Sec.  39.  That  any  person  residing,  and  owing  debts,  as  aforesaid 
who,  after  the  passage  of  this  act,  shall  depart  from  the  State,  District, 
or  Territory  of  which  he  is  an  inhabitant,  with  intent  to  defraud  his 
creditors;  or,  being  absent,  shall,  with  such  intent,  remain  absent;  or 
shall  conceal  himself  to  avoid  the  service  of  legal  process  in  any  action 
for  the  recovery  of  a  debt  or  demand  provable  under  this  act;  or  shall 
conceal  or  remove  any  of  his  property  to  avoid  its  being  attached,  taken, 
or  sequestered  on  legal  process;  or  shall  make  any  assignment,  gift,  sale, 
conveyance,  or  transfer  of  his  estate,  property,  rights,  or  credits,  either 
within  the  United  States  or  elsewhere,  with  intent  to  delay,  defraud,  or 
hinder  his  creditors ;  or  who  has  been  arrested  and  held  in  custody  under 
or  by  virtue  of  mesne  process  or  execution,  issued  out  of  any  court  of 
the  United  States  or  of  any  State,  District,  or  Territory  within  which 


496  FORMER  BANKRUPTCY  ACTS. 

such  debtor  resides  or  has  property,  founded  upon  a  demand  in  its  nature 
provable  against  a  bankrupt's  estate  under  this  act,  and  for  a  sum  ex- 
ceeding one  hundred  dollars,  and  such  process  is  remaining  in  force  and 
not  discharged  by  payment,  or  in  any  other  manner  provided  by  the  law 
of  the  United  States  or  of  such  State,  District,  or  Territory,  applicable 
thereto,  for  a  period  of  twenty  days,  or  has  been  actually  imprisoned 
for  more  than  twenty  days  in  a  civil  action  founded  on  contract  for  the 
sum  of  one  hundred  dollars  or  upward;  or  who,  being  bankrupt  or  in- 
solvent, or  in  contemplation  of  bankruptcy  or  insolvency,  shall  make  any 
payment,  gift,  grant,  sale,  conveyance,  or  transfer  of  money  or  other 
property,  estate,  rights,  or  credits,  or  confess  judgment,  or  give  any 
warrant  to  confess  judgment,  or  procure  his  property  to  be  taken  on 
legal  process,  with  intent  to  give  a  preference  to  one  or  more  of  his 
creditors,  or  to  any  person  or  persons  who  are  or  may  be  liable  for  him 
as  indorsers,  bail,  sureties,  or  otherwise,  or  with  the  intent,  by  such  dis- 
position of  his  property,  to  defeat  or  delay  the  operation  of  this  act;  or 
who,  being  a  bank,  banker,  broker,  merchant,  trader,  manufacturer,  or 
miner,  has  fraudulently  stopped  payment,  or  who  being  a  bank,  banker, 
broker,  merchant,  trader,  manufacturer,  or  miner,  has  stopped  or  sus- 
pended and  not  resumed  payment,  within  a  period  of  forty  days,  of  his 
commercial  paper  (made  or  passed  in  the  course  of  his  business  as  such), 
or  who,  being  a  bank  or  banker,  shall  fail  for  forty  days  to  pay  any 
depositor  upon  demand  of  payment  lawfully  made,  shall  be  deemed  to 
have  committed  an  act  of  bankruptcy,  and,  subject  to  the  conditions  here- 
inafter prescribed,  shall  be  adjudged  a  bankrupt  on  the  petition  of  one  or 
more  of  his  creditors,  who  shall  constitute  one-fourth  thereof,  at  least,  in 
number,  and  the  agreegate  of  whose  debts  provable  under  this  act 
amounts  to  at  least  one-third  of  the  debts  so  provable:  Provided,  That 
such  petition  is  brought  within  six  months  after  such  act  of  bankruptcy 
shall  have  been  committed.  And  the  provisions  of  this  section  shall 
apply  to  all  cases  of  compulsory  or  involuntary  bankruptcy  commenced 
since  the  first  day  of  December,  eighteen  hundred  and  seventy-three, 
as  well  as  to  those  commenced  hereafter.  And  in  all  cases  commenced 
since  the  first  day  of  December,  eighteen  hundred  and  seventy-three, 
and  prior  to  the  passage  of  this  act,  as  well  as  those  commenced  here- 
after, the  court  shall,  if  such  allegation  as  to  the  number  or  amount  of 
petitioning  creditors  be  denied  by  the  debtor,  by  a  statement  in  writing 
to  that  effect,  require  him  to  file  in  court  forthwith  a  full  list  of  his 
creditors,  with  their  places  of  residence  and  the  sums  due  them  respect- 
ively, and  shall  ascertain,  upon  reasonable  notice  to  the  creditors, 
whether  one-fourth  in  number  and  one-third  in  amount  thereof,  as  afore- 
said, have  petitioned  that  the  debtor  be  adjudged  a  bankrupt.  But  if 
such  debtor  shall,  on  the  filing  of  the  petition,  admit  in  writing  that  the 
requisite  number  and  amount  of  creditors  have  petitioned,  the  court  (if 


FORMER  BANKRUPTCY  ACTS.  497 

satisfied  that  the  admission  was  made  in  good  faith,)  shall  so  adjudge, 
which  judgment  shall  be  final,  and  the  matter  proceed  without  fur- 
ther steps  on  that  subject.  And  if  it  shall  appear  that  such  num- 
ber and  amount  have  not  so  petitioned,  the  court  shall  grant  rea- 
sonable time,  not  exceeding,  in  cases  heretofore  commenced,  twenty 
days,  and,  in  cases  hereafter  commenced,  ten  days,  within  which 
other  creditors  may  join  in  such  petition.  And  if,  at  the  expiration 
of  such  time  so  limited,  the  number  and  amount  shall  comply  with 
the  requirements  of  this  section,  the  matter  of  bankruptcy  may  proceed; 
but  if,  at  the  expiration  of  such  limted  time,  such  number  and  amount 
shall  not  answer  the  requirements  of  this  section,  the  proceedings  shall 
be  dismissed,  and,  in  cases  hereafter  commenced,  with  costs.  And  if 
such  person  shall  be  adjudged  a  bankrupt,  the  assignee  may  recover 
back  the  money  or  property  so  paid,  conveyed,  sold,  assigned,  or  trans- 
ferred contrary  to  this  act:  Provided,  That  the  person  receiving  such 
payment  or  conveyance  had  reasonable  cause  to  believe  that  the  debtor 
was  insolvent,  and  knew  that  a  fraud  on  this  act  was  intended;  and 
such  person,  if  a  creditor,  shall  not,  in  cases  of  actual  fraud  on  his  part, 
be  allowed  to  prove  for  more  than  a  moiety  of  his  debt;  and  this  limita- 
tion on  the  proof  of  debts  shall  apply  to  cases  of  voluntary  as  well  as 
involuntary  bankruptcy.  And  the  petition  of  creditors  under  this  sec- 
tion may  be  sufficiently  verified  by  the  oaths  of  the  first  five  signers 
thereof,  if  so  many  there  be.  And  if  any  of  said  first  five  signers  shall 
not  reside  in  the  district  in  which  such  petition  is  to  be  filed,  the  same 
may  be  signed  and  verified  by  the  oath  or  oaths  of  the  attorney  or 
attorneys,  agent  or  agents,  of  such  signers.  And  in  computing  the  num- 
ber of  creditors,  as  aforesaid,  who  shall  join  in  such  petition,  creditors 
whose  respective  debts  do  not  exceed  two  hundred  and  fifty  dollars 
shall  not  be  reckoned.  But  if  there  be  no  creditors  whose  debts  exceed 
said  sum  of  two  hundred  and  fifty  dollars,  or  if  the  requisite  number  of 
creditors  holding  debts  exceeding  two  hundred  and  fifty  dollars  fail  to 
sign  the  petition,  the  creditors  having  debts  of  a  less  amount  shall  be 
reckoned  for  the  purposes  aforesaid". 

Sec.  13.  That  section  forty  of  said  act  be  amended  by  adding  at  the 
end  thereof  the  following  words:  "And  if,  on  the  return-day  of  the 
order  to  show  cause  as  aforesaid,  the  court  shall  be  satisfied  that  the 
requirement  of  section  thirty-nine  of  said  act  as  to  the  number  and 
amount  of  petitioning  creditors  has  been  complied  with,  or  if,  within  the 
time  provided  for  in  section  thirty-nine  of  this  act,  creditors  sufficient 
in  number  and  amount  shall  sign  such  petition  so  as  to  make  a  total  of 
one-fou»th  in  number  of  the  creditors  and  one-third  in  the  amount  of 
the  provable  debts  against  the  bankrupt,  as  provided  in  said  section, 
the  court  shall  so  adjudge,  which  judgment  shall  be  final;  otherwise  it 


498  FORMER  BANKRUPTCY  ACTS. 

shall  dismiss  the  proceedings,  and,  in  cases  hereafter  commenced,  with 
costs." 

Sec.  14.  That  section  forty-one  of  said  act  be  amended  as  follows: 
After  the  word  "bankruptcy,"  in  line  eight,  strike  out  all  of  said  section 
and  insert  the  words,  "Or,  at  the  election  of  the  debtor,  the  court  may,  in 
its  discretion,  award  a  venire  facias  to  the  marshal  of  the  district,  return- 
able within  ten  days  before  him  for  the  trial  of  the  facts  set  forth  in  the 
petition,  at  which  time  the  trial  shall  be  had,  unless  adjourned  for  cause. 
And  unless,  upon  such  hearing  or  trial,  it  shall  appear  to  the  satisfaction 
of  said  court,  or  of  the  jury,  as  the  case  may  be,  that  the  facts  set  forth  in 
said  petition  are  true,  or  if  it  shall  appear  that  the  debtor  has  paid  and 
latisfied  all  liens  upon  his  property,  in  case  the  existence  of  such  liens 
was  the  sole  ground  of  the  proceedings,  the  proceedings  shall  be  dismissed, 
and  the  respondent  shall  recover  costs;  and  all  proceedings  in  bank- 
ruptcy may  be  discontinued  on  reasonable  notice  and  hearing,  with  the 
approval  of  the  court,  and  upon  the  assent,  in  writing,  of  such  debtor, 
and  not  less  than  one-half  of  his  creditors  in  number  and  amount;  or, 
in  case  all  the  creditors  and  such  debtor  assent  thereto,  such  discontinu- 
ance shall  be  ordered  and  entered;  and  all  parties  shall  be  remitted,  in 
either  case,  to  the  same  rights  and  duties  existing  at  the  date  of  the 
filing  of  the  petition  for  bankruptcy,  except  so  far  as  such  estate  shall 
have  been  already  administered  and  disposed  of.  And  the  court  shall 
have  the  power  to  make  all  needful  orders  and  decrees  to  carry  the  fore- 
going provision  into  effect". 

Sec  15.  That  section  eleven  of  said  act  be  amended  by  inserting  the 
words  "and  valuation"  after  the  word  "inventory"  in  the  twenty-first 
line;  and  that  section  forty-two  of  said  act  be  amended  by  inserting 
the  words  "and  valuation"  after  the  word  "inventory"  in  the  fifteenth 
line. 

Sec.  16.  That  section  forty-nine  of  said  act  be  amended  by  striking 
out  after  the  word  "the"  in  line  five,  the  words  "supreme  courts",  and 
inserting  in  lieu  thereof  "district  courts,"  and  in  line  six,  after  the  word 
"States",  inserting  the  words  "subject  to  the  general  superintendence 
and  jurisdiction  conferred  upon  circuit  courts  by  section  two  of  said  act." 

COMPOSITION  WITH  CREDITORS. 

Sec.  17.  That  the  following  provisions  be  added  to  section  forty-three 
of  said  act :  That  in  all  cases  of  bankruptcy  now  pending,  or  to  be  here- 
after pending,  by  or  against  any  person,  whether  an  adjudication  in 
bankruptcy  shall  have  been  had  or  not,  the  creditors  of  such  alleged 
bankrupt  may,  at  a  meeting  called  under  the  direction  of  the  court,  and 
upon  not  less  than  ten  days'  lotice  to  each  known  creditor  of  the  time, 
places  and  purpose  of  such  meeting,  such  notice  to  be  personal  or  other- 


FORMER  BANKRUPTCY  ACTS.  499 

wise,  as  the  court  may  direct,  resolve  that  a  composition  proposed  by 
the  debtor  shall  be  accepted  in  satisfaction  of  the  debts  due  to  them 
from  the  debtor.  And  such  resolution  shall,  to  be  operative,  have  been 
passed  by  a  majority  in  number  and  three-fourths  in  value  of  the  credi- 
tors of  the  debtor  assembled  at  such  meeting  either  in  person  or  by 
proxy,  and  shall  be  confirmed  by  the  signatures  thereto  of  the  debtor 
and  two-thirds  in  number  and  one-half  in  value  of  all  the  creditors  of 
the  debtor.  And  in  calculating  a  majority  for  the  purposes  of  a  compo- 
sition under  this  section,  creditors  whose  debts  amount  to  sums  not 
exceeding  fifty  dollars  shall  be  reckoned  in  the  majority  in  value,  but 
not  in  the  majority  in  number;  and  the  value  of  the  debts  of  secured 
creditors  above  the  amount  of  such  security,  to  be  determined  by  the 
court,  shall,  as  nearly  as  circumstances  admit,  be  estimated  in  the  same 
way.  And  creditors  whose  debts  are  fully  secured  shall  not  be  entitled 
to  vote  upon  or  to  sign  such  resolution  without  first  relinquishing  such 
security  for  the  benefit  of  the  estate. 

The  debtor,  unless  prevented  by  sickness  or  other  cause  satisfactory 
to  such  meeting,  shall  be  present  at  the  same,  and  shall  answer  any  in- 
quiries made  of  him;  and  he,  or,  if  he  is  so  prevented  from  being  at 
such  meeting,  some  one  in  his  behalf,  shall  produce  to  the  meeting  a 
statement  showing  the  whole  of  his  assets  and  debts,  and  the  names 
and  addresses  of  the  creditors  to  whom  such  debts  respectively  are  due 

Such  resolution,  together  with  the  statement  of  the  debtor  as  to  his 
assets  and  debts,  shall  be  presented  to  the  court;  and  the  court  shall, 
upon  notice  to  all  the  creditors  of  the  debtor  of  not  less  than  five  days, 
and  upon  hearing,  inquire  whether  such  resolution  has  been  passed  in 
the  manner  directed  by  this  section;  and  if  satisfied  that  it  has  been  so 
passed,  it  shall,  subject  to  the  provisions  hereinafter  contained,  and 
upon  being  satisfied  that  the  same  is  for  the  best  interest  of  all  con- 
cerned, cause  such  resolution  to  be  recorded  and  statement  of  assets  and 
debts  to  be  filed;  and  untir  such  record  and  filing  shall  have  taken 
place,  such  resolution  shall  be  of  no  validity.  And  any  creditor  of  the 
debtor  may  inspect  such  record  and  statement  at  all  reasonable  times. 

The  creditors  may,  by  resolution  passed  in  the  manner  and  under  the 
circumstances  aforesaid,  add  to,  or  vary  the  provisions  of,  any  composi- 
tion previously  accepted  by  them,  without  prejudice  to  any  persons 
taking  interests  under  such  provisions  who  do  not  assent  to  such  addi- 
tion or  variation.  And  any  such  additional  resolution  shall  be  pre- 
sented to  the  court  in  the  same  manner  and  proceeded  with  in  the  same 
way  and  with  the  same  consequences  as  the  resolution  by  which  the 
composition  was  accepted  in  the  first  instance.  The  provisions  of  a 
composition  accepted  by  such  resolution  in  pursuance  of  this  section 
shall  be  binding  on  all  the  creditors  whose  names  and  addresses  and 


600  FORMER  BANKRUPTCY  ACTS. 

the  amounts  of  the  debts  due  to  whom  are  shown  in  the  statement  of 
the  debtor  produced  at  the  meeting  at  which  the  resolution  shall  have 
bcMi  passed,  but  shall  not  affect  or  prejudice  the  rights  of  any  other 
creditors. 

Where  a  debt  arises  on  a  bill  of  exchange  or  promissory  note,  if  the 
debtor  shall  be  ignorant  of  the  holder  of  any  such  bill  of  exchange  or 
promissory  note,  he  shall  be  required  to  state  the  amount  of  such  bill 
or  note,  the  date  on  which  it  falls  due,  the  name  of  the  acceptor  and 
of  the  person  to  whom  it  is  payable,  and  any  other  particulars  within 
his  knowledge  respecting  the  same;  and  the  insertion  of  such  particulars 
shall  be  deemed  a  su£&cient  description  by  the  debtor  in  respect  to  such 
debt 

Any  mistake  made  inadvertently  by  a  debtor  in  the  statement  of  his 
debts  may  be  corrected  upon  reasonable  notice,  and  with  the  consent  of 
a  general  meeting  of  his  creditors. 

Every  such  composition  shall,  subject  to  priorities  declared  in  said  act, 
provide  for  a  pro-rata  payment  or  satisfaction,  in  money,  to  the  creditors 
of  such  debtor  in  proportion  to  the  amount  of  their  unsecured  debts,  or 
their  debts  in  respect  to  which  any  such  security  shall  have  been  duly 
surrendered  and  given  up. 

The  provisions  of  any  composition  made  in  pursuance  of  this  section 
may  be  enforced  by  the  court,  on  motion  made  in  a  summary  manner  by 
any  person  interested,  and  on  reasonable  notice;  and  any  disobedience 
of  the  order  of  the  court  made  on  such  motion  shall  be  deemed  to  be 
a  contempt  of  court.  Rules  and  regulations  of  court  may  be  made  in 
relation  to  proceedings  of  composition  herein  provided  for  in  the  same 
manner,  and  to  the  same  extent  as  now  provided  by  law  in  relation  to 
proceedings  in  bankruptcy. 

If  it  shall  at  any  time  appear  to  the  court,  on  notice,  satisfactory 
evidence,  and  hearing,  that  a  composition  under  this  section  cannot,  in 
consequence  of  legal  difficulties,  or  for  any  sufficient  cause,  proceed  with- 
out injustice  or  undue  delay  to  the  creditors  or  to  the  debtor,  the  court 
may  refuse  to  accept  and  confirm  such  composition,  or  may  set  the  same 
aside ;  and,  in  either  case,  the  debtor  shall  be  proceeded  with  as  a  bankrupt 
in  conformity  with  the  provisions  of  law,  and  proceedings  may  be  had 
accordingly;  and  the  time  during  which  such  composition  shall  have  been 
in  force  shall  not,  in  such  case,  be  computed  in  calculating  periods  of 
time  prescribed  by  said  act. 

Sec.  18.  That  from  and  after  the  passage  of  this  act  the  fees,  com- 
missions, charges,  and  allowances,  excepting  actual  and  necessary  dis- 
bursements, of,  and  to  be  made  by  the  officers,  agents,  marshals,  mes- 
sengers, assignees,  and  registers  in  cases  of  bankruptcy,  shall  be  reduced 


FORMER  BANKRUPTCY  ACTS.  501 

to  one-half  of  the  fees,  commissions,  charges,  and  allowances  heretofore 
provided  for  or  made  in  like  cases:  Provided,  That  the  preceding  pro- 
vision shall  be  and  remain  in  force  until  the  justices  of  the  Supreme 
Court  of  the  United  States  shall  make  and  promulgate  new  rules  and 
regulations  in  respect  to  the  matters  aforesaid,  under  the  powers  con- 
ferred upon  them  by  sections  ten  and  forty-seven  of  said  act,  and  no 
longer,  which  duties  they  shall  perform  as  soon  as  may  be.  And  said 
justices  shall  have  power  under  said  sections,  by  general  regulations,  to 
simplify,  and,  so  far  as  in  their  judgment  will  conduce  to  the  benefit 
of  creditors,  to  consolidate  the  duties  of  the  register,  assignee,  marshal, 
and  clerk,  and  to  reduce  fees,  costs,  and  charges,  to  the  end  that  prolixity, 
delay,  and  unnecessary  expense  may  be  avoided.  And  no  register  or  clerk 
of  court,  or  any  partner  or  clerk  of  such  register  or  clerk  of  court,  or  any 
person  having  any  interest  with  either  in  any  fees  or  emoluments  in  bank- 
ruptcy or  with  whom  such  register  or  clerk  of  court  shall  have  any  in- 
terest in  respect  to  any  matter  in  bankruptcy,  shall  be  of  counsel,  solicitor, 
or  attorney,  either  in  or  out  of  court,  in  any  suit  or  matter  pending  in 
bankruptcy  in  either  the  circuit  or  district  court  of  his  district,  or  in  an 
appeal  therefrom.  Nor  shall  they,  or  either  of  them,  be  executor,  admin- 
istrator, guardian,  commissioner,  appraiser,  divider,  or  assignee  of  or  upon 
any  estate  within  the  jurisdiction  of  either  of  said  courts  of  bankruptcy; 
nor  be  interested,  directly  or  indirectly,  in  the  fees  or  emoluments  aris- 
ing from  either  of  said  trusts.  And  the  words  "except  such  as  are 
established  by  this  act  or  by  law,"  in  section  ten  of  said  act,  are  hereby 
repealed. 

Sec.  19.  That  it  shall  be  the  .duty  of  the  marshal  of  each  district,  in 
the  month  of  July  of  each  year,  to  report  to  the  clerk  of  the  district 
court  of  such  district,  in  a  tabular  form,  to  be  prescribed  by  the  justices 
of  the  Supreme  Court  of  the  United  States,  as  well  as  such  other  or 
further  information  as  may  be  required  by  said  justices. 

First,  the  number  of  cases  in  bankruptcy  in  which  the  warrant  pre- 
scribed in  section  eleven  of  said  act  has  come  to  his  hands  during  the 
year  ending  June  thirtieth,  preceding; 

Secondly,  how  many  such  warrants  were  returned,  with  the  fees,  costs, 
expenses,  and  emoluments  thereof,  respectively  and  separately; 

Thirdly,  the  total  amount  of  all  other  fees,  costs,  expenses,  and  emolu- 
ments, respectively  and  separately,  earned  or  received  by  him  during  such 
year  from  or  in  respect  of  any  matter  in  bankruptcy; 

Fourthly,  a  summarized  statement  of  such  fees,  costs,  and  emoluments, 
exclusive  of  actual  disbursements  in  bankruptcy,  received  or  earned  for 
such  year; 

Fifthly,  a  summarized  statement  of  all  actual  disbursements  in  such 
cases  for  such  year. 


502  FORMER  BANKRUPTCP  ACTS. 

And  in  like  manner,  every  register  shall,  in  the  same  month  and  for 
the  same  year,  make  a  report  to  such  clerk  of, 

First,  the  number  of  voluntary  cases  in  bankruptcy  coming  before  him 
during  said  year; 

Secondly,  the  amount  of  assets  and  liabilities,  as  nearly  as  may  be,  of 
the  bankrupts; 

Thirdly,  the  amount  and  rate  per  centum  of  all  dividends  declared; 

Fourthly,  the  disposition  of  all  such  cases; 

Fifthly,  the  number  of  compulsory  cases  in  bankruptcy  coming  before 
him,  in  the  same  way; 

Sixthly,  the  amount  of  assets  and  liabilities,  as  nearly  as  may  be,  of 
such  bankrupt; 

Seventhly,  the  disposition  of  all  such  cases; 

Eighthly,  the  amounts  and  rate  per  centum  of  all  dividends  declared 
in  such  cases; 

Ninthly,  the  total  amount  of  fees,  charges,  costs,  and  emoluments  of 
every  sort,  received  or  earned  by  such  register  during  said  year  in  each 
class  of  cases  above  stated. 

And  in  like  manner,  every  assignee  shall,  during  said  month,  make 
like  return  to  such  clerk  of, 

First,  the  number  of  voluntary  and  compulsory  cases,  respectively  and 
separately,  in  his  charge  during  said  year; 

Secondly,  the  amount  of  assets  and  liabilities  therein,  respectively  and 
separately ; 

Thirdly,  the  total  receipts  and  disbursements  therein,  respectively  and 
separately ; 

Fourthly,  the  amount  of  dividends  paid  or  declared,  and  the  rate  per 
centum  thereof,  in  each  class,  respectively  and  separately; 

Fifthly,  the  total  amount  of  all  his  fees,  charges,  and  emoluments,  of 
every  kind  therein,  earned  or  received; 

Sixthly,  the  total  amount  of  expenses  incurred  by  him  for  legal  pro- 
ceedings and  counsel  fees; 

Seventhly,  the  disposition  of  the  cases  respectively; 

Eighthly,  a  summarized  statement  of  both  classes  as  aforesaid. 

And  in  like  manner,  the  clerk  of  said  court,  in  the  month  of  August 
in  each  year,  shall  make  up  a  statement  for  such  year,  ending  June 
thirtieth,   of, 

First,  all  cases  in  bankruptcy  pending  at  the  beginning  of  the  said 
year; 


FORMER  BANKRUPTCY  ACTS.  503 

Secondly,  all  of  such  cases  disposed  of; 

Thirdly,  all  dividends  declared  therein; 

Fourthly,  the  number  of  reports  made  from  each  assignee  therein; 

Fifthly,  the  disposition  of  all  such  cases; 

Sixthly,  the  number  of  assignees'  accounts  filed  and  settled; 

Seventhly,  whether  any  marshal,  register,  or  assignee  has  failed  to 
make  and  file  with  such  clerk  the  reports  by  this  act  required,  and, 
if  any  have  failed  to  make  such  reports,  their  respective  names  and 
residences. 

And  such  clerk  shall  report  in  respect  of  all  cases  begun  during  said 
year. 

And  he  shall  make  a  classified  statement,  in  tabular  form,  of  all  his 
fees,  charges,  costs,  and  emoluments,  respectively,  earned  or  accrued  dur- 
ing said  year,  giving  each  head  under  which  the  same  accrued,  and  also 
the  sum  of  all  moneys  paid  into  and  disbursed  out  of  court  in  bankruptcy, 
and  the  balance  in  hand  or  on  deposit. 

And  all  the  statements  and  reports  herein  required  shall  be  under 
oath,  and  signed  by  the  persons  respectively  making  the  same. 

And  said  clerk  shall,  in  said  month  of  August,  transmit  every  such 
statement  and  report  so  filed  with  him,  together  with  his  own  statement 
and  report  aforesaid,  to  the  Attorney  General  of  the  United  States. 

Any  person  who  shall  violate  the  provisions  of  this  section  shall,  on 
motion  made,  under  the  direction  of  the  Attorney  General,  be  by  the 
district  court  dismissed  from  his  office,  and  shall  be  deemed  guilty  of  a 
misdemeanor,  and,  on  conviction  thereof,  be  punished  by  a  fine  of  not 
more  than  five  hundred  dollars,  or  by  imprisonment  not  exceeding  one 
year. 

Sec.  20.  That  in  addition  to  the  officers  now  authorized  to  take  proof 
of  debts  against  the  estate  of  a  bankrupt,  notaries  public  are  hereby 
authorized  to  take  such  proof,  in  the  manner  and  under  the  regulations 
provided  by  law ;  such  proof  to  be  certified  by  the  notary  and  attested  by 
his  signature  and  official  seal. 

Sec  21.  That  all  acts  and  parts  of  acts  inconsistent  with  the  pro- 
visions of  this  act  be,  and  the  same  are  hereby,  repealed. 

AMENDMENT  OF  APRIL  14tH,   1876. 

An  act  concerning  cases  in  bankruptcy  commenced  in  the  supreme 
courts  of  the  several  Territories  prior  to  the  twenty-second  day  of  June, 
eighteen  hundred  and  seventy-four,  and  now  undetermined  therein. 

Be  it  enacted  by  the  Senate  and  House  of  Representatives  of  the 
United  States  of  America  in  Congress  assembled,  That  in  all  cases  in 


504  FORMER  BANKRUPTCY  ACTS* 

bankruptcy  commenced  in  the  supreme  courts  of  any  of  the  Territories 
of  the  United  States  prior  to  the  twenty-second  day  of  June,  Anno 
Domini  eighteen  hundred  and  seventy-four,  and  now  undetermined  there- 
in, the  clerks  of  the  said  several  courts  shall  immediately  transmit  to 
the  clerks  of  the  district  courts  of  the  several  districts  of  said  Territories 
all  the  papers  in,  and  a  certified  transcript  of,  all  the  proceedings  had  in 
each  of  said  cases;  and  the  said  clerks  of  the  district  courts  shall  im- 
mediately file  the  said  papers  and  transcripts  as  papers  and  transcripts  in 
the  said  district  courts. 

Sec.  2.  That  the  clerks  of  the  said  several  supreme  courts  shall  trans- 
mit the  papers  and  transcripts  provided  for  in  section  one  of  this  act, 
in  each  case,  to  the  clerk  of  the  district  court  of  the  district  wherein  the 
bankrupt  or  bankrupts,  or  some  one  of  them,  resided  at  the  time  of  the 
filing  of  the  petition  in  bankruptcy  in  said  case;  and  as  soon  as  the  said 
papers  and  transcript  in  any  case  shall  have  been  transmitted  and  filed, 
as  herein  provided,  the  district  court  in  which  the  same  shall  have  been 
so  filed  shall  have  jurisdiction  of  the  said  case,  to  hear  and  determine 
all  questions  arising  therein,  and  to  finally  adjudicate  and  determine  the 
same  in  all  respects  as  contemplated  in  other  bankruptcy  cases  by  the  act 
entitled,  "An  act  to  establish  a  uniform  system  of  bankruptcy  throughout 
the  United  States,"  and  approved  March  second,  eighteen  hundred  and 
sixty-seven,  and  amendments  thereto. 

Approved,  April  14,  1876. 

Amendment  of  July  2Gth,  1878. 

An  act  to  amend  the  act  entitled,  "An  act  to  amend  and  supplement 
an  act  entitled,  'An  act  to  establish  a  uniform  system  of  bankruptcy 
throughout  the  United  States'  approved  March  second,  eighteen  hundred 
and  sixty-seven,  and  for  other  purposes,"  approved  June  twenty-second, 
eighteen  hundred  and  seventy-four. 

Be  it  enacted  by  the  Senate  and  House  of  Representatives  of  the 
United  States  of  America  in  Congress  assembled,  That  section  twelve  of 
said  act  be,  and  the  same  is  hereby,  amended  as  follows:  After  the 
word  "committed,"  in  line  forty-four,  insert:  "Provided  also.  That  no 
voluntary  assignment  by  a  debtor  or  debtors  of  all  his  or  their  property, 
heretofore  or  hereafter  made  in  good  faith  for  the  benefit  of  all  his  or 
their  creditors,  ratably  and  without  creating  any  preference,  and  valid 
according  to  the  law  of  the  State  where  made,  shall  of  itself,  in  the 
event  of  his  or  their  being  subsequently  adjudicated  bankrupts  in  a  pro- 
ceeding of  involuntary  bankruptcy,  be  a  bar  to  the  discharge  of  such 
debtor  or  debtors."  That  section  fifty-one  hundred  and  eight  of  the 
Revised  Statutes  is  hereby  amended  so  as  to  read  as  follows:  At  any 
time  after  the  expiration  of  six  months  from  the  adjudication  of  bank- 


FORMER  BANKRUPTCY  ACTS.  505 

ruptcy,  or  if  no  debts  have  been  proved  against  the  bankrupt,  or  if  no 
assets  have  come  to  the  hands  of  the  assignee,  at  any  time  after  the  - 
expiration  of  sixty  days,  and  before  the  final  disposition  of  the  cause, 
the  bankrupt  may  apply  to  the  court  for  a  discharge  from  his  debts. 
This  section  shall  apply  in  all  cases  heretofore  or  hereafter  commenced. 
Approved,  July  26,  1876. 

Repealing  Act  of  June  7th,  1878. 

An  act  to  repeal  the  bankrupt  law. 

Be  it  enacted  by  the  Senate  and  House  of  Representatives  of  the 
United  States  of  America  in  Congress  assembled,  That  the  bankrupt  law 
approved  March  second,  eighteen  hundred  and  sixty-seven,  title  sixty-one. 
Revised  Statutes,  and  an  act  entitled,  "An  act  to  amend  and  supplement 
an  act  entitled.  An  act  to  establish  a  uniform  system  of  bankruptcy 
throughout  the  United  States,  approved  March  second,  eighteen  hundred 
and  sixty-seven,  and  for  other  purposes,  approved  June  twenty-second, 
eighteen  hundred  and  seventy-four,"  and  all  acts  in  amendment  or  supple- 
mentary thereto  or  in  explanation  thereof,  be,  and  the  same  are  hereby, 
repealed:  Provided,  however,  That  such  repeal  shall  in  no  manner  in- 
validate or  affect  any  case  in  bankruptcy  instituted  and  pending  in  any 
court  prior  to  the  day  when  this  act  shall  take  effect;  but  as  to  all  such 
pending  cases  and  all  future  proceedings  therein,  and  in  respect  of  all 
pains,  penalties,  and  forfeitures  which  shall  have  been  incurred  under 
any  of  said  acts  prior  to  the  day  when  this  act  takes  effect,  or  which 
may  be  thereafter  incurred,  under  any  of  those  provisions  of  any  of 
said  acts  which,  for  the  purposes  named  in  this  act,  are  kept  in  force, . 
and  all  penal  actions  and  criminal  proceedings  for  a  violation  of  any  of 
said  acts,  whether  then  pending  or  thereafter  instituted,  and  in  respect 
of  all  rights  of  debtors  and  creditors  (except  the  right  of  commencing 
original  proceedings  in  bankruptcy),  and  all  rights  of,  and  suits  by,  or 
against  assignees,  under  any,  or  all  of  said  acts,  in  any  matter  or  case 
which  shall  have  arisen  prior  to  the  day  when  this  act  takes  effect 
(which  shall  be  on  the  first  day  of  September,  Anno  Domini  eighteen 
hundred  and  seventy-eight),  or  in  any  matter  or  case  which  shall  arise 
after  this  act  takes  effect,  in  respect  of  any  matter  of  bankruptcy  author- 
ized by  this  act  to  be  proceeded  with  after  said  last-named  day,  the 
acts  hereby  repealed  shall  continue  in  full  force  and  effect  until  the  same 
shall  be  fully  disposed  of,  in  the  same  manner  as  if  said  acts  had  not 
been  repealed. 


506  JUDGES,  CLERKS  AND  REFEREES. 

COURTS  OF  UNITED  STATES  WITH  BANKRUPTCY 
JURISDICTION. 

United  States  Supreme  Court. 

Chief  Justice. 
Melville  W.  Fuller. 

Associate  Justices. 

John  M.  Harlan.  William  R.  Day. 

Oliver  W.  Holmes.  Edward  D.  White. 

David  J.  Brewer.  Rufus  W.  Peckham. 

Henry  B.  Brown.  Joseph  McKenna 

Clerk. 
James  H.  McKenney,  Washington,  D.  C. 

Circuit   Courts   of   Appeals   of   the    United   States. 

The  act  of  March  3,  1891,  Sec.  1  Sup.  Rev.  St.  U.  S.,  901,  creates  in 
each  of  the  nine  judicial  circuits,  into  which  the  United  States  is  divided, 
a  Circuit  Court  of  Appeals  and  determines  the  juridsiction.  This  act 
has  been  amended  July  16,  1892,  2  Sup.  Rev.  St.  of  U.  S.,  40,  by  abolish- 
ing the  office  of  marshal  and  providing  that  duties  of  marhsals  be  perf- 
formed  by  United  States  marhsals.  Act  of  Feb.  18th,  1895,  2  Sup.  Rev. 
Stat.  U.  S.,  377,  extending  equity  jurisdiction  to  appeals  in  injvmction 
proceedings.  Act  of  Jan.  20th,  1897,  2  Sup.  Rev.  Stat.  U.  S.,  541,  con- 
ferring final  jurisdiction  on  Circuit  Courts  of  Appeals  in  all  criminal 
cases  not  capital.  Act  of  June  first,  1898,  2  Supp.  Rev.  St.  U.  S.,  771, 
conferring  appellate  jurisdiction  in  award  in  cases  under  arbitration  act. 
Act  of  June,  6th,  1900,  2  Sup.  Rev.  Stat,  U.  S.,  1,445,  conferring  joris- 
diction  to  entertain  appeal  on  interlocutory  order  granting  injunction. 

First  Circuit. 

Circuit  Justice.     Oliver  W.  Holmes,  Washington,  D.  C. 

States  in  Circuit.  Maine,  New  Hampshire,  Massachusetts 
and  Rhode  Island. 

Circuit  Judges:  Le  Baron  Colt,  Bristol,  R.  I.,  William 
L.  Putnam,  Portland,  Me. 

Clerk  Circuit  Court  of  Appeals,  John  G.  Stetson,  Boston, 
Mass. 


JUDGES,  CLERKS  AND  REFEREES.  507 

Annual  term,  first  Tuesday  in  October;  stated  sessions,  first  Tues- 
day in  every  month,  sessions  for  hearing  cases,  first  Tuesday  in  January, 
April  and  October,  at  Boston,  Mass. 

Second  Circuit. 

Circuit  Justice:  Rufus  W.  Peckham,  Washington, 
D.  C. 

States  in  Circuit. — Vermont,  Connecticut  and  New  York. 

Circuit  Judges,  William  J.  Wallace,  Albany,  New  York, 
Henry  Lacombe,  New  York,  N.  Y.,  William  K.  Townsend, 
New  Haven,  Conn. 

Clerk  Circuit  Court  of  Appeals,  William  Parkin,  New  York, 
N.  Y. 

Annual  term  last  Tuesday  in  October ,|at  New  York  City. 

Third  Circuit. 

Circuit  Justice,  Henry  B.  Brown,  Washington,  D.  C. 

States  in  Circuit. — New  Jersey,  Pennsylvania,  Delaware. 

Circuit  Judges,  Marcus  W.  Acheson,  Pittsburg,  Pa.,  Geo. 
M.  Dallas,  Philadelphia,  Pa.,  George  Gray,  Wilmington, 
Del. 

Clerk  Circuit  Court  of  Appeals,  William  H.  Merrick, 
Philadelphia,  Pa. 

Annual  term,  first  Tuesday  in  March  and  third  Tuesday  in  September, 
at  Philadelphia,  Pa. 

Fourth  Circuit. 

Circuit  Justice,  Melville  W.  Fuller,  Washington,  D.  C. 

States  in  Circuit. — North  Carolina,  South  Carolina,  Mary- 
land, Virginia  and  West  Virginia. 

1     Circuit  Judges,  Nathan  Goff,  Clarksburg,  W.  Virginia, 
Charles  H.  Simonton,  Charleston,  S.  C. 

Clerk  Circuit  Court  of  Appeals,  Henry  T.  Meloney,  Rich- 
mond, Virginia. 

Annual  term,  first  Tuesday  in  February,  first  Tuesday  in  May,  and 
first  Tuesday  in  November,  at  Richmond,  Va. 


508  judges^  clerks  and  referees. 

Fifth  Circuit. 

Circuit  Justice,  Edward  D.  White,  Washington,  D.  C. 

States  in  Circuit. — Georgia,  Florida,  Alabama,  Mississippi, 
Louisiana  and  Texas. 

Circuit  Judges,  Don  A.  Pardee,  New  Orleans,  La.,  A.  P. 
McCormick,  Dallas,  Texas,  David  D.  Shelby,  Huntsville, 
Ala. 

Clerk  Circuit  Court  of  Appeals,  Charles  H.  Lidnum,  New 
Orleans,  La. 

Annual  term,  first  Monday  in  October  at  Atlanta,  Ga.  and  third 
Monday  in  November,  at  New  Orleans,  La. 

Sixth  Circuit. 

Circuit  Justice,  John  M.   Harlan,   Washington,   D.   C- 

States  in  Circuit. — Ohio,  Michigan,  Kentucky  and  Ten- 
nessee. 

Circuit  Judges,  Henry  F.  Severens,  Kalamazoo,  Michigan, 
Horace  H.  Liu-ton,  Nashville,  Tenn,  William  R.  Day,  Can- 
ton. O. 

Clerk  Circuit  Court  of  Appeals,  Frank  0.  Loveland,  Cin- 
cinnati, Ohio. 

Terms:  First  Tuesday  in  October  and  continues  until  the  first  Tues- 
day in  October  in  the  ensuing  year.  Three  sessions  will  be  held  in  Chi- 
cago, beginning  on  the  first  Tuesdays  in  October  and  January  and  the 
second  Tuesday  in  April. 

Seventh  Circuit. 

Circuit  Justice,  William  R.  Day,  Washington,  D.  C. 

States  in  Circuit. — Indiana,  Illinois,  and  Wisconsin. 

Ciruit  Judges,  James  G.  Jenkins,  Milwaukee,  Wisconsin, 
Peter  S.  Grosscup,  Chicago,  111.,  Francis.  E.  Baker,  In- 
dianapolis, Indiana. 

Clerk  Circuit  Court  of  Appeals,  Edward  M.  HoUoway, 

Chicago,  111. 

Terms:     First  Tuesday  in  October;  term  divided  into  three  sessions, 


JUDGES,  CLERKS  AND  REFEREES.  509 

beginning  on  first  Tuesday  in  October,  first  Tuesday  in  January  and  first 
Tuesday  in  May,  at  Chicago,  111. 

Eighth  Circuit. 

Circuit  Justice,  D.  J.  Brewer,  Washington,  D.  C. 

States  in  Circiiit. — Minnesota,  Iowa,  Missouri,  Arkansas, 
Nebraska,  Colorado,  Kansas,  Wyoming,  North  Dakota, 
South  Dakota,  Utah,  New  Mexico,  Oklahoma  and  Indian 
Territory. 

Circuit  Judges,  Henry  C.  Caldwell,  Little  Rock,  Arkansas, 
Walter  H.  Sanborn,  St.  Paul,  Minn.,  Amos  M.  Thayer,  St. 
Louis,  Mo. 

Clerk  Circuit  Court  of  Appeals,  John  D.  Jordan,  St.  Louis, 
Mo. 

Terms:  First  Monday  in  May,  at  St.  Paul,  Minn.,  first  Monday  in 
September,  at  Denver,  Colo.,  first  Monday  in  December,  at  St.  Loviis,  Mo. 

Ninth  Circuit. 

Circuit  Justice,  Joseph  Mckenna,  Washington,  D.  C. 

States  in  Circuit. — California,  Oregon,  Nevada,  Washing- 
ton, Idaho,  Montana,  Alaska,  Arizona  and  Hawaii. 

Circuit  Judges,  William  W.  Morrow,  San  Francisco,  Cal., 
William  B.  Gilbert,  Portland,  Ore.,  Erskine  M.  Ross,  Los 
Angeles  Cal. 

Clerk  Circiiit  Court  of  Appeals,  Frank  D.  Monckton,  San 
Francisco. 

Terms:  Annual  term  first  Monday  in  October,  and  adjourned  sessions 
on  the  first  Monday  of  each  month  at  San  Francisco,  Cal.,  Annual 
term,  second  Monday  in  September,  at  Seattle,  Washington.  Annual 
term,  third  Monday  in  September,  at  Portland,  Oregon. 


510  JUDGES,  CLERKS  AND  REFEREES. 

DISTRICT  JUDGES.  CLERKS  AND  REFEREES,  AND  THEIR  JUR- 
ISDICTIONS. 

ALABAMA  (5th  Circuit.) 

NORTHERN  DISTRICT. 

District  Judge,  Thos.  Goode  Jones,  Montgomery,  Ala. 

Clerk  District  Court,  Charles  J.  Allison,  Birmingham,  Ala. 

Referees  with  jurisdiction.  N.  W.  Trimble,  Birmingham,  Ala.  Ref- 
eree for  Counties  of  Jefferson,  St.  Clair,  Shelby,  Bibb,  Tuscaloosa,  Pick- 
ens, Greene,  Stimter,  Hale,  Blovmt,  Walker,  Lamar  and  Fayette. 

H.  D.  McCarty,  Anniston,  Ala.  Referee  for  the  Counties  of  Calhoun- 
Clebiume,   Cherokee,   DeKalb,   Etowah. 

Jere  Murphy,  Jr.,  Himtsville,  Ala.  Referee  for  the  Counties  of  Madi, 
son,  Jackson,  Limestone,  Lauderdale,  Colbert,  Franklin,  Lawrence,  Mar- 
shall, Winston,  Cvdlman, '^Morgan  and  Marion. 

MIDDLE  DISTRICT. 

District  Judge,  Thos.  Goode  Jones,  Montgomery,  Ala. 

Clerk,  District  Court,  Joseph  W.  Dimmick,  Montgomery,  Ala. 

Referees  with  jurisdiction.  Walter  R.  Shafer,  Selma,  Ala.,  Referee 
for  the  Covmties  of  Dallas  and  Perry. 

Asa  E.  Stratton,  Montgomery,  Ala.,  Referee  for  the  Coimties  of  An- 
tauga,  Barbour,  Btillock,  Butler,  Chilton,  Chambers,  Clay,  Coffee,  Coosa, 
Covington,  Crenshaw,  Dale,  Elmore,  Geneva,  Henry,  Lee,  Lowndes, 
Macon,  Montgomery,  Pike,  Randolph,   Russell,  and  Tallapoosa. 

SOUTHERN  DISTRICT. 

District  Judge,  Harry  T.  Toulmin,  Mobile,  Ala. 

Clerk,    District   Court,    Richard   Jones,    Mobile,    Ala. 

Referees  with  jurisdiction.  Robert  T.  Ervin,  Mobile,  Ala.,  Referee  for 
the  Counties  of  Baldwin,  Choctaw,  Clarke,  Conecuh,  Excambia,  Marengo, 
Mobile,  Monroe,  Washington,  Wilcox. 

ALASKA  (9th  Circuit). 

DIVISION  NO.  1. 

District  Judge,  Melville  C.  Brown,  Juneau,  Alaska. 

Clerk,   District  Court,   W.   J.    Hills,  Juneau,   Alaska. 

DIVISION  NO.  2. 

Note. 

This  list  of  referees  is  as  complete  as  could  be  made  from  corre- 
spondence. In  many  counties  no  referees  have  been  appointed,  and 
vacancies  exist  in  others,  especially  in  the  rural  districts. 


JUDGES,  CLERKS  AND  REFEREES,  511 

District  Judge,  Alfred  S.  Moore,  Nome,  Alaska. 

Clerk  District  Court,  Geo.   V.   Borchsenius,   Nome,   Alaska. 

C.  A.  S.  Frost,  Referee,  Nome  Alaska. 

DIVISION  NO.  3. 

District  Judge,  James  Wickersham,  Eagle,  Alaska. 
Clerk  District  Court,  A.  R.  Herlig,  Eagle  City. 

ARIZONA  (9th  Circuit). 

First  District. 

Justice,  George  R.  Davis,  Tucson,  Ari. 

Clerk  District  Court,  Clinton  D.  Hoover,  Tucson,  Ari. 

Referees  with  jurisdiction.  Thomas  A.  Barton,  Tucson,  Ari.,  Referee 
for  Counties  of  Cochise,  Pima  and  Santa  Cruz. 

Second  District. 

Justice  for  District,  Fletcher  M.  Doan,  Florence,  Ari. 

Clerk  District  Court,  Daniel  C.  Stevens,  Florence,  Ari. 

Referees  with  jurisdiction.  W.  H.  Benson,  Florence,  Ari.,  Referee  for 
Pinal  County. 

William  H.  Duryea,  Globe,  Ari.,  Referee  for  Gila  County. 

E.  S.  Mashbir,  Solomanville,  Ari.,  Referee  for  Graham  County. 

Third  District. 

Chief  Justice,  Edward  Kent,  Phoenix,  Ari. 

Clerk  District  Court,  Elias  F.  Dunlevy,  Phoenix,  Ari. 

Referees  with  jurisdiction.  Alfred  Franklin,  Phoenix,  Ari.,  Referee  for 
the  Counties  of  Maricopa  and  Yimia. 

Fourth  District. 

Justice,  Richard  E.  Sloan,  Prescott,  Ari. 

Clerk  District  Court,  J.  M.  Watts,  Prescott,  Ari. 

Referees  with  jurisdiction.  Thos.  C.  Job,  Prescott,  Referee  for  Yavapai 
and  Mohave  Counties. 

Fred  W.  Nelson,  Holbrook,  Ari.,  Referee  for  Coconino,  Novajo  and 
Apache  Coxmties. 

ARKANSAS  (8th  Circuit). 

EASTERN  DISTRICT. 

District  Judge,  Jacob  Trieber,  Little  Rock,  Ark. 

Clerk  District  Court,  Eastern  Division,  Emerson  R.  Crum,  Helena. 


512  JUDGES,  CLERKS  AND  REFEREES. 

Referees  with  jurisdiction.  M.  L.  Stephenson,  Helena,  Referee  for 
the  Counties  of  Mississippi,  Crittenden,  Lee,  Philips,  Clay,  Craighead- 
Greene,  Cross,  St.  Francis  and  Monroe. 

Northern  Division. 

Clerk  District  Court,  Joseph  W.  Parse,  Batesville. 

Referees  with  jurisdiction.  Charles  F.  Cole,  Referee  for  Counties  of  In- 
dependence, Cleburne,  Stone,  Izard,  Sharp,  Fulton,  Randolph,  Lawrence 
and  Jackson. 

Western  Division. 

Clerk  District  Court,  Sid.  B.  Redding,  Little  Rock,  Ark. 

Referees  with  jurisdiction.  P.  C.  Dooley,  Little  Rock,  Referee  for  the 
Counties  of  Arkansas,  Ashley,  Bradley,  Chicot,  Clark,  Cleveland,  Conway, 
Dallas,  Desha,  Drew,  Faulkner,  Garland,  Grant,  Hot  Springs,  Jefferson, 
Lincoln,  Lonoke,  Montgomery,  Perry,  Pope,  Prairie,  Pulaski,  Saline,  Van 
Buren,  White,  Woodruff. 

WESTERN  DISTRICT. 
District  Judge,  John  H.  Rogers,  Ft.  Smith,  Ark. 

Texarkana  Division. 

District  Clerk,  John  M.  Somervell,  Texarkana,  Ark. 

Counties  in  Division:  Calhoun,  Columbia,  Hempstead,  Howard, 
Lafayette,  Little  River,  Miller,  Nevada,  Ouachito,  Pike,  Sevier,  Union. 

Fort  Smith  Division. 

Clerk  Dist.  Court,  H.   B.  Armistead,   Ft.   Smith,  Arkansas. 

Counties  in  Division,  Benton,  Crawford,  Franklin,  Johnson,  Logan, 
Polk,    Scott,    Sebastian,    Washington,    Yell. 

Harrison  Division. 

Clerk  Dist.  Court,  W.  F.  Mitchell,  Harrison,  Ark. 

Counties  in  Division,  Baxter,  Boone,  Carroll,  Madison,  Marion,  Newton, 
Staicy. 

CALIFORNIA  (9th  Circuit). 

NORTHERN  DISTRICT. 

District  Judge,  John  J.  DeHaven,  San  Francisco,  Cal. 

Clerk  District  Court,  George  E.  Morse,  San  Francisco. 

Referees  with  Jurisdiction:  R.  M.  Swain,  Santa  Rosa,  Sonoma  Covmty; 
A.  P.  Holland,  Oakland,  Alameda  County;  Milton  J.  Green,  San  Francisco, 
San  Francisco  County;  Richard  Belcher,  Marysville,  Yuba,  Colusa,  Sut- 
ter, Glenn,  Butte,  Sierra,  Pltunas,  Tehama,  Shasta,  Lassen,  Trinity,  Sis- 
kiyou, and  Modoc  Cotmties;  W.  T.  S.  Hadley,  Eureka,  Hvunboldt and  Del 


Judges,  clerks  aNd  referees.  513 

Norte  Counties;  W.  A.  Coulter,  San  Jose,  Santa  Clare  &  San  Mateo  Coun- 
ties; Chas.  A.  Bliss,  Sacramento,  Sacramento,  Amadon,  Yolo  &  El  Dorado 
Counties;  Thomas  L.  Carothers,  Ukiah,  Mendocino  &  Lake  Counties;  Ira 
H.  Reed,  San  Andreas,  Calaveras  County;  E.  P.  Foltz,  Stockton,  San 
Joaquin  &  Stanislaus  Coimties;  Charles  D.  Harvey,  Loomis,  Placer  Coun- 
ty; Ed  Martin,  Santa  Cruz,  Santa  Cruz  County;  Paul  C.  Harlan,  Fairfield, 
Solano  Cotmty  and  Napa;  A.  A.  Smith,  Sonora,  Tuolumne  Cotmty. 

SOUTHERN  DISTRICT. 

District  Judge,  Olin  Wellborn,  Los  Angelos,  Cal. 

Clerk  District  Court,  Edward  H.  Owen,  Los  Angelos. 

Referees  with  Jurisdiction,  Lyman  Helm,  Los  Angelos,  Referee  for 
Los  Angelos  Coimty;  William  G.  Irving,  Riverside,  Referee  for  Riverside 
County;  J.  C.  C.  Russell,  Hanford,  Referee  for  Kings  County;  Ray  Billing, 
sley,  Santa  Ana,  Referee  for  Orange  County;  W.  E.  Shepherd,  Venttira- 
Referee  for  Ventura  County  (resigned) ;  Henry  P.  Starbuck,  Santa  Bar- 
bara, Referee  for  Santa  Barbara  County;  J.  Z.  Tucker,  San  Diego,  Referee 
for  San  Diego  Coimty;  Wiley  J.  Tinnin,  Fresno,  Referee  for  Fresno  Coun- 
ty; Charles  L.  Allison,  San  Bernardino,  Referee  for  San  Bernardino  Coun- 
ty; Louis  Lomy,  San  Louis  Obispo,  Referee  for  San  Louis  Obispo  Coimty; 
Arch  McDonald,  Madera,  Referee  for  Madera  County;  E.  L.  Moore,  Mer- 
ced, Referee  for  Merced  and  Mariposa  Cotmties. 

COLORADO  (8th  Circuit.) 
District  Judge,  Moses  Hallettt. 
Clerk  District  Court,  Charles  W.  Bishop,  Denver. 
The  State  is  divided  into  nine  Bankruptcy  Districts. 
First  District. 

Referees  with  Jurisdiction.  David  V.  Bums  and  William  B.  Harri- 
son, Denver,  Referees  for  the  Counties  of  Arapahoe,  Douglas,  Elbert, 
Lincoln,  Cheyenne,  Kit  Carson,  Yuma,  Phillips,  Sedgwick,  Washington, 
Logan,  Morgan,  Weld,  Park,  Jefferson,  Clear  Creek,  Gilpin,  Summit, 
Grand,  Boulder  and  Larimer. 

Second  District. 
Referees  with  Jurisdiction.     John  B.  Cochran,  Colorado  Springs,  Ref- 
eree for  the  County  of  El  Paso 

Third  District. 

Referees  with  Jurisdiction.  Samuel  D.  Trimble,  Pueblo,  Referee  for 
the  Counties  of  Pueblo  Fremont,  Chaffee,  Custer,  Huerfano,  Otero,  Bent, 
Prowers,  Kiowa. 


514  JUDGES^  CLERKS  AND  REFEREES. 

Fourth  District. 

Referees  with  Jurisdiction.  Robert  T.  Yeaman,  Trinidad,  Referee  for 
the  Counties  of  Las  Animas  and  Baca. 

Fifth  District. 

Referees  with  Jurisdiction.  Ezra  T.  Elliott,  Del  Norte,  Referee  for 
the  Counties  of  Rio  Grande,  Mineral,  Sagauche,  Costilla  and  Conejos. 

Sixth  District. 

Referees  with  Jurisdiction.  Chancellor  T.  Morgan,  Durango,  Referee 
for  the  Counties  of  La  Plata,  Archulita,  Montezuma,  San  Juan,  Dolores. 

Seventh  District. 

Referees  with  Jurisdiction.  George  S.  Stephan,  Delta,  Referee  for  the 
Counties  of  San  Miguel,  Ouray,  Hinsdale,  Gunnison,  Montrose,  Delta 
and  Mesa. 

Eighth  District. 

Referees  with  Jurisdiction.  Jacob  B.  Philippi,  Glenwood  Springs, 
Referee  for  the  Counties  of  Pitkin,  Garfield,  Rio  Blanco,  Routt. 

Ninth  District. 

Referees  with  Jurisdiction.  William  R.  Kennedy!  Leadville,  James  M. 
Binson,  Cripple  Creek,  Referees  for  the  Coxmties  of  Lake  and  Eagle. 

CONNECTICUT  (2nd  Circuit). 

District  Judge,  James  P.  Piatt,  Hartford,  Conn. 

Clerk  District  Court,  Edwin  E.  Marvin,  Hartford. 

Referees  with  Jurisdiction.  George  A.  Kellogg,  Hartford,  Referee  for 
the  Coiuitiesof  Hartford  and  Tolland;  Henry  G.  Newton,  New  Havn.e 
Referee  for  New  Haven  County;  John  W.  Banks,  Bridgeport,  Referee 
for  Fairfield  Coxmty;  Gustaf  B.  Carlson,  Middletown,  Referee  for  Middle- 
sex County;  Amos  A.  Browning,  Norwich,  Referee  for  New  London  Counk 
ty;  John  F.  Carpenter,  Putnam,  Referee  for  Windham  County;  Fran- 
B.  Munn,  Winsted,  Referee  for  Fairfield  County. 

DELAWARE  (3rd  Circuit). 

District  Judge,  Edward  G.  Bradford,  Wilmington. 

Clerk  District  Court,  S.  Rodman  Smith,  Wilmington. 

Referees  with  Jurisdiction,  Arthur  W.  Spruance,  Wilmington,  referee 
for  Covmty  of  New  Castle;  George  M.  Jones,  Dover,  referee  for  Kent 
County;  Charles  F.  Richards,  Georgetown,  Referee  for  Sussex  Coimty. 


JUDGES,  CLERKS  AND  REFEREES.  515 

DISTRICT  OF  COLUMBIA. 

Clerk  of  Supreme  Court,  John  R.  Young,  Washington. 

Clerk  of  Court  of  Appeals,  Robert  Willett,  Washington. 

Referees  for  District,  Edward  S.  McCalmont,  409  Coliimbian  Building,' 
and  Charles  H.  Ames,  458  La  Ave.,  N.  W. 

FLORIDA  (5th  Circuit). 

NORTHERN  DISTRICT. 

District  Judge,  Charles  Swayne,  Pensacola. 

Clerk,  District  Court,  Frederick  W.  Marsh,  Pensacola. 

Referees  with  Jurisdiction.  K.  Nichols,  Pensacola;  E.  R.  Sprague,' 
Funiak  Springs;  J.  J.  Hodges,  Tallahassee.  These  Referees  have  con- 
current jurisdiction  for  the  Counties  of  Calhoun,  Escambia,  Franklin, 
Gadsden,  Holmes,  Jackson,  Jefferson,  Lafayette,  Leon,  Levy,  Liberty, 
Santa  Rosa,  Taylor,  Wakulla,  Walton,  Washington. 

SOUTHERN  DISTRICT. 

District  Judge,  James  W.  Locke,  Jacksonville. 

Clerk  District  Court,  Eugene   O.  Locke,  Jacksonville. 

Referees  with  Jurisdiction.  George  M.  Powell,  Jacksonville,  Referee 
for  Counties  of  Duval,  Nassau,  St.  John,  Volusia,  Putnam,  Clay;  Frank 
De  Ferro,  Lake  City;  Counties  of  Madison,  Hamilton,  Suwatinee  and 
Columbia;  E.  E.  Voyle,  Gainsville,  Alackua,  Bradford,  Marion  and  Lake; 
William  Hunter,  Tampa,  Central  Division  Southern  District,  Counties  ■ 
of  Hillsboro,  Citrus,  Sumpter,  Hernando,  Pasco,  Manatee,  Polk,  De  Soto, 
Sea,  Osceola,  Orange;  W.  R.  Anno,  Miami,  Dade  and  Brevard;  J.  M. 
Phipps,  Key  West,  Referee  for  Cotmty  of  Monroe. 

GEORGIA    (5th    Circuit). 

NORTHERN  DISTRICT. 

District  Judge,  W.  T.  Newman,  Atlanta. 

Clerk  District  Court,  W.  C.  Carter,  Atlanta. 

Referees  with  Jurisdiction,  Percy  H.  Adams,  Atlanta,  Referee  for  the 
Coimties  of  Ftdton,  De  Kalb  and  Campbell;  C.  D.  McCutcheon,  Dalton, 
Referee  for  the  Counties  of  Whitfield,  Murray,  Catoosa,  Dade,  Bartow, 
Gordon;  George  D.  Anderson,  Marietta,  Referee  for  the  Counties  of  Cobb, 
Cherokee,  Pickens,  Gilmer,  Fannin,  Milton;  Clifford  M.  Walker,  Monroe, 
Referee  for  the  Counties  of  Walton,  Morgan,  Greene,  Newton,  Gwinnett, 
White,  Towns,  Lvunkin,  Hall,  Forsyth,  Rockdale;  R.  O.  Jones,  Newman, 
Referee  for  the  Coimties  of  Coweta,  Heard,  Meriweather,  Troup;  W.  S, 
Rowell,  Rome,  Referee  for  the  Coimties  of  Floyd,  Chattooga,  Waiver, 
Polk,  Paulding;  S.  E.  Grow,  Carrollton,  Referee  for  the  Counties  of  CarroUt 


516  JUDGES,  CLERKS  AND  REFEREES. 

Douglas,  Harralson;  Frank  U.  Garsard,  Columbus,  Referee  for  the  Counties 
of  Muscogee,  Harris,  Talbot,  Taylor,  Chattahoochee,  Marion,  Schley; 
H.  A.Wilkinson,  Cuthbert,  Referee  for  the  Counties  of  Stewart,  Webster, 
Quitman,  Randolph,  Terrell,  Clay,  Early,  Miller. 

SOUTHERN  DISTRICT. 

District  Judge,  Emory  Speer,  Macon. 

Eastern  Division. 

Clerk  District  Court,  H.  H.  King,  Savannah. 

Referees  with  Jurisdiction,  A.  H.  MacDonnell,  Savanah,  Referee  for 
the  Coimties  of  Chatham,  Bryan,  Liberty,  Tatnall,  Montgomery,  Eman- 
uel, Bullock,  Screven  and  Effingham;  J.  H.  Merrill,  Bainbridge,  Referee 
for  the  Counties  of  Decatur,  Thomas,  Brooks,  Colquitt,  Worth,  Irwin, 
Coffee,  Berrien,  Lowndes,  Clinch  and  Echol;  Alfred  J.  Crovatt,  Bruns- 
wich,  Referee  for  the  Counties  of  Mcintosh,  Glynn,  Camden,  Charlton, 
Pierce,  Ware,  Appling  and  Wayne. 

North-Eastern  Division. 

Clerk  District  Court,  George  K.  Calvin,  Augusta. 

Referees  with  Jurisdiction,  Joseph  Gunahl,  Augusta,  Referee  for  the 
Counties  of  Burke,  Columbia,  Glasscock,  Jefferson,  Johnson,  McDufiie, 
Richmond,  Washington,  Warren,  Lincoln,  Tolieferre,  Wilkes. 

Western  Division. 

Deputy  District  Clerk,  Lenoir  M.  Erwin,  Macon. 

Referees  with  Jurisdiction,  Alexander  Proudfit,  Macon,  Referee  for 
the  Counties  of  Baker,  Baldwin,  Bibb,  Butts,  Calhoun,  Crawford,  Dodge, 
Dooley,  Dougherty,  Hancock,  Houston,  Jaspar,  Jones,  Laurens,  Lee,  Ma- 
con, Mitchell,  Monroe,  Pike,  Pulaski,  Putnam,  Sumter,  Telfair,  Twiggs, 
Upson,  Webster,  Wilcox  and  Wilkerson. 

HAWAII. 

District  Judge,  Morris  M.  Estee,  Honolulu. 

Clerk  District  Court,  Walter  B.  Maling,  Honolulu. 

IDAHO  (9th  Circuit). 

District  Judge,  James  H.  Beatty,  Boise. 

Clerk  District  Court,  Alonzo  L.  Richardson,  Boise. 

Referees  with  Jurisdiction,  Warren  Tiiiitt,  Moscow,  Referee  for  Latah 
Cotmty ;  W.  A.  Brodhead,  Harley,  Referee  for  Blaine  Covmty ;  A.  C.  Keams 
Wallace,  Referee  for  Shoshone  Cotmty  (resigned);  J.  H.  Padghaur, 
Salmon  City,  Referee  for  Lemhi  County  (resigned) ;  Niles  W.  Tate,  Boise, 
Referee  for  Ada  County  (resigned) ;  Fred  G.  Caldwell,  Pocatello,  Referee 
for  Bannock  Coimty;  W.  A.  Hall,  Grangeville,  Referee  for  Idaho  Coimty; 


JUDGES,  CLERKS  AND  REFEREES.  517 

Jesse  R.  S.  Budge,  Montpelier,  Referee  for  Bear  Lake  County;  Douglas 
M.  Todd,  St.  Anthony,  Referee  for  Fremont  County;  L.  H.  Johnston, 
ChalHs,  Referee  for  Custer  County;  Robert  S.  McCrea,  Rademani,  Referee 
for  Kootenai  County;  John  C.  Rice,  Caldwell,  Referee  for  Canyon  County 
(resigned) ;  Van  W.  Hasbrouck,  Lewiston,  Referee  for  Nez  Pierces  Cotinty; 
George  F.  Mahoney,  Mountain  Home,  Referee  for  Elmore  [County;  S. 
H.  Travis,  Weiser,  Referee  for  Washington  County. 

ILLINOIS  (7th  Circuit). 

NORTHERN  DISTRICT. 

Northern  Division. 

District  Judge,  C.  C.  Kohlsaat,  Chicago. 

District  Clerk,  T.  C.  MacMillen,  Monadnock  Block,  Chicago. 

Referees  with  Jurisdiction.  Frank  L.  Wean,  Sidney  C.  Eastman,  Ref- 
erees for  the  Counties  of  Cook,  Lake  and  McHenry ;  Morrill  Sprague,  Joliet, 
Referee  for  the  Cotinties  of  Will,  Grvmdy  and  Kankakee  ;lFred  A.  Dolph, 
Aurora,  Referee  for  the  Counties  of  DuPage,  Kane,  Kendall  and  De 
Kalb;  H.  G.  Cook,  Ottawa,  Referee  for  the  Cotmties  of  La  Salle  and 
Bureau.  Arthur  E.  Fisher,  Rockford,  Referee  for  the  Counties  of  Boone, 
Winnebago,  Stephenson  and  Jo  Daviess;  Henry  S.  Dickson,  Dixon,  Ref- 
eree for  the  Counties  of  Lee,  Whiteside,  Ogle  and  Carroll. 

Southern  Division. 

Referees  with  Jurisdictions.  David  McCuUoch,  Peoria,  Referee  for 
the  Counties  of  Peoria,  Woodford,  Stark,  Tazewell,  Marshall  and  Put- 
nam; Claude  E.  Chiperfield,  Canton,  Referee  for  the  Counties  of  Fulton 
and  McDonough;  Adair  Pleasants,  Rock  Island,  Referee  for  the  Cotmties 
of  Rock  Island,  Henry,  Mercer;  LeRoy  Wharton,  Galesbtirg,  Referee 
for  the  Covmties  of  Knox,  Warren  and  Henderson.  H.  G.  Greenebavim, 
Pontiac,  Referee  for  the  Counties  of  Livingston  and  Iroquois. 

SOUTHERN  DISTRICT. 

District  Judge,  J.  Otis  Hvimphrey,  Springfield. 

Clerk  District  Court,  Robert  C.  Brown,  Springfield. 

Referees  with  Jurisdictions.  Edward  S.  Robinson,  Springfield,  Ref- 
eree for  the  Cotmties  of  Adams,  Alexander,  Bond,  Brown,  Calhoun,  Cass 
Champaign,  Christian,  Clark,  Clay,  Clinton,  Coles,  Crawford,  Cumber- 
land, DeWitt,  Douglas,  Edgar,  Edwards,  Effingham,  Fayette,  Ford, 
Franklin,  Gallatin,  Greene,  Hamilton,  Hancock,  Hardin,  Jackson,  Jas- 
per, Jefferson,  Jersey,  Johnston,  Lawrence,  Logan,  Moultrie,  Macon,  Ma- 
coupin, Madison,  Marion,  Mason,  Massac,  McLean,  Menard,  Monroe, 
Montgomery,  Morgan,  Perry,  Pratt,  Pike,  Pope,  Pulaski  ,']^  Ran  dolph,  Rich- 
land, St.  Clair,  Saline,  Sangamon,  Schuyler,  Scott,  Shelby,  Union,  Ver- 
milion, Wabash,  Washington,  Wayne,  White  and  Williamson. 


518  JUDGES^  CLERKS  AND  REFEREES. 

INDIANA  (7th  Circuit). 

District  Judge,  John  H.  Baker,  Indianapolis. 

Clerk  District  Court,  Noble  C.  Butler,  Indianapolis. 

First  District.  Referees  with  Jurisdiction.  Orville  W.  McGinnis, 
Evansville,  Referee  for  the  Counties  of  Posey,  Gibson,  Pike,  Dubois, 
Spencer,  Warrick  and  Vanderbtirg. 

Second  District.  Lawrence  B.  Huckeby,  New  Albany,  Referee  for 
the  Counties  of  Perry,  Crawford,  Orange,  Washington,  Harrison,  Floyd, 
Clark  and  Scott. 

Third  District.  Minor  F.  Pate,  Bloomfield,  Referee  for  the  Counties 
of  Sullivan,  Owen,  Greene,  Daviess,  Martin,  Lawrence  and  Monroe. 

Fourth  District.  Thomas  C.  Batchelor,  Vernon,  Referee  for  the 
Counties  of  Brown,  Bartholomew,  Jackson,  Jennings,  Decatur,  Ripley, 
Jefferson,  Dearborn,  Ohio  and  Switzerland. 

Fifth  District.  Horace  C.  Pugh,  Terre  Haute,  Referee  for  the 
Counties  of  Vigo,  Vermilion,  Parke,  Clay,  Putnam,  Hendricks  and  Mor- 
gan. 

Sixth  District.  Albert  Rabb,  Indianapolis,  Referee  for  the  Coun. 
ties  of  Marion  and  Johnson. 

Seventh  District.  Clay  C.  Hunt,  New  Castle,  Referee  for  the  Coun- 
ties of  Hancock,  Shelby,  Rush,  Henry,  Wayne,  Fayette,  Union  and 
Franklin. 

Eighth  District.  Charles  A.  Burnett,  Lafayette,  Referee  for  the 
Counties  of  Fovmtain,  Warren,  Benton,  White,  Tippecanoe  and  Mont- 
gomery. 

Ninth  District.  Harry  C.  Sheridan,  Frankfort,  Referee  for  the 
Covmties  of    linton,  Boone,  Howard,  Tipton  and  Hamilton. 

Tenth  District.  John  W.  Ryan,  Muncie,  Referee  for  the  Counties  of 
Madison,  Delaware,  Blackford,  Wells,  Adams,  Jay  and  Randolph. 

Eleventh  District.  Frank  Swigart,  Logansport,  Referee  for  the 
Counties  of  Carroll,  Cass,  Miami,  Wabash,   Huntington  and  Grant. 

Twelfth  District.  John  O.  Bowers,  Hammond,  Referee  for  the 
Counties  of  Newton,  Lake,  Porter,  Jasper,  Pvilaski  and  Starke. 

Thirteenth  District.  Frank  E.  Lambert,  South  Bend,  Referee  for 
the  Counties  of  LaPorte,  St.  Joseph,  Marshall,  Fidton,  Elkhart  and  Kos- 
ciusko. 

Fourteenth  District.  Augustin|A.  Chapin,  Ft.  Wayne,  Referee  for 
the  Counties  of  La  Grange,  Noble,  Whitley,  Steuben,  DeKalb  and  Allen. 


JUDGES,  CLERKS  AND  REFEREES.  519 

INDIAN  TERRITORY  (8th  Circixit). 

NORTHERN  DISTRICT. 

Judges,  Joseph  A.  Gill,  Vinita. 

Clerk  District  Court,  Charles  A.  Davidson,  Vinita. 

Deputy  District  Clerks,  Robert  C.  Hunter,  Claremore;  Thos.  C.  John- 
son, Herbert  C.  Smith,  Tahlequah. 

Dennis  H.  Wilson,  Vinita,  and  James  H.  Huckleberry,  Sallisand, 
Referee  for  district. 

CENTRAL  DISTRICT. 

Judge,  Wm.  H.  H.  Clayton,  South  McAlester. 

Clerk  District  Court,  E.  J.  Fannin,  South  McAlester. 

Referees  for  the  District  which  comprises  the  Choctow  Nation,  James 
S.  Amote,  South  McAlester;  P.  C.  Bolger,  Poteau;  Eugene  Easton,  Ant- 
'ers  and  C.  H.  Elting,  Caddo. 

WESTERN  DISTRICT. 

The  District  comprises  the  Creek  and  Seminole  nations  and  portions 
of  the  Cherokee  and  Choctow  nations  adjacent  to  the  eastern  and  south- 
em  bovmdary  of  Creek  nation. 

District  Judge,  Charles  W.  Raymond,  Muscogee. 

Clerk  District  Court,  Robert  P.  Harrison,  Muscogee. 

Thos.  A.  Sanson,  Muskogee,  Referee  for  District. 

SOUTHERN  DISTRICT. 
District  Judge,  Hosea  Townsend,  Ardmore. 
Clerk  District  Court,  C.  M.  Campbell,  Ardmore. 

Ardmore  Division. 
Deputy  Clerk  District  Court,  N.  H.  McCoy,  Ardmore. 
John  Hinkle,  Ardmore,  Referee,  Pickens  Co. 

Pauls  Valley  Division. 
Deputy  District  Clerk,  J.  T.  Fleming,  Pauls  Valley. 
T.  N.  Robnett,  Referee,  Pauls  Valley. 

Chicasha  Division. 
Deputy  Clerk,  J.  W.  Speake,  Chicasha. 
Z.  E.  Taylor,  Referee  for  Indian  Territory. 

Ryan  Division. 
Deputy  Clerk,  S.  H.  Wootton,  Ryan. 
Eugene  Hamilton,  Chickasha,  Referee  for  Chickasha  and  Ryan. 


520  JUDGES,  CLERKS  AND  REFEREES. 

PuRCELL  Division. 
Deputy  Clerk,  T.  G.  Green,  Purcell. 
George  M.  Miller,  Referee,  Purcell. 

IOWA  (8th  Circuit). 

NORTHERN  DISTRICT. 

District  Judge,  O.  P.  Shiras,  Dubuque. 

Clerk  District  Court,  Alonzo  J.  Van  Duzee,  Dubuque. 

Referees  with  Jurisdiction.  C.  S.  Stillwell,  Waukon,  Alamakee  County; 
W.  A.  Leathers,  Dubuque,  Dubuque,  Delaware  and  Clayton  Counties; 
F.  W.  Myatt,  Maquoketa,  Jackson  County;  M.  W.  Harmon,  Independence, 
Buchanan  County;  W.  J.  Rogers,  West  Union,  Fayette;  R.  F.  B.  Portman, 
Decorah,  Winnesheik;  M.  M.  Moon,  Cresco,  Howard;  E.  L.  Smalley,  Wa- 
verly,  Bremer;  W.  P.  Hoxie,  Waterloo,  Blackhawk  and  Gnmdy;  J.  S. 
Bradley,  Charles  City,  Floyd;  A.  E.  Roberts,  Osage,  Mitchell;  J.  S.  Stacy, 
Anamosa,  Jones;  J.  S.  Anderson,  Cedar  Rapids,  Linn  and  Cedar  Coun- 
ties; J.G.  Mamer,  Iowa  City,  Johnson;  Fred  K.  Feenan,  Marengo,  Iowa; 
C.  I.  Vail,  Blairstown,  Benton  County;  C.  J.  Stevens,  Montour,  Tama 
County;  Charles  O.  Ryan,  Eldora,  Hardin  Coimty;  L.  F.  Sutton,  Clin- 
ton, Chnton  County;  C.  C.  Doolittle,  Estherville,  Emmet  County;  W.  H. 
MorUng,  Emmetsbxu*g,  Palo  Alto  Covmty;  W.  C.  Ralston,  Pocahontas, 
Pocahontas  County;  J.  C.  Kerr,  Calhoim,  Rockwell  City  County;  J.  C. 
Raymond,  Algona,  Kossuth  County;  G.  S.  Garfield,  Hvunboldt,  Hiim- 
boldt  County;  Frank  Farrell,  Ft.  Dodge,  Webster  County;  Thomas  A. 
Kingland,  Forest  City,  Winnebago  County;  Wesley  Aldridge,  Britt,  Han- 
cock County;  Porter  Donly,  Eagle  Grove,  Wright  Coimty;  W.  J.  Covil, 
Webster  City,  Hamilton  Covmty;  A.  H.  Cummings,  Mason  City,  Worth 
and  Cerro  Gordo  Counties;  Henry  White,  Hampton,  Franklin  and  Butler 
Counties;  G.  W.  Patterson,  Spencer,  Dickinson  and  Clay  Cotmties;  Mark 
M.  Moulton,  Storm  Lake,  Buena  Vista  Covmty;  H.  L.  Loft,  Cherokee, 
Cherokee  County;  W.  D.  Brown,  Onawa,  Sac,  Monona  and  Ida  Counties; 
J.  L.  E.  Peck,  Primghar,  O'Brien  County;  J.  W.  Kachelhoffer,  Rock  Rap- 
ids, Lyon;  John  E.  Orr,  Orange  City,  Siovix  County;  C.  L.  Joy,  Sioux  Cit,y 
Plymouth  and  Woodbury  Covmties. 

SOUTHERN  DISTRICT. 

District  Judge,  Smith  McPherson,  Red  Oak. 

Clerk  District  Court,  Wm.  R.  McArthur,  Des  Moines. 

Referees  with  Jurisdiction,  Hillbause  Buell,  Keokuk,  Referee  for  the 
Covmties  of  Lee  and  Van  Bvu-en;  La  Monte  Cowles,  Burlington,  Referee 
for  the  Counties  of  Des  Moines  and  Louisa;  Joseph  E.  Ells,  Muscatine, 
Referee  for  the  County  of  Muscatine;  John  M.  Helmick,  Davenport, 
Referee  for  the  County  of  Scott;  Henry  M.  Eicher,  Washington,  Referee 


JUDGES,  CLERKS  AND  REFEREES.  521 

for  the  Counties  of  Keoktik  and  Washington;  Roger  C.  Galer,  Mt.  Pleasant, 
Referee  for  the  Counties  of  Henry  and  Jefferson;  A.  W.  Enode,  Ottawa, 
Referee  for  the  Counties  of  Davis  and  Wapello;  Will  C.  Raybum,  Grin- 
nell,  Referee  for  the  County  of  Powershick;  Graham  W.  Laurence,  Mar- 
shalltown,  Referee  for  the  Cotinty  of  Marshall;  Ohver  C.  Meredith,  New- 
ton, Referee  for  the  County  of  Jasper;  Irving  C.  Johnson,  Oskaloosa, 
Referee  for  the  Covmties  of  Mahaska  and  Marion;  Clarence  S.  Wyckoflf, 
Centerville,  Referee  for  the  Covmties  of  Appanoose  and  Mimroe;  Warren 
S.  Dungan,  Chanton,  Referee  for  Lucas  County;  John  W.  Freeland, 
Cory  don.  Referee  for  the  Counties  of  Wayne,  Decatur  and  Clarke;  Stephen 
S.  Ethridge,  Des  Moines,  Referee  for  the  Counties  of  Polk,  Warren  and 
Madison;  Arthvu-  T.  Browne,  Boone,  Referee  for  the  Counties  of  Boone, 
Strong  and  Greene;  Hugh  M.  Fry,  Creston,  Referee  for  the  Counties  of 
Union,  Taylor,  Ringgold  and  Adair;  M.  J.  Hallenan,  Bayard,  Referee 
for  the  Counties  of  Guthrie  and  Dallas;  William  R.  Lee,  Carroll,  Referee 
for  the  Counties  of  Carroll  and  Crawford;  Joseph  B.  Rockafellow,  Atlantic 
Referee  for  the  Coimties  of  Cass,  Audubon;  H.  C.  French,  Red  Oak, 
Referee  for  the  Counties  of  Page,  Montgomery,  Fremont  Adams  and 
Mills;  Wingfield  S.  Mayne,  Coimcil  Bluffs,  Referee  for  the  Counties  of  Pot- 
tawattamie, Mills,  Harrison,  Shelby.; 

KANSAS  (8th  Circuit). 

District  Judge,  William  C.  Hook,  Leavenworth. 

Clerk  District  Court,  Frank  L.  Brown,  Topeka. 

Referees  with  Jurisdiction,  J.  G.  Slonecker,  Topeka,  Referee  for  the 
Counties  of  Washington ,  Riley,  Jackson,  Wabaunsee,  Morris,  Osage,  Frank 
lin,  Marshall,  Pottawatomie,  Geary,  Shawnee,  Lyon  and  Douglas; 
Thomas  J.  White,  Kansas  City,  Referee  for  the  Cotmties  of  Doniphan, 
Leavenworth,  Johnson,  Jefferson,  Memaha,  Atchinson,  Wyandotte  and 
Brown;  Zarah  C.  Millikin,  Salina,  Referee  for  the  Counties  of  Clay,  Mc- 
Pherson,  Ottawa,  Republic,  Mitchell,  Ellsworth,  Osborne,  Ellis,  PhilUps, 
Graham,  Gore,  Decatur,  Thomas,  Wallace,  Cheyenne,  Dickinson,  Saline, 
Cloud,  Jewell,  Lincoln,  Russell,  Smith,  Rooks,  Trego,  Norton,  Sheridan, 
Logan,  Rawlins  and  Sherman;  Charles  E.  Cory,  Ft.  Scott,  Referee  for 
the  Coimties  of  Greenwood,  Chautauqua,  Woodson,  Montgomery,  Allen, 
Labettee,  Bourbon,  Cherokee,  Elk,  Coffey,  Wilson,  Anderson,  Neosho, 
Linn,  Crawford  and  Miami;  Thomas  B.  Wall,  Wichita,  Referee  for  the 
Coimties  of  Chase,  Cowley,  Harvey,  Sumner,  Kingman,  Rice,  Stafford, 
Barber,  Pawnee,  Kiowa,  Ness,  Ford,  Lane,  Meade,  Finney,  Seward, 
Kearney,  Stevens,  Hamilton,  Morton,  Butler,  Marion,  Sedgwick,  Harper, 
Reno,  Barton,  Pratt,  Rush,  Edwards,  Comanche,  Hodgeman,  Clark, 
Gray,  Scott,  Haskell,  Wichita,  Grant,  Greeley  and  Stanton. 


522  JUDGES,  CLERKS  AND  REFEREES. 

KENTUCKY  (6th  Circuit). 

EASTERN  DISTRICT. 

District  Judge,  Andrew  N.  J.  Cochran,  Maysville. 

Clerh  District  Court,  Joseph  C.  Finnell,  Covington,  and  Walter  G. 
Chapman,  Frankfort. 

Referees  with  Jurisdiction,  J.  W.  Tutle,  Monticello,  Referee  for  the 
Counties  of  Wayne,  Pulaski  and  Whitley;  W.  W.  Tinsley,  Barbourville, 
Referee  for  the  Counties  of  Knox,  Clay,  Bell,  Harlan,  Leslie,  Licher, 
Perry  and  Knott;  J.  M.  Saunders,  Stanford,  Referee  for  the  Counties  of 
Lincoln,  Rockcastle,  Jackson  and  Laurel;  Thomas  H.  Hardin,  Harrod- 
burg.  Referee  for  the  Counties  of  Mercer,  Boyle,  Garrord  and  Anderson; 
D.  W.  Lindsey,  Frankfort,  Referee  for  the  Counties  of  Franklin,  Owen, 
Henry,  Shelby,  Woodford  and  Scott;  Martin  M.  Durrett,  Covington, 
Referee  for  the  Counties  of  Kenton,  Campbell,  Grant,  Pendleton,  Boone, 
Gallatin,  Carroll  and  Trimble;  H.  Clay  Howard,  Paris,  Referee  for  the 
Counties  of  Bourbon,  Harrison  and  Nicholas;  C.  Suydam  Scott,  Lexing- 
ton, Referee  for  the  Counties  of  Fayette  and  Jessamine;  R.  W.  Miller, 
Richmond, Referee  for  the  Counties  of  Madison,  Clarke  and  Estill;  Thomas 
R.  Phister,  Maysville,  Referee  for  the  Counties  of  Mason,  Bracken, 
Robertson  and  Fleming;  A.  T.  Wood,  Mt.  Sterling,  Referee  for  the  Coim- 
ties  of  Montgomery,  Bath,  Rowan,  Menifee,  Elliott  and  Morgan;  G.  W. 
Gourley,  Beattyville,  Referee  for  the  Counties  of  Lee,  Powell,  Wolfe, 
Owsley, Breathitt;  P.  K.  Malin,  Ashland,  Referee  for  the  Counties  of 
Boyd,  Greenup,  Lewis,  Carter,  Lawrence,  Floyd,  Magoffin,  Johnson, 
Pike  and   Martin. 

WESTERN   DISTRICT. 

District  Judge,  Walter  Evans,  Louisville. 

Clerk  District  Court,  Thomas  Speed,  Louisville;  Thos.  Speed,  Owens- 
boro. 

Referees  with  Jurisdiction,  W.  P.  Lee,  Mayfield,  Referee  for  Covmties 
of  Carlisle,  Fulton,  Graves,  Hickman;  E.  W.  Bagby,  Paducah,  Referee 
for  Counties  of  Livingston,  Ballard,  Calloway,  McCracken  and  Marshall 
J.  I.  Landes,  Hopkinsville,  Referee  for  Cotmties  of  Caldwell,  Crittenden, 
Lyon,  Trigg,  Hopkins,  Christian,  Webster;  John  A.  Dean,  Owensboro, 
Referee  for  Counties  of  Henderson,  Union,  McLean,  Daviess,  Ohio,  Han- 
cock, Breckenridge;  J.  Caldwell  Browder,  Russellville,  Referee  for  the 
County  of  Logan;  C.  W.  Millikeri,  Bowling  Green,  Referee  for  the  Coun- 
ties of  Allen,  Edmondson,  Simpson,  Warren;  A.  B.  Montgomery,  Eliza- 
bethtown.  Referee  for  the  County  of  Hardin;  H.  C.  Gorin,  Glasgow, 
Referee  for  the  Counties  of  Clinton,  Cumberland,  Metcalfe,  Barren, 
Monroe,  Russell;  John  B.  Baskin,  Louisville,  Referee  for  the  Coimties 
of  Oldham,  Spencer,  Nelson,  Jefferson,  Bullitt,  Meade;  W.  J.  Lisle,  Le- 
banon, Referee  for  County  of  Marion. 


JUDGES,  CLERKS  AND  REFEREES.  523 

LOUISIANA  (5th  Circuit). 

EASTERN  DISTRICT. 

District  Judge,  Charles  Parlange,  New  Orleans. 

Clerk  District  Court,  Frank  H.  Mortimer,  New  Orleans. 

Referees  with  Jurisdiction.  Wm  A.  Bell,  New  Orleans,  Refercf  for 
Parish  of  Orleans  and  adjoining  parishes;  J.  H.  Morrison,  New  Roads,  La., 
Referee  for  Parishes  of  Pointe  Coupee,  East  and  West  Feliciana, 
East  and  West  Baton  Rouge,  Iberville  and  Ascension;  John 
L.  Peytavin,  Union,  Referee  for  the  Parishes  of  St.  John  the  Baptist, 
St.  Charles,  Jefferson,  Plaquemines  and  St.  Bernard;  Louis  U.  Folse, 
Napoleon ville,  Referee  for  Parishes  of  Iberia,  Assumption,  St.  James, 
St.  Mary,  Terribonne  and  Lafourche. 

WESTERN  DISTRICT. 

District  Judge,  Aleck  Boarman,  Shreveport. 

Clerk  District  Court,  Walter  Jackson,  Shreveport. 

Referees  with  Jurisdiction.  Thomas  T.  Taylor,  Lake  Charles,  Referee 
for  Parishes  of  Rapids,  Grant,  Catahoula,  Winn,  Natchitoches,  Arcadia, 
Calcasieu,  Vermilion,  St.  Martin,  Lafayette,  St.  Landy,  Avoyelles  and 
Vermors;  Percy  Sandel,   Monroe;  A.   D.   Land,  Jr.,   Shreveport. 

District  includes  Counties  of  Avoyelles,  Arcadia,  Bienvillfe,  Bossier, 
Caddo,  Calcasieu,  Caldwell,  Cameron,  Catahoula,  Clairbome,  Concordia, 
DeSota,  East  Carroll,  Franklin,  Grant,  Jackson,  Lafayette,  Lincoln, 
Madison,  Morehouse,  Natchitoches,  Ouachita,  Rapids,  Red  River,  Rich- 
land, Sabine,  St.  Landry,  St.  Martin,  Tensas,  Union,  Vermilion,  Vernon, 
Webster,  West  Carroll  and  Winn. 

MAINE  (1st  Circuit). 

District  Judge,  Clarence  Hale,   Portland. 

Clerk  District  Court,  A.  H.  Davis,  Portland. 

Referees  with  Jurisdiction.  Henry  W.  Oakes,  Auburn,  Referee  for 
Androscoggin  County;  Edwin  L.  Vail,  Houlton,  Referee  for  Aroostock 
County;  Lewis  Pierce,  Portland,  Referee  for  Cumberland  County;  John 
B.  Redman,  Ellsworth,  Referee  for  Hancock  County;  Fremont  J.  C. 
Little,  Augusta,  Referee  for  Kennebec  County;  Lewis  F.  Starrett,  Rock- 
land, Referee  for  Knox  County;  George  A.  Wilson,  South  Paris,  Referee 
for  Oxford  County;  John  R.  Mason,  Bangor,  Referee  for  Penobscot  Coun- 
ty; John  F.  Sprague,  Monson,  Referee  for  Piscataquis  County;  William 
T.  Hall,  Jr.,  Bath,  Referee  for  Sagadahoc  and  Lincoln  Counties;  Daniel 
Lewis,  Showegan,  Referee  for  Somerset  County;  William  P.  Thompson, 
Belfast,  Referee  for  Waldo  County;  Clement  B.  Donworth,  Machias, 
Referee  for  Washington  Cotmty;  John  B,  Donovan,  Alfred,  Referee  for 
York  Cotmty. 


524  JUDGES,  CLERKS  AND  REFEREES. 

MARYLAND  (4thCircmt). 

District  Judge,  Thomas  J.  Morris,  Baltimore. 

Clerk  District  Court,  James  W.  Chew,  Baltimore. 

Referees  with  Jurisdiction.  Thomas  F.  Hisky,  215  N.  Charles  St., 
Baltimore;  Daniel  L.  Brinton,  Low  Building,  Baltimore,  Thomas  Foley 
Baltimore,  Referees  for  Baltimore  City;  Walter  J.  Mitchell,  La  Plata, 
Referee  for  Charles,  St.  Mary's  and  Calvert  Cotinties;  Edwin  Y.  Golds- 
borough,  Frederick,  Referee  for  Frederick  and  Montgomery  Counties; 
Emanuel  W.  Herman,  Towson,  Referee  for  Cotmty  of  Baltimore;  E. 
Oliver  Grimes,  Jr.,  Westminster,  Referee  for  Carroll  Covmty;  Clarence 
W.  Perkins,  Chestertown,  Referee  for  Kent,  Queen  Anne's,  Talbot,  Caro- 
line and  Dorchester  Counties;  Albert  A.  Daub,  Cumberland,  Referee  for 
Alleghany  and  Garrett  Counties;  William  T.  Warburton,  Elkton,  Referee 
for  Cecil  County;  Peter  L.  Hopper,  Havre  de  Grace,  Referee  for  Harford 
County;  John  D.  Parker,  220  St.  Paul  St.,  Baltimore,  Referee  for  Coimties 
of  Anne,  Anmdel,  Howard  and  Prince  George. 

MASSACHUSETTS  (1st  Circuit). 
District  Judge,  Francis  C.  Lowell,  Boston. 
Clerk  District  Court,  Frank  H.  Mason,  Boston. 

Referees  with  Jurisdiction.  Charles  E.  Burke,  Pittsfield,  Referee  for 
Berkshire  County;  Clifford  P.  Sherman,  New  Bedford,  Referee  for  Coun- 
ties Bristol,  Nantucket  and  Dukes;  Wm.  Perry,  Salem,  Referee  for  Essex 
Coimty;  Archibald  D.  Flower,  Greenfield,  Referee  for  Franklin  County, 
Charles  W.  Bosworth,  Springfield,  Referee  for  Hampden  Covmty;  Edward 
L.  Shaw,  Easthampton,  Referee  for  the  County  of  Hampshire;  Henry  E- 
Warner,  Lincoln,  Referee  for  County  of  Middlesex;  George  W.  Stetson, 
Middleboro,  Referee  for  the  Coimties  of  Plymouth  and  Barnstable;  James 
M.  Olmstead  and  Lewis  G.  Farmer,  Boston,  Referees  for  the  Coimties  of 
Suffolk;  Charles  F.  Aldrich,  Worcester,  Referee  for  the  County  of  Wor- 
cester. 

MICHIGAN  (6th  Circuit). 
EASTERN  DISTRICT. 

District  Judge,  Henry  M.  Swan,  Detroit. 

Clerk  District  Court,  D.  J.  Davison,  Detroit. 

Northern  Division. 

Referees  with  Jurisdiction.  Chester  L.  Collins,  Bay  City,  Referee  for 
Coimties  of  Alcona,  Alpena,  Arenac,  Bay,  Cheboygan,  Clare,  Crawford, 
Genesee,  Gladwin,  Gratiot,  Huron,  Iosco,  Isabella,  Midland,  Montmorency, 
Ogemaw,  Oscoda,  Otsego,  Presque  Isle,  Roscommon,  Saginaw,  Shiwassee 
and  Tuscola;  Harlow  P.  Davock,  Detroit,  Referee  for  Counties  of  Branch, 


JUDGES,  CLERKS  AND  REFEREES.  525 

Calhoun,  Clinton,  Hillsdale,  Inhgam,  Jackson,  Lapeer,  Lenowee,  Living- 
ston, Macomb,  Monroe,  Oakland,  St.  Clair,  Sanilac,  Washtenaw  and 
Wajme. 

WESTERN  DISTRICT. 
District  Judge,  George  P.  Wanty,  Grand  Rapids. 
Clerh  District  Court,  John  McQuewan,  Grand  Rapids. 
Northern    Division. 

Benj.  O.  Pearl,  Marquette,  Referee  for  Counties  of  Alger,  Baraga, 
Chippewa,  Delta,  Dickinson,  Gogebic,  Houghton,  Iron,  Keweenaw,  Luce, 
Mackinac,  Marquette,  Menominee,  Ontonagon  and  Schoolcraft  (entire 
upper  peninsula). 

Southern  Division. 

Referees  with  Jurisdietion.  Alfred  H.  Himt,  Grand  Rapids,  Referee  for 
Counties  of  Kent,  Ottawa,  lona,  Muskegon,  Newaygo,  Oceana,  Mason, 
Lake,  Manistee,  Benzie,  Leelanaw,  Grand  Traverse,  Antrim,  Kalkaska, 
Wexford,  Osceola,  Mecosta,  Montcalm,  Clinton,  Missaukee ,|Charlevoix  and 
Emmet;  H.  C.  Briggs,  Kalamazoo,  Referee  for  the  Counties  of  Allegan, 
Barry,  Eaton,  Kalamazoo,  St.  Joseph,  Cass,  Berrien  and  Van  Btiren. 

MINNESOTA  (8th  Circuit). 

District  Judge,  William  Lochren,  Minneapolis. 

Clerk  District  Court,  Charles  L.  Spencer,  St.  Paul. 

First  Division.  Referees  with  Jurisdiction,  William  Bums,  Winona, 
Referee  for  Cotmties  of  Winona,  Wabasha,  Olmstead,  Dodge,  Steele,  Fill- 
more, Houston  and  Mower. 

Second  Division.  Jean  A.  FUttie,  Mankato,  Referee  for  the  Coim- 
ties  of  Freeborn,  Faribault,  Martin,  Jackson,  Nobles,  Rock,  Pipestone, 
Murray,  Cottonwood,  Watonwan,  Blue  Earth,  Waseca,  Sucar,  Nicol- 
let, Brown,  Redwood,  Lyoi>;  Lincoln,  Yellow,  Medicine,  Sibley,  Lac  qui 
Parle. 

Third  Division.  Michael  Dom,  St.  Paul,  Referee  for  Cotmties  of 
Chicago,  Washington  Ramsey,  Dakota,"  Goodhue  and  Scott;  E.  S.  Bas- 
sett,  Faribault,  Referee  for  Cotmty  of  Rice. 

Fourth  Division.  O.  C.  Merriman,  Minneapolis,  Referee  for  Counties 
of  Hennepin,  Wright,  Renville,  McLeod,  Carver,  Anoka,  Sherbiime  and 
Isanti;  E.  W.  Campbell,  Litchfield,  Referee,  Meeker,  Kandioyhi,  Chip- 
pewa, Swift. 

Fifth  Division.  Crawford  Sheldon,  Little  Falls,  H.  F.  Greene,  Du- 
luth.  Referees  for  Counties  of  Cook,  Lake,  St.  Louis,  Itasca,  Cass,  Crow 
Wing,  Aitkin,  Carlton,  Pine,  Kanabec,  Millelac,  Morrison  and  Benton. 


526  JUDGES,  CLERKS  AND  REFEREES. 

Sixth  Division.  Ole  J.  VatUe,  Crookston,  Referee  for  Clay,  Nor- 
man, Polk,  Marshall,  Kittison,  Red  Lake,  Rosecan,  Beltram.  Clear  Water. 
Columbia;  William  L.  Parsons,  Fergus  Falls,  Referee  for  the  Counties 
of  Steams,  Pope,  Stevens,  Big  Stone,  Traverse,  Grant,  Douglas,  Todd, 
Ottertail,  Wilkins,  and  Southern  part  of  Clay,  Becker  and  Hubbard. 

MISSISSIPPI  (5th  Circuit.) 

NORTHERN  DISTRICT. 

District  Judge,  Henry  C.  Niles,  Kosciusko. 

Clerk  District  Court,  J.  S.  Burton,  Oxford. 

Referees  with  Jurisdiction,  John  A.  David,  Kosciusko,  Referee  in 
bankruptcy  for  the  Covmties  of  Winston,  Choctaw,  Coahoma,  Carroll, 
Tunica,  Attala,  Desoto,  Tate,  Marshall,  Panola,  Tippah,  Tisomingo,  Al- 
corn, Prentiss,  Itawamba,  Union,  Lownds,  Oktibbeha,  Benton,  Lee,  Mont- 
gomery, Grenada,  Tallehatchee.  La  Fayette,  Pontotoc,  Monroe, Chickasaw, 
Webster,  Clay,  Calhoun,  Quitman,  and  Yalabushe;  B.  T.  Markette,  Clarks- 
dale.  Referee  for  the  entire  District,  which  includes  the  Counties  of  De  Soto 
Yalobusha,  Coahoma,  Lafayette,  Marshall,  Timica,  Quitman,  Talla- 
hatchie, Grenada,  Benton,  Tate  and  Panola. 

SOUTHERN  DISTRICT. 

District  Judge,  Henry  C.  Niles,  Kosciusko. 

Clerk  District  Court,  L.  B.  Moseley,  Jackson. 

Referees  with  Jurisdiction,  J.  B.  Sterling,  Jackson,  Referee  for  Counties 
of  Adams,  Amite,  Copiah,  Covington,  Franklin,  Hinds,  Holmes,  Jeffer- 
son, Lawrence,  Lincoln,  Leflore,  Madison,  Pike,  Rankin,  Simson,  Smith, 
Scott,  Wilkinson  Yazoo,  Greene,  Hancock,  Harrison,  Jackson,  Marion, 
Perry  and  Pearl  River;  W.  T.  Houston,  Meridian,  Referee  for  Coimties  of 
Clarke,  Jones,  Jasper,  Kemper,  Lauderdale,  Leake,  Neshoba,  Newton, 
Noxubee  and  Wayne;  E.  H.  Moimger,  Vicksburg,  Referee  for  Coimties 
of  Bolivar,  Clairbome,  Issaquena,  Sharkey,  Sxmflower,  Warren  and 
Washington. 

MISSOURI  (8th  Circuit). 

EASTERN  DISTRICT. 

District  Judge,  Elmer  B.  Adams,  St.  Louis. 

Eastern   Division. 

Clerk  District  Court,  William  Morgan,  St.  Louis 

Referees  with  Jurisdiction,  Walter  D.  Coles,  St.  Louis,  Referee  for 
City  of  St.  Louis;  Alexander  Ross,  Cape  Girardeau,  Referee  for  Counties 
of  Cape  Girardeau,  Scott,  Mississippi,  Stoddard,  Butler,  New  Madrid, 
Dunklin  and  Pemiscot;  G.  P.  Smith,  Montgomery  City,  and  Sherman  T. 


JUDGES,  CLERKS  AND  REFEREES.  527 

Gresham,  Farmington,  Referees  for  the  Cotinties  of  Anderson,  Bollinger, 
Carter,  Crawford,  Dent,  Franklin,  Gasconade,  Iron,  Jefferson,  Lincoln, 
Madison,  Montgomery,  Oregon,  Perry,  Reynolds,  Ripley,  St.  Charles, 
St.  Francis,  Ste.  Genevieve,  St.  Louis,  Shannon,  Warren,  Washington, 
and  Wayne. 

Northern  Division. 

Clerk  District  Court,  Geo.  C.  Moore,  Hannibal. 

Referees  with  Jurisdictions.  Frederick  W.  Neeper,'  Guaranty  Building, 
Hannibal,  Referee  for  the  Counties  of  Macon,  Marion,  Monroe,  Ran- 
dolph, Lewis,  Adair,  Scotland,  Schuyler,  Pike,  Ralls,  Knox,  Clark  and 
Shelby. 

WESTERN  DISTRICT. 
Judge  District  Court,  John  F.  Philips,  Kansas  City. 

Western  Division. 

Clerk  District  Court,  John  M.  Nuckols,  Kansas  City. 

Referee  with  Jurisdictions.  Thomas  T.  Crittenden,  Kansas  City,  Ref- 
eree for  the  Coxmties  of  Barton,  Bates,  Caldwell,  Carroll,  Cass,  Chariton, 
Clay,  Grtmdy,  Henry,  Jackson,  Jasper,  Johnson,  Lafayette,  Linn,  Liv- 
ingston, Mercer,  Putnam,  Ray,  St.  Clair,  SaUne,  Sullivan  and  Vernon. 

Southern  Division. 

Clerk  District  Court,  Geo.   Pepperdine,  Springfield. 

Referee  with  Jurisdictions.  George  S.  Rathbim,  Springfield,  Referee  for 
the  Counties  of  Christian,  Cedar,  Dade,  Dallas,  Douglass,  Greene,  Howell, 
Laclede,  Ozark,  Polk,  Pulaski,  Taney,  Texas,  Webster  and  Wright. 

Central  Division. 

Clerk  District  Court,  Henry  C.  Geisberg,  Jefferson  City. 

Referees  with  Jurisdictions.  John  Montgomery,  Jr.,  Sedalia,  Referee 
for  the  Counties  of  Benton,  Boone,  Callaway,  Cooper,  Camden,  Cole, 
Hickory,  Howard,  Maries,  Miller,  Moniteau,  Morgan,  Osage,  Pettis  and 
Phelps. 

St.  Joseph  Division. 

Clerk  District  Court,  Calvin  C.  Colt,  St.  Joseph. 

Referee  with  Jurisdictions.     Woodson,  St.  Joseph,  Referee  for 

the  Coimties  of  Andrew,  Atchison,  Buchanan,  Clinton,  Daviess,  DeKalb, 
Gentry,  Holt,  Harrison,  Nodaway,  Platte  and  Worth. 

JOPLIN  DIVISION. 
Clerk  District  Court, — ,  Springfield,  Mo. 


528  JUDGES,   CLERKS  AND  REFEREES. 

Referee  with  Jurisdictions.  A.  E.  Spencer,  Joplin,  Mo.,  Referee  for 
Counties  of  Jasper,  McDonald,  Stone,  Barry,  Newton,  Barton,  Vernon. 

MONTANA  (9th  Circuit). 

District  Judge,  Hiram  Knowles,  Helena. 

Clerk  District  Court,  George  W.  Sproule,  Helena. 

Referees  with  Jurisdiction.  Distrcit  No.  1.  Thompson  Campbell, 
Butte,  Referee  for  Covmties  of  Beaverhead,  Deer  Lodge,  Madison,  Silver 
Bow,  Ravalli,  Granite  and  Missoula;  District  No.  2.  S.  A.  Balliet,  Helena, 
Referee  for  the  Cotmties  of  Broadwater,  Gallatin,  Jefferson,  Lewis  and 
Clark  and  Meagher;  District  No.  3.  ,  Missoula,  in- 

cludes Covmties  of  Granite,  Missoula  and  Ravalli;  District  No.  4. 

,  Great  Falls,  Referee  for  Counties  of  Choteau,  Cascade, 
Fergus,  Flathead,  Teton,  and  Valley;  District  No.  5.  Henry  A.  Frith, 
Billings,  Referee  for  the  Counties  of  Carbon,  Custer,  Dawson,  Park,  Sweet 
Grass,  Yellowstone  and  Roseland. 

NEBRASKA  (8th  Circuit) . 

District  Judge,  William  H.  Mtmger,  Omaha. 

Clerk  District  Court,  R.  C.  Hoyt,  Omaha. 

Referees  with  Jurisdiction.  Ernest  C.  Eames,  and  E.  E.  Spencer,  Lin- 
coln, Referees  for  the  Coimties  of  Lancaster,  Saline,  Johnson  and  Seward; 
Charles  E.  Clapp  and  W.  H.  Heedman,  Omaha,  Referees  for  the  Counties 
of  Douglas,  Sarpy,  Washington,  Bart  and  Cass.  John  A.  Davies,  Platts- 
mouth.  Referee  for  Cass  County;  E.  S.  Ricker,  Chadron,  Referee  for  the 
Counties  of  Dawes,  Sioux,  Box,  Butte  and  Sheridan;  James  W.  Eaton, 
Nebraska  City,  Referee  for  the  Counties  of  Otoo,  Nemaha  and  Richardson; 
August  Wagner,  Columbus,  Referee  for  the  Counties  of  Platte,  Merrick, 
Nance,  Boone,  Colfax  and  Butler;  F.  W.  Vaughn,  Fremont,  Referee  for 
the  Counties  of  Dodge,  Cuming  and  Saunders;  E.  P.  Weatherly,  Nor- 
folk, Referee  for  Counties  of  Madison,  Pierce,  Stanton,  Knox  and  Antelope; 
W.  L.  Kirkpatrick,  York,  Referee  for  the  Counties  of  York,  Polk,  Hamil- 
ton and  Filmore;  A.  C.  Mayer,  Grand  Island,  Referee  for  the  Counties 
of  Hall,  Buffalo,  Howard,  Sherman  Valley,  Greely,  Wheeler  and  Gar- 
field; Walter  V.  Hoagland,  Kearney,  Referee  for  the  Covmties  of  Dam- 
son, Lincoln,  Logan,  Keith,  Deuel,  Cheyenne,  Kimball,  Banner,  Scotts 
Bluffs;  Fulton  Jack,  Beatrice,  Referee  for  the  Counties  of  Gage,  Pawnee, 
Jefferson  and  Thayer;  James  Britton,  Wayne,  Referee  for  the  Counties 
of  Wayne,  Cedar,  Dixon,  Dakota,  Thurston;  J.  I.  White,  Curtis,  Referee 
for  Counties  of  Perkins,  Gasper,  Frontier,  Chase,  Dundy,  Hitchcock, 
Furnas,  Red  Willow  and  Hayes;  J.  A.  Gardiner,  Hastings,  Referee  for 
the  Counties  of  Adams,  Clay,  Unokoll,  Webster;  G.  Norberg,  Holdrege, 
Referee  for  the  Covmties  of  Phelps,  Kearney,  Harlan  and  Franklin;  J.  H. 
Shinn,  Broken  Bow,  Referee  for  the  Covmties  of  Custer,  Loup,  Blaine, 


JUDGES,  CLERKS  AND  REFEREES.  v     529 

Thomas,  Hooker  and  Grant;  A.  W.  Scattergood,  Ainsworth,  Referee  for 
Keyapaka,  Cherry,  Holt,  Boyd  and  Rock. 

NEVADA  (9th  Circuit) . 

District  Judge,  Thomas  P.  Hawley,  Carson  City. 

Clerk  District  Court,  T.  J.  Edwards,  Carson  City. 

Referees  with  Jurisdiction.  Samuel  Piatt,  Carson  City,  Referee  for  the 
entire  District. 

NEW  HAMPSHIRE  (1st  District). 

District  Judge,  Edgar  Aldi;ich,  Littleton. 

Clerk  District  Court,  Bums  P.  Hodgman,  Concord. 

Referees  with  Jurisdictions.  Fremont  E.  Shurtleflf,  Concord,  Referee  for 
the  Counties  of  Rockingham,  Hillsboro,  Cheshire,  Sullivan  and  Merri- 
mack; Dwight  Hall,  Dover,  Referee  for  the  Counties  of  Strafford,  Bel- 
knap and  Carroll;  Benjamin  H.  Coming,  Littleton,  Referee  for  the  Coim- 
ties  of  Coos  and  Grafton. 

NEW  JERSEY  (3rd  Circuit). 

District  Judge,  Andrew  Kirkpatrick,    Newark. 

Clerk  District  Court,  George  T.  Cranmer,   Trenton. 

Referees  with  Jurisdiction.  Clarence  L.  Cole,  Atlantic  City,  Referee  for 
Atlantic  County;  George  J.  Bergen,  Camden,  Referee  for  Camden  Cotmty; 
Lewis  T.  Stevens,  Cape  May  City,  Referee  for  Cape  May  County;  Frede- 
rick W.  Leonard,  Newark,  Referee  for  Essex  County;  Edwin  A.  Lewis, 
Hoboken,  Referee  for  Hunson  County;  Samuel  D.  Oliphant,  Jr.,  Trenton, 
Referee  for  Mercer  County;  James  Parker,  Perth  Amboy,  Referee  for 
Middlesex  County;  Frederick  Parker,  Freehold,  Referee  for  Monmouth 
Cotmty;  C.  Franklin  Wilson,  Morristown,  Referee  for  Morris  County; 
John  W.  Harding,  Paterson,  Referee  for  Passaic  County;  William  V. 
Steele,  Somerville,  Referee  for  Somerset  and  Himterdon  Counties;  At- 
wood  L.  DeCoster,  Summit,  Referee  for  Union  County;  William  H. 
Morrow,  Belvidere,  Referee  for  Warren  County. 

NEW  MEXICO  (8th  Circuit). 

First   District. 

Associate  Justice,  John  R.  McFie. 

Clerk  District  Court,  Alfred  M.  Bergere,  Santa  Fe. 

Referees  with  Jurisdiction.  Benjamin  M.  Read,  Sante  Fe,  Referee  for 
the  Counties  of  Sante  Fe,  San  Juan,  Rio  Arriba  and  Taos  (resigned). 

Second  District. 
Associate  Justice,  Beni.  S.  Baker,  Albuquerque. 


530  JUDGES,   CLERKS  AND  REFEREES. 

Clerk  District  Court,  William  E.  Dame,  Albuquerque. 

Referees  with  Jurissdictions.  William  D.  Lee,  Albuquerque,  Referee 
for  Bernalillo  and  Valencia  and  McKinley  Counties. 

Third  District. 

Associate  Judge,  Frank  W.  Parker,  Silver  City. 

Clerk  District  Court,  James  P.  Mitchell,  Las  Cruces. 

Referees  with  Jurisdictions.  H.  B.  Holt,  Las  Cruces,  Referee  for  the 
Coimties  of  Grant,  Donna,  Ana,  Sierra,  Lima  and  Otero. 

Fourth  District. 

Chief  Justice,  Wm.  J.  Mills,  Las  Vegas. 

Clerk  District  Court,  Secundino  Romero,  Las  Vegas. 

Referees  with  Jurisdictions.  C.  M.  Bayne,  Raton,  Referee  for  the  Coun- 
ties of  Union,  Colfax;  S.  B.  Davis,  Jr.,  Las  Vegas,  Referee  for  Coimties 
of  San  Miguel,  Guadalope  and  Mora. 

Fifth  District. 

Associate  Justice,  Daniel  H.  McMillan,  Socorro. 

Clerk  District  Court,  John  E.  Griffith,  Socorro. 

Referee  with  Jurisdictions.  W.  E.  Kelley,  Socorro,  Referee  for  the 
Coimties  of  Socorro,  Lincoln,  Chavez  and  Edely. 

NEW  YORK  (2nd  Circuit). 

NORTHERN  DISTRICT. 

District  Judge,  Geo.  W.  Ray,  Norwich. 

Clerk  District  Court,  W.  C.  Doolittle,  Utica. 

Referees  with  Jurisdiction,  R.  A.  Gunnison,  Binghamton,  Referee  for 
the  Counties  of  Boone,  Chenango  and  Delaware;  John  M.  Brainard,  Au- 
burn, Referee  for  Cayuga  County;  Henry  T.  Kellogg,  Plattsburg,  Referee 
for  the  Counties  of  Clinton,  Essex  and  Franklin;  Charles  L.  Stone,  Syra- 
cuse, Referee  for  the  Counties  of  Cortland  and  Madison;  R.  B.  Fish,  Ful- 
tonville.  Referee  for  thQ  Counties  of  Fulton,  Hamilton,  Montgomery; 
W.  H.  Comstock,  Utica,  Referee  for  the  Counties  of  Oneida  and  Herkimer; 
Joseph  Atwell,  Watertown,  Referee  for  the  Counties  of  Jefferson  and 
Lewis;  Nathan  B.  Smith,  Pulaski,  Referee  for  Oswego  County;  B.  W. 
Hoye,  Oneonta,  Referee  for  Otsega  County;  Edwin  A.  King,  Troy,  Ref- 
eree for  the  Counties  of  Rensselaer  and  Washington;  John  C.  Tulloch, 
Ogdensburg,  Referee  for  St.  Lawrence  County;  James  Lee  Scott,  Sara- 
toga Springs,  Referee  for  the  Counties  of  Saratoga,  Schnectady  and 
Warren;  WilUam  Lansing,  Albany,  Referee  for  Albany,  Schoharie  County; 
George  S.  Tarbell,  Ithaca,  Referee  for  the  Counties  of  Tioga  and  Tomp- 
kins. 


JUDGES,  CLERKS  AND  REFEREES.  531 

SOUTHERN  DISTRICT. 

District  Judge,  Geo.  B.  Adams,  New  York. 

Clerk  District  Court,  Thomas  Alexander,  New  York. 

Referees  with  Jurisdiction,  Charles  M.  H.  Arnold,  Poughkeepsie,  Referee 
for  Duchess  Cotmty;  Walter  C.  Anthony,  Newburgh,  Referee  for  Orange 
County;  Theodore  Cuf  149  Broadway,  Nathaniel  S.  Smith  302  Broadway, 
Stanley  M.  Dexter,  71  Broadway,  Ernest  Hall,  64  WilUam  street,  George 
C.  Holt,  34  Pine  street,  Macgrane  Coxe,  63  Wall  street.  Seaman  Miller, 
346  Broadway,  Peter  B.  Olney,  68  William  street,  Francis  K.  Pendle- 
ton, 27  Williams  street,  N.  A.  Prentiss,  120  Broadway,  John  J.  Town- 
send,  45  Cedar  street,  Morris  S.  Wise,  40  Exchange  place.  Referees  for 
New  York  City;  Sylvester  H.  Thayer,  Yonkers,  Referee  for  Westchester 
Cotmty;  Amon  Van  Etten,  Rondout,  Referee  for  Ulster  County;  Clayton 
Ryder,  Cannel,  Referee  for  Putnam  County;  Ira  D.  De  Lamater,  Hudson, 
Referee  for  Colimibia  County;  William  T.  B.  Storms,  Nyark,  Referee  for 
Rockland  County. 

EASTERN  DISTRICT. 

District  Judge,  Edward  B.  Thomas,  Brooklyn. 

Clerk  District  Court,  Richard  P.  Morle,  Brooklyn. 

Referees  with  Jurisdiction,  Robert  F.  Tilney,  26  Court  street,  Brook- 
lyn; Frank  Rejmolds,  16  Court  street,  Brooklyn,  and  Waldo  E.  BuUard, 
26  Court  street,  Brooklyn,  Referees  for  Kings  County;  for  Queens  and 
Nassau  Counties,  Charles  A.  Tipling,  26  Jackson  avenue.  Long  Island 
City;  for  Suffolk  Cotmy,  William  G.  Nicoll,  Babylon,  Suffold  County; 
for  Richmond  Covmty,  Charles  L.  Hubbell,  West  New  Brighton,  Staten 
Island. 

WESTERN  DISTRICT. 

District  Judge,  John  R.  Hazel,  Buffalo. 

Clerk  District  Court,  George  P.  Keating,  Buffalo. 

Referees  with  Jurisdiction,  W.  L.  Ward,  Wellsville,  Referee  for  Alle- 
gany County;  V.  E.  Peckham,  Jamestown,  Referee  for  the  Counties  of 
Cattaraugus  and  Chautauqua;  W.  H.  Hotchkiss,  Buffalo,  Referee  for 
Erie  Coimty;  Roswell  E.  Moss,  Elmira,  Referee  for  Chemimg  County; 
Quincy  Van  Voorhis,  Rochester,  Referee  for  Monroe  County;  Delmar 
M.  Darrin,  Bath,  Referee  for  the  Counties  of  Steuben  and  Livingston; 
George  D.  Judson,  Lockport,  Referee  for  the  Counties  of  Niagara  and 
Orleans;  Asa  B.  Priest,  Canandaigua,  Referee  for  Ontario  County;  John 
Knight,  Arcade,  Referee  for  the  Counties  of  Genesee  and  Wyoming; 
Charles  M.  Woodward,  Watkins,  Referee  for  Schuyler  Coimty;  Charles 
A.  Hawley,  Seneca  Falls,  Referee  for  the  Counties  of  Seneca,  Yates  and 
Wayne. 


532  JUDGES,  CLERKS  AND  REFEREES. 

NORTH  CAROLINA  (4th  Circuit). 
EASTERN  DISTRICT. 

District  Judge,  Thomas  R.  Pumell,  Raleigh. 

Clerk  District  Court,  H.  L.  Orant,  Raleigh. 

Referees  with  Jurisdiction,  Charles  Guirken,  Elizabeth  City,  Referee 
for  the  Counties  of  Currituck,  Camden,  Pasquotank,  Perquimans,  Chowan, 
Gates,  Dare,  Hyde,  Tyrrell  and  Washington;  James  R.  Gaskill.Tarboro, 
Referee  for  the  Counties  of  Hertford,  Bertie,  Martin,  Edgecombe,  Hali- 
fax, Northampton,  Beaufort,  Nash  and  Pitt;  L.  J.  Moore,  Newbum, 
Referee  for  the  Counties  of  Crain,  Lenoir,  Jones,  Pamlico,  Carteret, 
Wayne  and  Onslow;  S.  H.  Macrae,  Fayette ville,  and  S.  P.  Collier,  Wil- 
mington, Referees  for  the  Counties  of  New  Hanover,  Pender,  Brunswick 
Colximbus,  Bladen,  Robeson,  Sampson,  Duplin,  Cumberland,  Richmond, 
Hartnett  and  Scotland;  Victor  C.  Boyden,  Raleigh,  Referee  for  the  Coun- 
ties of  Wake,  Chetham,  Johnston,  Wilson,  Dunham,  Person,  Granville, 
Franklin,     Vance,     Warren     and     Moore. 

WESTERN  DISTRICT. 

District  Judge,  James  E.  Boyd,  Greensboro. 

Clerks  District  Court,  Henry  C.  Cowles,  Statesville;  W.  C.  Hyams, 
Asheville,  and  S.  L.  Trogdon,  Greensboro. 

Referees  with  Jurisdiction,  H.S.  Anderson,  Henderson  ville.  Referee 
for  the  Counties  of  Polk,  Rutherford,  Lincoln,  Gaston,  Cleveland,  Union, 
Anson,  Buncombe,  Henderson,  Transylvania,  Burke  and  Catawba;  J.  R. 
McCrary,  Lexington,  Referee  for  the  Counties  of  Davie,  Davidson,  Ala- 
mance, Randolph,  Montgomery,  Guilford,  Orange,  Rockingham,  Cas- 
well, Rowan,  Iredell,  Stanley;  Alfred  A.  Dula,  Referee  for  the  Counties 
of  Caldwell  and  Alexander;  J.  E.  Alexander,  Winston-Salem,  Referee  for 
the  Counties  of  Alleghany,  Ashe,  Watauga,  Forsythe,  Stokes,  Yadkin, 
Surry  and  Wilkes;  J.  J.  Hooker,  Webster,  Referee  for  the  Coimties  of 
Swan,  Jackson,  Graham,  Clay  and  Cherokee 

NORTH  DAKOTA  (8th  Circuit) . 

District  Judge,  Charles  F.  Amidon,  Fargo. 

Clerk  District  Court,  J.  A.  Montgomery,  Fargo. 

Referees  with  Jurisdiction,  L.  H.  Whithead,  Grand  Forks,  Referee  for 
the  Coimties  of  Grand  Forks,  Traill,  Walsh,  Pembina,  Cavalier,  Nelson, 
Ramsey,  Eddy,  Benson,  Towner,  Rolette,  Bottineau,  Pierce,  McHenry, 
Ward  and  Williams;  Guy  L.Wallace,  Fargo,  Referee  for  the  Counties  of 
Burleigh,  Stustman,  Logan,  Mcintosh,  Emmons,  Kidder,  Foster,  Wells, 
McLean,  Stark,  Morton,  Oliver,  Mercer,  Billings,  Cass,  Richland,  Barnes, 
Dickey,  Sargent,  La  Moure,  Ransom,  Griggs  and  Steele. 


JUDGES,  CLERKS  AND  REFEREES.  633 

OHIO. 
NORTHERN  DISTRICT. 

District  Judges,  Augustus  J.  Ricks  and  F.  J.  Wing,  Cleveland. 

Clerk  District  Court,  H.  P.  Carleton,  Cleveland. 

Referees  with  Jurisdiction,  Fordyce  Belford,  Toledo,  Lucas,  Fulton  and 
Williams  Counties;  Robert  Carey,  Upper  Sandusky,  Wyandotte  and  Marion 
Counties;  W.  C.  Carman,  Yotmgstown,  Mahoning  Coimty;  Chas.  D.Dickin- 
son, Leetonia,  Columbiana  Cotmty;  Dayton  A.  Doyle,  Akron,  Summit 
County;  L.  B.  Faarver,  Elyria,  Lorain  and  Medina  Counties ;  Ed.  M.  Fries, 
Bowling  Green,  Wood  and  Henry  Counties;  John  W.  Grimm,  Findlay, 
Hancock  Cotmty;  L.  F.  Himter,  Warren,  Trtmibull  County;  Chas.  H. 
Keating,  Mansfield,  Richland  Coimty;  W.  F.  Kean,  Wooster,  Wayne  and 
Holmes  Counties;  T.  H.  LoUer,  Dennison,  Tuscarawas  County;  A.  M. 
McCarty,  Canton,  Stark  and  Carroll  Covmties;  W.  L.  Monnett,  Bucyrus, 
Crawford  County;  J.  H.  McGiffert,  Ashtabula,  Ashtabula  County;  Harold 
Remington,  Cleveland,  Cuyahoga  County;  H.  G.  Richie,  Van  Wert, 
Van  Wert  County;  Geo.  B.  Smith,  Ashland,  Ashland  County;  W.  B, 
Brattain,  Paulding,  Patdding  and  Defiance  Counties;  Frank  E.  Seager, 
Fremont,  Sandusky  Coimty;  Geo.  E.  Scroth,  Tifiin,  Seneca  Coimty;  E.  S. 
Stephens,  Sandusky,  Erie  and  Ottawa  Covmties;  S.  S.  Wheeler,  Lima, 
Allen,  Auglaize  and  Putnam  Coimties ;  L.  W.  Wickham,  Norwalk,  Huron 
County;  Lewis  J.  Wood,  Painesville,  Lake,  Geauga  and  Portage  Coimties; 
Chas.  S.  Yoimger,  CeUna,  Mercer  Coimty;  George  E.  Crane,  Kenton, 
Hardin  County. 

SOUTHERN  DISTRICT. 

District  Judge,  A.  C.  Thompson,  Cincinnati. 

Clerk  District  Court,  B.  R.  Cowen,  Cincinnati. 

Referees  with  Jurisdiction,  J.O.  McMannis,  West  Union,  Adams  County; 
L.  A.  Koons,  Athens,  Athens  and  Hocking  Counties;  James  M.  Rees,  St. 
Clairsville,  Belmont  County ;  Wm.  D.Yoimg,  Ripley,  Brown  County;  H.  H. 
Haines,  Hamilton,  Butler  County ;  George  W.  Poland,  Urbana,  Champaign 
County;  Frank  M.  Knapp,  Springfield,  Clark  Coimty;  William  C.  Bishop, 
Batavia,  Clermont  County;  Frank  B.  Mills,  Wilmington,  Clinton  Coimty; 
Elijah  Devor,  Greenville,  Darke  County;  Chas.  M.  McElroy,  Delaware, 
Delaware  County;  Chas.  C.  Carpenter,  Lancaster,  Fairfield  County;  Lee 
Rankin,  Washington,  C.  H.,  Fayette  County;  CM.  Rogers,  Columbus, 
Franklin,  Madison  and  Licking  Counties;  T.  E.  Bradbury,  Gallipolis, 
Gallia  Coimty;  G.  D.  Dugan,  Cambridge,  Guernsey  Coimty;  WilUam  S. 
Howard,  Xenia,  Greene  County;  R.  H.  Minteer,  Cadiz,  Harrison  County; 
Henry  C.  Dawson,  Hillsboro,  Highland  County;  Chas.  T.  Greve,  Cincin- 
nati, Hamilton  County;  Alfred  Mack,  Cincinnati,  Hamilton  County; 
Morison  R.  Waite,  Cincinnati,   Hamilton  County;  Wm.   H.Whittaker 


534  JUDGES,  CLERKS  AND  REFEREES. 

Cincinnati,  Hamilton  County;  Evan  E.  Eubanks,  Jackson,  Jackson  and 
Vinton  Cotinties;  Justin  E.  Moore,  Steubenville,  Jefferson  County;  W. 
L.  Gary,  Mt.  Vernon,  Knox  C«imty;  P.  C.  Booth,  Ironton,  Lawrence 
County;  Wm.  H.  West,  Bellefontaine,  Logan  County;  Albert  D. 
Russell,  Pomeroy,  Meigs  County;  George  H.  Black,  McConnellsville, 
Morgan  County;  Wm.  P.  Vaughan,  Cardington,  Morrow  Coimty;  Fred 
S.  Gates,  Zanesville,  Muskingum  Cotmty;  Walter  S.  Kessler,  Troy, 
Miami  Cotmty;  Walter  D.  Cline,  Dayton,  Montgomery  Coimty;  James 
L.  Sayler,  Eaton,  Preble,  Coimty;  John  Ferguson,  New  Lexington,  Perry 
Cotmty;  Harry  B.  Weaver,  Circleville,  Pickaway  County;  Elijah  Cut- 
right,  ChilUcothe,  Ross  Cotmty;  Cecil  S.  Miller,  Portsmouth,  Scioto 
County;  David  Oldham,  Sidney,  Shelby  Cotmty;  Robt.  McCreary, 
Marysville,  Union  Coimty;  John  E.  Smith,  Lebanon  Warren  Cotmty; 
Jewett  Palmer,  Marietta  Washington  County. 

OKLAHOMA  (8th  Circuit). 

First   District. 

Chief  Justice,  John  H.  Burford,  Guthrie. 

.    Clerk  District  Court,  F.  A.  Neal,  Guthrie. 

Referees  with  Jurisdictions.  S.  S.  Lawrence,  Guthrie,  Referee  for  the 
Counties  of  Logan,  Lincoln  and  Payne;  A.  G.  Ctmningham,  Woodward, 
Referee  for  Woodward  Cotmty. 

Second    District. 

Associate  Justice,  C.  F.  Irwin,  El  Reno. 

Clerk  District  Court,  E.  M.  Hegler,  El  Reno. 

Referees  with  Jurisdictions.  George  T.  Bowman,  Kingfisher,  Referee 
for  the  Counties  of  Canadian,  Blaine,  "D,"  Day,  Roger  Mills,  Custer  and 
Washington. 

Third  District. 

Associate  Justice,  B.  F.  Burwell,  Oklahoma  City. 

Clerk  District  Court,  B.  D.  Shear,  Olkahoma  City. 

Referees  with  Jurisdictions.     E.  E.  Hennessey,  Oklahoma  City,  Ref- 
eree for  the  Counties  of  Oklahoma,    Pottawatomie,  Cleveland  and  Greer. 

Fourth  District. 

Associate  Justice,  Bayard  T.  Hainer,  Perry. 

Clerk  District  Court,  J.  E.  Pickard,  Perry. 

Referees  with   Jurisdictions.     John  L.  Pancoast,    Perry,  Referee    for 
the  Counties  of  Beaver,  "P,"  Noble  and  Osage  Nation. 

Fifth  District. 

Associate  Justice,  John  K.  Beauchamp,  Enid. 


JUDGES,  CLERKS  AND  REFEREES.  535 

Clerk  District  Court,  C.  F.  McElish,  Enid. 

Referees  with  Jurisdictions.  Charles  H.  Parker,  Enid,  Referee  for  the 
Counties  of  Garfield,  Grant,  Blaine,  Roger  Mills;  Robert  A.  Lyle,  King- 
fisher, Referee  for  Covinties  of  Kingfisher,  Canadian,  Cleveland,  Curtis, 
and  Washita. 

OREGON  (9th  Circuit). 

District  Judge,  Charles  B.  Bellinger,  Portland. 

Clerk  District  Court,  E.  D.  McKee,  Portland;  Jos.  A.  Sladen,  Portland. 

Referees  with  Jurisdiction,  Alex  Sweek,  Portland,  Multnomah  County; 
Charles  H.  Page,  Astoria,  Clatsop  County;  Albert  Abraham,  Roseburg, 
Douglas  Coxmty;  H.  T.  Bagley,  Hillsboro,  Washington  Coimty;  C.  C. 
Bryant,  Albany,  Linn,  Benton  and  Lincoln  Counties;  M.  D.  L.  Rhodes, 
McMinnviUe,  Yamhill  County;  John  Bayne,  Salem,  Marion  Cotinty;  E. 
Holgate,  Corvallis,  Benton  County;  Thomas  FitzGerald,  Pendleton, 
Umatilla  County;  Florence  Olson,  Milwaukee,  Clackamas  Cotmty;  C.  A. 
Wintermeier,  Eugene,  Lane  County;  J.  B.  Messick,  Baker  City,  Baker 
Cotmty;  R.  E.  WiUiams,  Dallas,  Polk  County;  G.  S.  Reavis,  Enterprise, 
Wallowa  Covmty;  J.  W.  Hopkins,  Prineville,  Crook  Coimty;  Edward 
Dunn,  Condon,  Gilliam  County;  B.  O.  McCullough,  Grants  Pass,  Josephine 
County;  Win.  A.  Gowan,  Bums,  Harney  Cotmty. 

PENNSYLVANIA  (3rd  Circuit). 
EASTERN  DISTRICT. 

District  Judge,  John  B.  McPherson,  Philadelphia. 

Clerk  District  Court,  W.  C.  Craig,  Philadelphia. 

Referees  with  Jurisdiction,  Joseph  Mason,  1318  Stephen  Girard  Bldg., 
for  Philadelphia  County;  Theodore  M.  Etting,  705  Land  Title  Bldg., 
Philadelphia  Cotmty;  Alfred  Driver,  505  Chestnut  street,  Philadelphia 
County;  Byerly  Hart,  228  South  Third  street,  Philadelphia  County; 
Edward  F.  Hoffman,  560  Bullitt  Bldg.,  Philadelphia  County;  Richard^S. 
Hunter,  308  Walnut  street,  Philadelphia  County;  Christian  H.  Ruhl, 
Reading,  Berks  County;  William  C.  Ryan,  Doylestown,  Bucks  Cotmty; 
George  M.  Rupert,  West  Chester,  Chester  County;  George  E.  Darlington, 
Media,  Delaware  County;  B.  Frank  Eshleman,  Lancaster,  Lancaster 
County;  John  G.  Diefenderfer,  Allen  town,  Lehigh  County;  George  F. 
Coffin,  Easton,  Northampton  Cotmty;  C.  Henry  Stenson,  Norristown, 
Montgomery  Cotmty;  Wm.  M.  Fausset,  Pottsville,  Schuykill  Cotmty. 

MIDDLE  DISTRICT. 

District  Judge,  R.  W.  Archbald,  Scranton. 

Clerk  District  Court,  E.  R.  W.  Searle,  Scranton;  F.  P.  Snodgrass.'Har- 
risburg;  GeorgeC.  Scheuer,  Dep.  Clerk  Dist.  Ct.,  Scranton;  A.  J.  Colbum, 
Scranton. 


536  JUDGES^  CLERKS  AND  REFEREES. 

Referees  with  Jurisdiction: 

C.  A.  Van  Wormer,  Referee,  Scranton,  for  the  Counties  of  Lackawan- 
na, Susquehanna,  Wyoming  and  Maine. 

Alonzo  T.  Searle,  Referee,  Honesdale,  for  the  Counties  of  Wayne  and 
Pike. 

Henry  A.  Fuller,  Referee,  Wilkesbarre,  for  the  County  of  Luzerne. 
Louis  M.  Hall,  Referee,  Towanda,  for  the  County  of  Bradford. 
H.  A.  M.  KiUip,  Referee,  Bloomsburg,  for  the  County  of  Columbia. 
William  G.  Thomas,  Referee,  Mauch  Chimk,  for  the  County  of  Carbon. 
M.  H.  Taggart,  Referee,  Stmbury,  for  the   Counties  of  Northumber- 
land, Montour,  Snyder  and  Union. 

Leon  B.  Ferry,  Referee,  Wellsboro,  for  the  Coimty  of  Tioga. 

John  M.  Wilson,  Referee,  Williamsport,  for  the  Covmties  of  Lycoming 
and  SulUvan. 

Alonzo  R.  Moore,  Referee,  Coudersport,  for  the  Counties  of  Potter 
and  Cameron. 

Henry  C.  Quingley,  Referee,  Bellefonte,  for  the  Counties  of  Centre 
and  CUnton. 

M.  W.  Jacobs,  Referee,  Harrisburg,  for  the  Counties  of  Dauphin  and 
Perry. 

Cyrus  R.  Lantz,  Referee,  Lebanon,  for  the  Coimty  of  Lebanon. 

W.  Bronson  Orr,  Referee,  Chambersburg,  for  the  Counties  of  Franklin 
and  Fulton. 

WilUam  H.  Trude,  Referee,  Htmtingdon,  for  the  Counties  of  Htmting- 
don,  Mifflin  and  Juniata. 

WilUam  W.  Fletcher,  Referee,  Carlisle,  for  the  County  of  Cumberland. 

John  B.  McPherson,  Referee,  Gettysburg,  for  the  Counties  of  Adams 
and  York. 

WESTERN  DISTRICT. 
District  Judge,  Joseph  Buffington,  Pittsburg. 

Clerk  District  Court,  Wm.  T.  Lindsay,  Pittsburg;  Frank  W.  Grank, 
Erie.  , 

Referees  with  Jurisdictions,  William  R.  Blair,  Pittsburgh,  for  Allegheny 
County;  Joseph  M.  Force,  Erie,  Erie  County;  William  E.  Ransom,  Will- 
iamsport, Lycoming  County;  Thomas  C.  Hare,  Altoona,  Blair  County; 
Henry  Russell  Myers,  Washington,  Washington  County;  John  Q.  Van 
Swearingen,  Uniontown,  Fayette  County;  Fred  L.  Kahle,  Franklin,  Ve- 
nango County;  A.  G.  Richmond,  Meadville,  Crawford  County;  James 
R.  W.  Baker,    Mercer,    Mercer  County;  Horace  R.  Rose,    Johnstown, 


JUDGES^  CLERKS  AND  REFEREES.  537 

Cambria  and  Somerset  Cotmties;  Frank  L.  Harney,  Foxburg,  Clarion 
Cotmty;  Joseph  M.  McClure,  Bradford,  McKean  Covmty;  E.  H.  Beshlin, 
Warren,  Warren  Coimty;  J.  W.  Hutchinson,  Butler,  Butler  Coimty; 
James  E.  Keenan,  Greensburgh,  Westmoreland  County;  James  Denny 
Daugherty,  Kittanning,  Armstrong  County;  Edwin  Mahlon  Under 
wood.  New  Castle,  Lawrence  Coimty;  W.  C.  Pentz,  Du  Bois,  Clear- 
field County;  S.  J.  Telford,  Indiana,  Indiana  County;  Samuel  Russell 
Longenecker,  Bedford,  Bedford  Cotmty;  Thomas  Spencer  Crago,  Waynes- 
burg,  Greene  County;  William  T.  Darr,  Brookville,  JeflEerson  County. 

PORTO  RICO. 

District  Judge,  William  H.  Holt,  San  Juan. 

Clerks  District  Court,  Ricardo  Nadal,  San  Juan;  Frank  Antonsanti 
Mayaguez ;  Antonio  Aguayo. 

RHODE  ISLARD  (1st  Circuit). 
District  Judge,  A.  L.  Brown,  Providence. 
Clerk  District  Court,  W.  P.  Cross,  Providence. 

Referees  for  Entire  District,  Chester  W.  Barrows,  N.  W.  Littlefield, 
Providence. 

SOUTH  CAROLINA  (4th  Circuit). 
District  Judge,  William  H.  Brawley,  Charleston. 
Clerk  District  Court,  C.  J.  C.  Hutson,  Charleston. 

Referees  with  Jurisdiction,  Bnmson,  Wm.  A.,  Florence,  Florence 
Ck)xmty;  Jvdius  E.  Boggs,  Pickens,  Pickens  Coimty;  John  J.  Carle,  Col- 
umbia, Richland  County;  *B.  W.  Ball,  Laurens  County;  H.  E.  De  Pass, 
Spartenburg,  Spartenburg  County;  S.  Means,  Beaty,  Union,  Union 
Coimty;  Chas.  T.  Connors,  Lancaster,  Lancaster  County;  Wm.  W.  Wan- 
namaher,  Orangeburg,  Orangeburg  Comity;  R.  A.  Ellis,  Barnwell, 
Barnwell  County;  Sanders  Glover,  Yemassee,  Beaufort  County;  J.  N. 
O.  Gregory,  Saluda  C.  H.,  Saluda  County;  Julius  H.  Heyward,  Green- 
ville, Greenville  Coimty;  Edward  W.  Hughes,  Charleston,  Charleston 
County;  L.  C.  Inglis,  Bamberg,  Bamberg  County;  Thos.  J.  ICirkland, 
Camden,  Kershaw  County;  J.  Fraser  Lyon,  Abbeville,  Abbeville  County; 
Henry  A.  Meetze,  Lexington,  Lexington  County;  J.  E.  McDonald, 
Winnsboro,  Winnsboro  Cotmty;  John  J.  McLures,  Chester,  Chester 
County;  D.  T.  McNeill,  Conway,  Horry  County;  J.  M.  Paget,  Anderson, 
Anderson  County;  A.  M.  Rankin,  Darlington,  Darlington  and  Ches- 
terfield Counties;  I.  C.  Strauss  Sumter,  Sumter  County;  C.  W.  F. 
Spencer,  Rock  Hill,  York  Coimty;  Robert  A.  Thompson,  Walhalla, 
Oconee  County;  Robert  H.  Welch,  Newberry,  Newberry  County;  T.  W. 
Johnson,  Marion,  Marion  County. 

♦Deceased;  no  successor. 


538  JUDGES,  CLERKS  AND  REFEREES. 

SOUTH  DAKOTA  (8th  Circuit). 

District  Judge,  John  E.  Corland,  Sioux  Falls. 

Clerk  District  Court,  O.  S.  Pendar,  Sioxix  Falls. 

Referees  with  Jurisdiction,  Granville  G.  Bennett,  Deadwood,  Lawrence, 
Pinnington,  Custer,  Fall  River,  Meade  and  Butte  Counties;  John  F. 
Hughes,  Pierre,  Hughes  County;  Charles  N.  Harris,  Aberdeen,  Brown 
County;  Samuel  A.  Ramsey,  Woonsocket,  Sanborn,  all  Counties  S.  of 
Hand,  Hyde,  Kingsbury,  Brookings,  and  E.  of  Mo.  River,  except  Braelli 
County;  Ralph  W.  Parliman,  Sioux  Falls,  Minnehaha  Coxmty. 

Henry  A.  Mueller,  Sioux  Falls,  Referee  for  Counties  of  Clay,  Union, 
Yankton,  Turner,  Lincoln,  Bon  Homme,  Clark's  Mine,  Douglas,  Hutchin- 
son, Brab,  Aurora,  Davison,  Hanson,  McCrook,  Minnehaha,  Moody, 
Lake  Miner,  Sanborn,  Beadle,  Kingsbury,  Lyman,  Gregory,  Todd,  Crow 
Creek,  Lower  Brtde  and  Yankton  Indian  Reservations. 

The  above  counties  are  designated  as  "Districts  of  Referees  in  Bank- 
ruptcy," and  cases  are  referred  pursuant  to  the  following  rule: 

"In  case  any  petition  in  bankruptcy  is  filed  by  or  against  any  person 
residing  in  a  county  not  designated  as  a  Referee  District,  the  same  shall 
be  referred  to  a  Referee  in  the  Referee  District,  in  the  same  Division  of 
the  District  of  South  Dakota,  nearest  by  the  usually  traveled  route  to 
the  residence  of  the  person  by  or  against  whom  such  petition  is  filed; 
but,  if  such  case  is  one  of  volimtary  bankruptcy,  the  petitioner  may,  in 
writing,  at  the  time  of  filing  his  petition,  designate  the  Referee  District 
within  the  proper  division,  to  which  he  prefers  to  have  the  matter  re- 
ferred, and  the  reference  shall,  tmless  otherwise  ordered,  be  made  accord- 
ingly." 

TENNESSEE  (6th  Circuit) . 
EASTERN  DISTRICT. 

District  Judge,  Charles  W.  Clark,  Chattanooga. 

Clerk  District  Court,  Henry  O.  Ewing,  Chattanooga;  James  F.  Carter, 
Knoxville. 

Referees  with  Jurisdictions.  John  Cox,  Johnson  City,  Referee  for  the 
Counties  of  Johnson,  Carter,  Unicoi,  Sullivan,  Washington,  Greene,  Haw- 
kins, Hancock,  Cocke,  Hamblen;  W.  L.  Grayson,  Chattanooga,  and  J.  W. 
Caldwell,  Knoxville,  Referees  for  the  Covmties  of  Anderson,  Bradley, 
Bledsoe,  Blount,  Campbell,  Claiborne,  Cumberland,  Fentress,  Grainger, 
Hamilton,  James,  Jefferson,  Knox,  Loudon,  Marion,  McMinn,  Meigs, 
Monroe,  Morgan,  Polk,  Rhea,  Roane,  Sevier,  Scott,  Sequatchie  and 
Union. 

MIDDLE  DISTRICT. 
District  Judge,  Charles  D.  Clark,  Nashville. 


JUDGES^  CLERKS  AND  REFEREES.  539 

Clerk  District  Court,  Henry  M.  Doak,  Nashville. 

Referees  with  Jurisdiction,  A.  L.  Childress,  Nashville,  Referee  for  the 
entire  district,  comprising  the  Covinties  of  Bedford,  Cannon,  Cheatham, 
Clay,  Coffee,  Davidson,  Dekalb,  Davison,  Franklin,  Giles,  Gnindy, 
Hickman,  Hiomphreys,  Houston,  Jackson,  Lawrence,  Lewis,  Lincoln, 
Macon,  Marshall,  Matuy,  Montgomery,  Moore,  Overton,  Pickett,  Putnam, 
Robertson,  Rutherford,  Smith,  Stewart,  Sumner,  Trotisdale,  Van  Buren, 
Warren,  Wayne,  White,  Willingson  and  Wilson. 

WESTERN  DISTRICT. 
District  Judge,  Eli  S.  Hammond,  Memphis. 
Clerk  District  Court,  John  B.  Clough,  Memphis. 

Eastern  Division. 

Referees  with  Jurisdiction,  John  R.  Walker,  Trenton,  Referee  for  the 
Counties  of  Benton,  Carroll,  Chester,  Gibson,  Henry,  Hardman,  Hardin, 
Henderson,  Decatur,  Madison,  McNairy,  Obion,  Perry  Weakley,  Lake 
and  Crockett. 

Western  division. 

Richard  D.  Jordan,  Memphis,  Referee  for  the  Counties  of  Dyer,  Lauder- 
dale, Tipton,  Shelby,  Fayette  and  Hajrn'ood. 

TEXAS  (5th  Circuit). 
NORTHERN  DISTRICT. 

District  Judge,  Edward  R.  Meek,  Ft.  Worth. 

Clerk  District  Court,  J.  H.  Finks,  Dallas. 

Referees  with  Jurisdiction.  Eugene  Marshall,  Dallas,  Referee  for  the 
Counties  of  Navarro,  Johnson,  Ellis,  Kaufman,  Dallas,  Rockwell,  Hunt; 
G.  P.  Meade,  Fort  Worth,  Referee  for  the  Counties  of  Comanche,  Hood, 
Erath,  Tarrant,  Parker,  Palo  Pinto,  Wise,  Clay,  Jack,  Young,  Archer, 
Wichita,  Wilbarger,  Baylor,  Bailey,  Hardeman,  Cottle,  Motley,  Briscoe, 
Hall,  Childress,  Collingsworth,  Donley,  Armstrong,  Randall,  Deaf  Smith, 
Oldham,  Potter,  Carson,  Gray,  Wheeler,  Hemphill,  Lipscomb,  Ochiltree, 
Roberts,  Hutchinson,  Hansford,  Sherman,  Moore,  Hartley,  Dallam, 
Foard,  Parmer,  Swisher,  Castro,  Lamb,  Hale,  Floyd,  Cochran,  Dawson 
and  Hockley. 

WESTERN  DISTRICT. 

Waco  Division. 

Referees  with  Jurisdictions.  M.  C.  H.  Park,  Waco,  Referee  for  the 
Counties  of  Milan,  Robertson,  Leon,  Limestone,  Freestone,  McLennan, 
Falls,  Bell,  Coryell,  Hamilton,  Bosque,  Somerville  and  Hill;  K.  K.  Leg- 
gett,  Abilene,  Referee  for  the  Covmties  of  Eastland,  Stephens,  Throck- 
morton, Shackleford,  Callahan,  Taylor,  Jones,    Haskell,   Knox,  Noland, 


540  JUDGES,  CLERKS  AND  REFEREES. 

Fisher,  Stonewall,  Kent,  Dickens,  King,  Crosby,  Garza,  Lubbock,  Gaines, 
Andrews,  Mitchell,  Scurry,  Borden,  Howard,  Martin,  Midland,  Yoakum, 
Terry,  Lynn;  A.  W.  Wilson,  Brownwood,  Referee  for  the  Counties  of 
Glasscock,  Sterling,  Coke,  Tom  Green,  Crockett,  Schleicher,  Sutton,  Irion, 
Mills,  Runnels,  Coleman,  Brown,  Menard  and  Concho. 

EASTERN  DISTRICT. 

District  Judge,  David  E.  Bryant,  Sherman. 

Division  Returnable  to  Jefferson. 

Clerk  District  Court,  W.  E.  Singleton,  Jefferson. 

Referees  with  Jurisdictions.  J.  A.  Hurley,  Sulphur  Springs,  Referee 
for  the  Covmties  of  Bowie,  Camp,  Cass,  Franklin,  Harrison,  Hopkins, 
Marion,  Morris,  Titus  and  Upshur. 

Division  returnable  to  Tyler. 

Clerk  District  Court,  D.  W.  Parish,  Tyler. 

Referees  with  Jurisdiction.  C.  G.  White,  Referee  for  the  Covmties  of 
Anderson,  Angeline,  Cherokee,  Gregg,  Henderson,  Houston,  Nacogdoches, 
Panola,  Raines,  Rusk,  Shelby,  Smith,  Trinity,  Van  Zandt  and  Wood. 

Division  Returnable  to  Galveston. 

Clerk  District  Court,  CD.  Hart,  Galveston. 

Referees  with  Jurisdictions Referee  for 

the  Covmties  of  Austin,  Brazoria,  Chambers,  Colorado,  Fort  Bend,  Gal- 
veston, Grimes,  Harris,  Madison,  Mortagorda,  Montgomery,  Walker,  Wal- 
ler, Wharton  and  Jackson. 

Division  Returnable  to  Paris. 
Clerk  District  Court,  John  B.  Dailey,  Paris. 

Referees  with  Jurisdictions.  F.  B.  Dillard,  Referee  for  the  Cotmties  of 
Delte,  Fannin,  Grayson,  Lamar  and  Red  River. 

Division  Returnable  to  Beaumont. 
Clerk  District  Court,  C.  Dart,  Jr.,  Beaumont. 

Referees  with  Jurisdictions.  W.  J.  Crawford,  Beaumont,  Referee  for 
the  Counties  of  Jasper,  Jefferson,  Liberty,  Newton,  Orange,  Polk,  Sabine, 
San  Augustine. 

SOUTHERN  DISTRICT. 
District  Judge,  Walter  T.  Bums,  Houston. 
Clerk  District  Court,  C.  Dart,  Galveston. 

Counties  Returnable  to  Galveston. 

Austin,  Brazoria,  Chambers,  Fort  Bend,  Galveston,  Matagorda, 
Wharton. 


JUDGES,  CLERKS  AND  REFEREES.  541 

Counties  Returnabte  to  Houston. 

Brazos,  Calhoun,  Colorado,  Goliad,  Grimes,  Harris,  Jackson,  Lavaca, 
Madison,  Montgomery,  Polk,  San  Jacinto,  Trinity,  Victoria,  Walker, 
Walter. 

Counties  Returnable  to  Laredo. 

Referee  with  Jurisdictions.  Referee  A.  Winslow,  Laredo,  Referee  for 
Aransas,  Dimmit,  Duval,  Lasalle,  McMuUen,  Ninces,  Refugio,  San  Pa- 
tricio, Webb,  Zabato. 

Counties  Returnable  to  Brownsville. 

Cameron,    Hidalgo,    Stair. 

WESTERN  DISTRICT. 

District  Judge,  Thomas  S.  Maxey,  Austin. 

Division  Returnable  to  San  Antonio. 

Clerk  District  Court,  A.  Grosenbacher,  San  Antonio. 

Referees  with  Jurisdictions.     T.  M.  Watlington,  San  Antonio,  Referee 

for  the  Coimties  of  Atacosa,  Bandera,  Bexar,  Bee,  Comal,  Calhoim,  De- 

witt,  Edwards,  Frio,  Guadalupe,  Gonzales,  Goliad,  Kerr,  Kendall,  ICin- 

ney,  Karnes,  Lavaca,  Live  Oak,  Medina,  Maverick,  Nueces,  Uvalde,  Val- 

verde,  Wilson  and  Zavalla. 

Division  Returnable  to  El  Paso. 

Clerk  District  Court,  J.  T.  Hodgson,  El  Paso. 

Referees  with  Jurisdictions.     M.I.  Killegon, • ,  Referee 

for  the  Coimties  of  Brewster,  Buchel,  Bailey,  Castro,  Cochran,  Crane, 
Dawson,  El  Paso,  Ector,  Foley,  Floyd,  Hale,  Hockley,  Jeff  Davis,  Lamb, 
Lynn,  Loving,  Presidio,  Pecos,  Parmer,  Reeves,  Swisher,  Terry,  Upton, 
Winkler,  Yoakum  and  Ward. 

Division  Returnable  to  Waco. 

Clerk  District  Court,  L.  B.  McCuUoch,  Waco. 

Division  Returnable  to  Austin. 

Clerk  District  Court,  D.  H.  Hart,  Austin. 

Referees  with  Jurisdictions.  Franz  Fiset,  Austin,  Referee  for  the 
Counties  of  Blanco,  Bastrop,  Burleson,  Burnet,  Caldwell,  Fayette,  Lilies- 
pie,  Hays,  Kimble,  Lee,  Llano,  Lampassas,  Mason,  McCuUough,  Milan, 
San  Saba,  Travis,  Washington  and  Williamson;  A.  Winslow,  Laredo, 
Referee  for  the  Counties  of  Duval,  Lasalle,  McMuUen,  Webb,  Zapata, 
Nueces,  San  Patricio,  Arancos,  Refugio. 

UTAH  (8th  Circuit). 
District  Judge,  John  A.  Marshall,  Salt  Lake  City. 


542  JUDGES,  CLERKS  AND  REFEREES. 

Clerk  District  Coitrt,  J.  R.  Letcher,  Salt  Lake  City. 

Referees  with  Jurisdiction,  Pearl  E.  Keeler,  Logan  City,  Referee  for 
Cache  County;  Thomas  Maloney,  Ogden  City,  Referee  for  the  Cotinties 
of  Weber  and  Box  Elder  and  Davis;  Charles  Baldwin,  Salt  Lake  City, 
Referee  for  Salt  Lake  Cotinty  and  Tooele  County;  Elmer  E.  Corfman, 
Provo  City,  Referee  for  the  County  of  Utah;  Frank  H.  Holzheimer, 
Eureka,  Referee  for  Juab  Coimty;  George  Christensen,  Mt.  Pleasant, 
Referee  for  San  Peet  Coimty;  John  Nowers,  Beaver  City,  Referee  for 
Beaver  County. 

Business  for  the  Coxmties  of  Kane,  Sevier,  Uinta,  Summit  and  Davis, 
on  accotmt  of  inability  to  find  persons  to  be  Referees,  has  been  referred 
to  other  referees  in  other  Counties. 

VERMONT  (2nd Circuit). 

District  Judge,  H.  H.  Wheeler,  Brattleboro. 

Clerk  District  Court,  George  E.  Johnson,  Burlington. 

Referees  with  Jurisdiction,  Frank  W.  Tuttle,  Vergennes,  for  Addison 
County;  George  W.  Deberville,  Burlington,  Chittenden  County;  Hiram 
M.  Mott,  St.  Albans,  Frankhn  County;  Fred  H.  McFarland,  Hyde  Park, 

Lamoille  County; ,  Bradford,  Orange 

Coimty;  John  W.  Redmond,  Newport,  Orleans  Coimty;  Joel  C.  Baker, 
Rutland,  Rutland  County;  Edward  H.  Deavitt,  Montpelier,  Washington 
Coimty;  Frank  D.  E.  Stowe,  Brattleboro,  Windham  County;  Gilbert  A. 
Davis,  Windsor,  Windsor  County;  Marshall  Montgomery,  St.  Johnsbury, 
Caledonia  and  Essex  Counties. 

VIRGINIA  (4th  Circuit) . 
EASTERN  DISTRICT. 

District  Judge,  Edmund  Waddill,  Jr.,  Richmond. 

Clerk  District  Court,  George  E.  Bowden,  Richmond,  Va. 

Deputy  Clerk,  Joseph  P.  Brady,  Alexandria;  Juno  S.  Fowler,  Rich- 
mond. 

Referees  with  Jurisdiction. 

District  Number  One. 

Referee  Walter  U.  Vamey  of  Alexandria,  Virginia,  comprising  the 
City  of  Alexandria,  and  the  Counties  of  Alexandria,  Fairfax,  Loudon, 
Prince  William,  Fauquier  and  Culpepper. 

District  Number  Two. 

Referee  Charles  P.  Caldwell,  of  Richmond,  Virginia,  comprising  the 
City  of  Fredericksburg,  and  the  Counties  of  Spottsylvania,  Stafford, 
King  George,  Westmoreland,  Richmond,  Northimiberland,  Lancaster, 
Essex,  King  and  Queen,  Middlesex,  Gloucester,  Orange,  Louisa,  Hanover, 
Caroline,  King  WiUiam,  New  Kent  and  Charles  City. 


JUDGES,  CLERKS  AND  REFEREES.  543 

District  Number  Three. 

Referee  Robert  H.  Talley,  of  Richmond,  Virginia,  comprising  the 
Cities  of  Richmond  and  Manchester,  and  the  Counties  of  Henrico,  Chester- 
field, Powhatan  and  Goochland. 

District  Number  Four. 

Referee  W.  W.  Forbes,  of  Farmville,  Virginia,  comprising  the  Coimties 
of  Prince  Edward,  Nottoway  and  Amelia. 

District  Number  Five. 

Referee  George  S.  Bernard,  of  Petersburg,  Virginia,  comprising  the 
City  of  Petersburg,  and  the  Coimties  of  Dinwiddie,  Prince  George,  Surry, 
Sussex,  Greensville,  Lunenburg,  Mecklenburg  and  Brunswick. 

District  Number  Six. 

Referee  John  B.  Locke,  of  Newport  News,  Virginia,  comprising  the 
Cities  of  Newport  News  and  Williamsburg,  and  the  Counties  of  James 
City,  Warwick,  York  and  Elizabeth  City. 

District  Number  Seven. 

Referee  Charles  H.  Causay,  Jr.,  of  Suffolk,  Virginia,  comprising  the 
Counties  of  Nansemond,  Isle  of  Wight  and  Southampton. 

District  Number  Eight. 

Referee  D.  Lawrence  Groner,  of  Norfolk,  Virginia,  comprising  the 
Cities  of  Norfolk  and  Portsmouth,  and  the  Counties  of  Norfolk,  Princess 
Anne  and  Matthews. 

District  Number  Nine. 

Referee  John  Gofiigon,  of  Cape  Charles  City,  Virginia,  comprising 
the  Counties  of  Accomac  and  Northampton. 

WESTERN  DISTRICT. 
District  Judge,  H.  Clay  McDowell,  Bigstone  Gap. 

Harrisburg  Division. 

Clerk  District  Court,  A.  K.  Fletcher,  Harrisonburg. 

Referees  with  Jurisdiction,  Walter  H.  Turner,  Front  Royal,  Referee 
for  City  of  Winchester,  Counties  of  Frederick,  Clarke,  Warren  and  Rap- 
pahannock; Robert  J.  Walker,  Mount  Jackson,  Referee  for  Counties  of 
Shenandoah  and  Page;  Charles  M.  Keezel,  Harrisonburg,  Referee  for  the 
Counties  of  Rockingham,  Greene,  Madison,  Shenandoah  and  Page;  J. 
E .  R.  Nelson,  Staunton,  Referee  for  the  City  of  Staunton  and  Buena 
Vista,  and  Countie?  of  Augusta,  Highland,  Bath,  Alleghany,  Rockbridge, 
Botewurt. 

Lynchburg  Division. 

Clerk  District  Court,  William  McCauley,  Lynchburg. 


544  JUDGES,  CLERKS  AND  REFEREES. 

Referees  with  Jurisdiction,  L.  O.  Hayden,  Charlottsville,  Referee  for 
the  City  of  Charlottsv-ille,  and  the  Cotmties  of  Albermarle  and  Fluvana; 
W.  C.  Franklin,  Pamlin,  Referee  for  the  Coiinties  of  Nelson,  Amherst, 
Appamattox,  Buckingham  and  Cumberland;  R.  C.  Blackford,  Ljmchburg, 
Referee  for  the  City  of  Lynchburg,  and  the  Covmties  of  Campbell  and 
Bradford;  G.  H.  Penn,  Roanoke,  Referee  for  the  City  of  Roanoke  and 
County  of  Craig. 

Danville   Division. 

Clerk  District  Court,  S.  W.  Martin,  Danville. 

Referees  with  Jurisdiction,  L.  S.  Thomas,  Danville,  Referee  for  the 
City  of  Danville,  and  the  Covmties  of  Pittsylvania,  Halifax  and  Charlotte; 
Franklin,  Henry  and  Patrick. 

Abingdon   Division. 

Clerk  District  Court,  Isaac  C.  Fowler,  Abingdon. 

Referees  with  Jurisdiction,  O.  T.  Bailey,  Abingdon,  W.  N.  Ragland, 
Radford,  Referees  for  the  City  of  Radford,  and  Cotmties  of  Montgomery, 
Giles  and  Floyd;  D.  F.  Bailey,  Bristol,  Washington  W.  Va.,  Referee  for 
Counties  of  Washington,  Smyth,  Grayson,  Russell,  Scott,  Lee,  Wise  and 
Dickinson;  Thornton  L.  Massie,  Pulaski,  Referee  for  the  Covmties  of  Pu- 
laski, Carroll,  Wythe,  Scott;  W.  C.  Pendleton,  Tazewell,  Referee  for  the 
Counties  of  Bland,  Tazewell  and  Buchanan. 

WASHINGTON  (9th  Circuit). 

District  Judge,  Cornelius  H.  Hanford,  Seattle. 

Clerk  District  Court,  R.  M.  Hopkins,  Seattle. 

Referees  with  Jurisdiction,  E.  C.  Ellis,  Whatcom,  and  John  P.  Hoyt, 
Seattle,  Referees  for  the  Counties  of  King,  Kitsap,  Snohomish,  Skagit, 
Whatcom,  Island,  Jefferson,  Clallam  and  San  Juan;  Adolph  Mvmter, 
Spokane,  and  F.  W.  Dewart,  Spokane,  Referees  for  the  Counties  of  Spo- 
kane, Stevens,  Adams,  Lincoln,  Douglas,  Okanogan,  Kittitas  and  Ferry; 
H.  W.  Canfield,  Colfax,  R.  D.  McCuUy,  Goldendale,  Geo.  T.  Thompson, 
Walla  Walla,  and  J.  A.  Taggard,  North  Yakima,  Referees  for  the  Counties 
of  Walla  Walla,  Franklin,  Columbia,  Asotin,  Garfield,  Whitman,  Yakima 
and  Klickitat. 

WEST  VIRGINIA  (4th  Circuit). 

District  Judge,  John  J.  Jackson,  Parkersburg. 

Clerk  District  Cou^tj  J.  Y.  Moore,  Clarksburg. 

Referees  with  Jurisdiction,  Frank  C.  Cox,  T\Tieeling,  Referee  for  Ohio, 
Wetzel,  Tyler,  Marion,  Monongahela  Covmties;  B.  L.  Butcher,  Fairmont, 
Eugene  Sommerville,  Grafton,  all  Northern  District;  Geo.  P.  Shirley, 
Parsons,  Referee  for  Counties  of  Tucker,  Randolph,  Ban  Buren;  James 


Judges,  clerks  and  referees.  545 

D.  Butt,  Martinsburg,  Referee  for  Counties  of  Jefferson,  Berkley,  Morgan 
and  Mineral;  W.  Frank  Stout,  Clarksburg,  Referee  for  County  of  Harrison; 
George  M.  Johnson,  Parkersburg,  all  Northern  District. 

WISCONSIN  (7th  Circuit). 
EASTERN  DISTRICT. 

District  Judge,  W.  H.  Seaman,  Sheboygan. 

Clerk  District  Court,  Edward  Kratz,  Milwaukee. 

Referees  with  Jurisdiction.  D.  Lloyd  Jones,  Milwaukee,  Wis.,  Referee 
for  Counties  of  Milwaukee,  Wavikesha,  Ozankee,  Washington,  and  Dodge; 
Charles  H.  Forward,  Oshkosh,  Referee  for  Counties  of  Winnebago,  Fond 
du  Lac,  Green  Lake,  Marquette  and  Waushara;  Paul  V.  Cary,  Appleton, 
Outagamie  County,  and  any  other  Coimties  in  the  Eastern  District  con- 
venient for  parties;  Paul  I.  Krez,  Sheboygan;  Charles  H.  Lee,  Racine, 
Referee  for  Counties  of  Racine,  Walworth  and  Kenosha;  Daniel  H.  Sum- 
ner, Waukesha,  T.  P.  Silverwood,  Green  Bay,  Referees  for  Brown  Coun- 
ty; Charles  Churchill,  Waupaca,  Referee  for  Counties  of  Waupaca  and 
Wauskara. 

Each  Referee  has  jurisdiction  of  any  case  assigned  from  any  part  of 
District. 

WESTERN  DISTRICT. 

District  Judge,  Romanzo  Bunn,  Madison. 

Clerk  District  Court,  Franklin  W.  Oakley,  Madison;  Alfred  Harrison, 
La  Crosse. 

Referees  with  Jurisdiction,  Henry  M.  Lewis,  Madison,  Theodore  M. 
Thorson,  West  Superior,  Guy  C.  Prentiss,  La  Crosse,  Referees  for  the 
Coimties  of  Adams,  Ashland,  Barron,  Bayfield,  Buffalo,  Burnett,  Chippe- 
wa, Clark,  Colvmibia,  Crawford,  Dane,  Douglas,  Eau  IClaire,  Grant, 
Green,  Iowa,  Iron,  Jackson,  Jefferson,  Juneau,  La  Crosse,  Lafayette, 
Lincoln,  Marathon,  Monroe,  Pepin,  Pierce,  Polk,  Portage,  Price,  Rich- 
land, Rock,  St.  Croix,  Sank,  Sawyer,  Taylor,  Trumpealeau,  Vernon, 
Vilas,  Washburn,  Wood. 

WYOMING  (8th  Circuit). 

District  Judge,  John  A.  Riner,  Cheyenne. 

Clerk  District  Court,  Louis  Kirk,  Cheyenne. 

Referees  with  Jurisdictions.  Clyde  M.  Watts,  Cheyenne,  Referee  for 
the  whole  district,  which  comprises  the  entire  state. 


GENERAL  INDEX. 


A. 

PAGE. 

Abate — suits  by  or  against  trustee  not  to,  by  death  or  removal  of — 

Sec.  46 158 

death  or  insanity  of  bankrupt  not  to.     Sec.  8 15 

Abbreviations — not   to   be   used   in   petition   or  schedules.     Gen. 

Ord.  V 260 

Absence    of   bankrupt — duties    and   remedies   of   creditors.     Gen. 

Ord.  IX 263 

Judge,  order  of  reference  during.     Form  No.  15 316 

referee  to  act,  when.     Sec.  38a  (3) 148 

clerk  to  refer  cases  when.     Sec.  18f 118 

Acceptance  of  appointment  by  trustee.     Form  No.  26 327 

Accommodation  paper,   statement  of,  in  voluntary  cases.     Form 

•     No.  1,  Sch.  A  (5) 291 

Account — deposition  to  prove  debts  in.     Gen.  Ord.  XXI   (1) 272 

what  averment  to  contain.     Gen.  Ord.  XXI  (1)  272 

sales,  required  of  trustees.     Gen.  Ord.  XVIII  (2) 268 

Accounts— false.     Sec.  29b  (2) 140 

inspection  refused.     Sec.  29c  (3) 141 

provable.     Sec.  63a  (4) 207 

of  marshall.     Gen.  Ord.  XIX 270 

trustee,  final.     Form  49,  Sec.  47a  (2) 270 

oath  to.     Form  No.  50 270 

referee  to  audit.     Gen.  Ord.  XVII. 348 

Acknowledgment  — of  assignment  of  claim.     Gen.  Ord.  XXI  (1) . .  270 

of  letter  of  attorney.     Gen.  Ord.  XXI  (5) 272 

Act — bankruptcy  to  limit  amoimt  collectable.     Sec.  65  (e) 219 

Actions — rights  of  pass  to  trustee  when.     Sec.   70   (a)  (6) 249 

Acts  of  Bankruptcy.     Sec.  3 31 

denial  of.     Form  No.  6 305 

jury  trial  of.     Sec.  19a '. 119 

Additional  Parties.     Sec.  2  (6) 19 

Addresses  of  Creditors — how  ascertained  and  filed.     Sec.  58a 185 

creditors  to  file  in  involuntary  cases.     Gen.  Ord.  IX 265 

voluntary  bankrupt  to  file.     Sec.  7  (8) 70 

Adjudicate — courts  of  bankruptcy  may.     Sec.  2  (1) 13 

or  dismiss  petitions,  referee  to.     Sec.  38a  (1) ' 147 

547 


548  GENERAL   INDEX. 

PAGE. 

Adjudication — appeal  from.     Sec.  25a  (1) 135 

by  referee.     Sec.  38  (1) 147 

contested,  costs  in.     Gen.  Ord.  XXXIV 280 

court  first  taking  to  retain  jurisdiction.     Gen.  Ord.  VI 261 

date  of  fixes  change  of  title.     Sec.  70a 241 

definition.     Sec.  1   (2) 4 

of  bankruptcy.     Form  No.  11 .311 

that  debtor  is  not  a  bankrupt.     Form  No.  12 312 

voluntary,    when.     Sec.    18g 119 

when  to  dissolve  levies,  judgments  and  attachments.     Sec 

67  (f) 229 

when  to  dissolve  liens.     Sec.  67  (c) 222 

Adjudications.     Sec.  18 113 

Administering  Estate — expense  of.     Sec.  62  (a) 204 

of  partnership  property.     Sec.  5h 57 

only  one  trustee  fee  allowed.     Sec.  48b. 164 

trustees  to  furnish  information  of.     Sec.  47a  (5) 160 

Admission — act  of  bankruptcy,  when  and  how.     Sec.  3a  (5) 41 

Adverse  Claimants — suits  against  by  trustee.     Sec.  23  (b) 127 

Affairs  of  Estate — right  to  inspection  denied.     Sec.  29c  (3) 140 

Arbitration — trustee  may  submit  controversy  to.     Sec.  26  (a) 139 

application  for  to  state,  what.     Gen.  Ord.  XXXIII 280 

arbitrators,  three,    how    chosen.     Sec.  26b 139 

finding  filed  in  court.     Sec.  26  (c) 139 

Arbitrators — how  chosen.     Sec.   26    (b) 139 

Arrest  of  Bankrupt.     Sec.  9  (a)   (b) 76,  77 

bankrupt,  protected  against.     Gen.  Ord.  XII 265 

Assets — of  estate,  property  fraudulently  conveyed,  remains.     Sec. 

67  (e)   227 

of  estate,  property  seized  when.     Sec.  3  (e) T . .  46 

none,  return  of.     Form  No.  48 346 

of  partners.     Sec.  5 51 

Assignable  Property.     Sec.  1  (23) 9 

Assigned  Claims — notice  of  assignment  given  to  original  claimant, 

by  whom.     Gen.  Ord.  XXI  (3) 271 

proof  of  assignment  to  be  filed.     Gen.  Ord.  XXI  (3) 271 

when  referee  to  make  order  subrogating  assignee  to  claimants. 

Gen.  Ord.  XXI  (3) 271 

Assignment — act  of  bankruptcy,  when.     Sec.  3  (a)  (4) 7  40 

of  claim,  acknowledged  before.     Gen.  Ord.  XXI  (5) 272 

definition  of.     Sec.  1  (25) 10 

for  benefit  of  creditors.     Sec.  3  (a)  (4) 40 

Assignments — by  bankrupt,  when  void.     Sec.  67  (f) 229 

Attachment — ^petition  creditor  may  obtain,  when.     Gen.  Ord.  IX. .  263 


GENERAL  INDEX.  549 


Attachments — when  void.     Sec.  67  (f) 229 

Attachments  Against  Debtors — when  may  issue.     Gen.  Ord.  IX . .   263 

Attempted  Extortion — how  punishable.     Sec.  29b  (5) 141 

Attendance— of  bankrupt.     Sec.  7a  (1)    (9) :: 69-72 

of  witness.     Sec.  21a,  Sec.  41a  (4) 154 

Attorney — general  letter  of.     Form  No.  20 321 

money  paid  to  in  contemplation  of  bankruptcy.     Sec.  20  (d) 
must  be  attorney  for  district  or  circuit  court.     Gen.  Ord.  IV  260 
name  and  place  of  business  of,  to  be  entered  on  docket.     Gen. 

Ord.  IV 260 

papers  filed  by,  to  be  endorsed.     Gen.  Ord.  IV 260 

proof  of  debt  by.     Form  No.  35 334 

referee  may  not  be  when.     Sec.  39  (b)  (2) 152 

when  notices  to  be  served  on.     Gen.  Ord.  IV 260 

Attorney  General — duties.     Sec.  53 169 

Attorney  in  Fact— letter  of.     Form  No.  21 322 

Attorney's  Fee — when  prior  claim.     Sec.  64  (b)  (3) 211 

when  paid  in  contemplation  of  filing  petition.     Sec.  60  (d) . .   202 

Auction — sales  to  be  by  trustee.     Gen.  Ord.  XVIII 269 

Auditing — accounts  of  trustee.  Gen.  Ord..     XVII 268 

Avoiding  title,  trustee  can  if  creditor  could.     Sec.  70  (e) 250 

Award  of  arbitrators.     Sec.  26  (c) 139 

Affidavit  of  Lost  Bill  or  Note.     Form  No.  37 336 

Affirm — who  may.     Sec.  20  (b) 121 

Affirmation — definition.     Sec.  1  (17) 8 

false,  pvmishment.     Sec.  20  (b) 121 

may  be  taken  in  lieu  of  oath.     Sec.  20  (b) 121 

oath  to  include.     Sec.  1  (17) .'  8 

Agent — creditors',  used  in  act,  includes.     Sec.  1  (9) 5 

"persons"  used  in  act,  includes.     Sec.  1  (19) 9 

proof  of  claim  by.     Gen.  Ord.  XXI  (1) 270 

debt  by.     Form  No.  35 334 

offenses  by  or  through.     Sec.  29b  (3) 7  141 

secured  debt  by.     Form  No.  36 335 

Agreement — as  to  value  of  securities.     Sec.  57h 182 

controversies  may  be  settled  by.     Sec.  26a 139 

Allowance  of  Appeals.     Gen.  Ord.  XXXVI 281 

of  attorneys'  fees.     Sec.  64  b  (3) 211 

Allowance  of  Claims — appeal  from.     Sec.  25a  (3) 15 

jurisdiction.     Sec.  2  (2) 135 

not  to  affect  prier  declared  dividends.     Sec.  60  (c) 200 

preferred  claims.     Sec.  57  (e) 177 

Allowance  of  ©acemptions.     Sec.  6 . . .  .■ 58 


55 O  GENERAL    INDEX. 

PAGE. 

Allowed  Claims — dividends  declared  on.     Sec.  65  (b) 218 

entitled  to  vote,  when.     Sec.  56  (a) 173 

Amendment — form  of;     Gen.  Ord.  XI 264 

must  be  ratified.     Gen.  Ord.  XI 264 

referee  to  cause.     Sec.  39  (2) 149 

setting  up  earlier  acts  of  bankruptcy.     Gen.  Ord.  VI 261 

when  allowed.     Gen.  Ord.  XI 263 

Amendment  of  Petition — when  to  assert  act  of  bankruptcy.     Gen. 

Ord.  VI 261 

Amount  and  Number  of  creditors.     Sec.  56  (a) 172 

Amoimt  of  Bond — to  be  given  by  creditors  in  involuntary  cases. 

Sec.  3  (e) 46 

of  referee.     Sec.  50  (a) 164 

of  trustee.     Sec.  50  (b) 165 

Amount  of  debts  necessary  for  voluntary  proceedings.     Sec.  4  (b) .  .     48 

Answer  to  Petition — creditors  may  file.     Sec.  59  (b) 191 

must  be  accompanied  by  list  of  creditors,  when.     Sec.  59  (d)   191 

when  may  be  filed.     Sec.  59  (b)  (1) 191 

Answer— in  equity.     U.  S.  Eq.  R.,  39,  40,  41 

Appeals— Sec.  25a,  Gen.  Ord.  XXXVI 135-281 

from  a  judgment  concerning  a  debt.     Sec.  25  a  (3) 135 

governed  by  equity  rules.     Sec.  25  (a) 135 

how  regulated.     Gen.  Ord.  XXXVI  (1) 281 

time  limit  for.     Gen.  Ord.  XXXVI  (2) 281 

from  a  judgment  concerning  discharge.     Sec.  25a  (2) 135 

from  a  judgment  of  adjudication.     Sec.  25  (a)  (1) 135 

Appeal  bond  not  required  of  trustees.     Sec.  25  (c) 138 

Appeals  and  Writs  of  Error.     Sec.  25 135 

Appearance — bankrupt  or  creditor  may  enter.     Sec.  18  (b) 115 

may  be  by  attorney.     Gen.  Ord.  IV 259 

when  that  of  trustee  may  be  ordered.     Sec.  11  (b) 84 

Appellate  Courts — definition.     Sec.  1   (3) 7      4 

jurisdiction.     Sec.  24 132 

of  Circuit  Court  of  Appeals.     Sec.  24b 133 

of  Supreme  Court.     Sec.  24a 132 

of  Supreme  Courts  of  the  territories.     Sec.  24a.  .    132 

Application  for  confirmation  of  composition.     Form  No.  61    358 

Appointment — of  appraisers.     Form  No.  13,  Sec.  70  (b) 250 

of  receivers.     Sec.  2    (3) 16 

to  seize  and  hold  property.     Sec.  3  (e) 46 

of  referees.     Sec.  34 145 

of  trustees.     Forms  Nos.  23  and  27,  Sec.  44  (a).  Gen.  Ord. 

XIII 324,  328,  267,  156 

of  trustees'  notice  of.     Form  No.  24,  Gen  Ord.  XVI 268 


GENERAL   INDEX.  551 

PAGE. 

Apportionment  of  Compensation  Among — referees.     Sec.  40  (c) . .  154 

trustees.     Sec.  48  (b) 164 

Appraisement — all  property  to  be  appraised.     Sec.  70  (b) 250 

Appraisers — appointed  by  court.     Sec.  70  (b) 250 

appointment,  oath,  etc.,  of.     Form  No.  13 313 

number  of.     Sec.  70  (b) 250 

to  report  to  the  court.     Sec.  70  (b) 250 

B. 

Bail — bankrupt  may  give  to  await  examination.     Sec.  9  (b) 77 

Bankers — when  may  be  adjudged  bankrupts.     Sec.  4  (b) 48 

Banks — national,  may  not  be  bankrupts.     Sec.  4  (b) 48 

designated  as  depositories.     Sec.  61 204 

shall  pay  out  money  how.     Gen.  Ord.  XXIX 277 

Bankrupt — arrest  of  exemption  from.     Sec.  9a 76 

Bankrupt — arrest  of,  exemption  from.     Sec.  9a 76 

to  prevent  leaving  district.     Sec.  9b 77 

release~from.     Gen.;  Ord.  XXX 277 

burden  of  proving  solvency  is  on.     Sec.  3  (c) 44 

composition,  when  may  be  offered  by.     Sec.  12  (a) So 

contempt  of,  for  refusal  to  deliver  assets.     Sec.  41 154 

death  or  insanity  of,  not  to  abate  proceedings.     Sec.  8 75 

detention  of.     Sec.  9 76 

discharge  of,  co-debtor  not  affected  by.     Sec.  16 104 

from  arrest.     Sec.  9 76 

debts.     Sec.  2  (12),  Sec  14,  Sec.  17.  .25,  89,  105 

revocation  of.     Sec.  16 104 

duties  of.     Sec.  7 69 

estate  of  defined,  what  includes.     Sec.  70 241 

jurisdiction  of  court  over.     Sec.  2  (7) 19 

examination  of  concerning  his  business.     Sec.  8  (9) 

arrest  of  for.     Sec.  9  (b) 77 

creditors  to  have  notice  of  .     Sec.  58a  (1) . .  185 

form  for.     Form  No.  29 329 

order  for.     Form  No.  28 328 

exemptions  of,  courts  of  bankruptcy,  jtmsdiction  of.     Sec. 

2  (11) 24 

exemptions  of,  allowance  of.     Sec.  6 58 

trustee  to  set  aside.     Sec.  47a  (11) 161 

extradition  of,  jurisdiction.     Sec.  2  (14) 27 

from  one  district  to  another.     Sec.  10 78 

is  competent  witness.     Sec.  21  (a) 122 

.  may  appear  by  attorney.     Gen.  Ord.  IV 260 


552  GENERAL  INDEX. 

PAGE. 

Bankrupt — Continued. 

may  conduct  proceedings  in  person.      Gen.  Ord.  IV 260 

offenses  by.     Sec.  29  (b) 140 

property  of   concealing,    punishment.     Sec.  29    (a) 140 

referee  may  order  surrendered.     Sec.  38a  (3)  . .    148 

seizure  of  before  adjudication.     Sec.  3  b 42 

suits  by  and  against.     Sec.  11 78 

title  to  vests  in  trustee.     Sec.  70 T  241 

trustee  may  avoid  transfer  of  when.     Sec.  70  e 250 

what  reckoned  in  determining    insolvency.     Sec.  1  (15) ...  .       7 

who  is.     Sec.  1  (4) .^       4 

who  may  be  adjudged.     Sec.  2  (1),  Sec.  4 13-47 

Bankruptcy — acts  of,  what  are.     Sec.  3 32 

adjudication  of.     18  (d),  Form  No.  12 117-312 

courts  of,  creation  and  jurisdiction.     Sec.  2 12 

jurisdiction    of    to    punish  violations  of    the    act. 

Sec.  2 12 

power  of  not  restricted  by  enumeration.     Sec.  2. .     12 

date  or  time  of  defined.     Sec.  1  (10) 6 

law  of,  congress  may  enact  court.     Sec.  8 1 

statute,  time  when  it  takes  effect 251 

Bankrupt's  petition  for  discharge.     Form  No.  57 354 

Belief — reasonable  cause  for  as  affecting  liens.     Sec.  67c  (2) 223 

Bills  or  notes  lost,  statement  of.     Form  No.  37 336 

Blanks  to  be  furnished  referee,  when.     Gen.  Ord.  Ill 259 

Bona   fide   holder — must  hold  for  value  prior  to  adjudication.     Sec. 

67  (e) 227 

of  property  protected.     Sec.  70  (e) 250 

Bonds — joint  and  several  when.     Sec.  50  (j) 166 

liability  on.     Sec.  50  (h) 166 

limitation  of  suits  on.     Sec.  50  (m) 7  166 

sued  on,  how.     Sec.  50  (h) 166 

sureties  on  number  of.     Sec.  50  (b) 165 

where  filed.     Sec.  50  (h) 166 

Bonds — applicant  for  receiver  must  give.     Sec.  3  (e) 46 

form  of.     Form  No.  9 -. 308 

seizure  of  property  must  give.     Sec.  69  (a)  . .   239 

liability  for  unlawful  seizure.     See  69 339 

for  appearance.     Sec.  9  (b) 

depositories  to  give.     Sec.  61 204 

of  marshal.     Form  No.  10 310 

petitioners  to  give,  form  of.     Form  No.  9,  Sec.  69 309, 239 


GENERAL  INDEX.  553 

PAGE. 

Bonds,  1?rustees' — ^no  appeals  allowed.    Sec.  25  (c) 138 

approved  by  referee.     Sec.  50b,  Form  No.  25,  26 165,  326,  327 

certified  copy  of  order  approving  evidence  of  vesting  title 

in.     Sec.  21  (e) 125 

corporation  may  be  surety  on.     Sec.  50  (g) 166 

court  fixes  amount  of  when.     Sec.  44a,  50  (c) 165 

creditors  fix  amount  of  when.     Sec.  50  (c) 165 

failure  to  give  vacates  office.     Sec.  50  (k) 166 

filed  in  clerks'  office.     Sec.  50  (h) 166 

form  of  trustee's  bond.     Form  No.  25 326 

sued  on,  how.     Sec.  50h 166 

sureties,  number  of.     Sec.  50  (e) 165 

referees.    Sec.  50a 164 

amount,  how  fixed.     Sec.  50a  .^ 164 

corporations,  sureties  on.     Sec.  50g 166 

failure  to  give  vacates  office.     Sec.  50k 166 

filed  where.     Sec.  50h 166 

limitation  of  suits  on.     Sec.  50  1 166 

Bond — order  approving  trustee's.     Form  No.  26 327 

when  bankrupt  may  give.     Sec.  69  (a) 239 

when  creditors  to  give.     Sec.  69  (a) 239 

possession  is  taken  of  bankrupt's  property.     Sec.  3 .  . . .  32 

Books  of  account — concealment  or  destruction  of.     Sec.  14  (b)  (2) .  .  100 

duty  of  bankrupt  to  produce  on  examination.     Sec.  3  (d) . .  .  .  45 

failure  to  keep  effect  of  on  discharge.     Sec.  14  (b)  (2) 48 

Belief — reasonable  cause  for  as  affecting  liens.     Sec.  67  (e)  (2) .  . .  .  223 

Bills  or  notes  lost,  statement  of.     Form  No.  37 336 

Burden  of  Proof — discharge  creditors  have  who  oppose.     Sec.  15 ... .  103 

solvency  is  on  bankrupt  when.     Sec.  3  (c) ,  Sec.  3  (e) 44—46 

Business  of  Bankrupt — continuation  of  authorized.     Sec.  2  (5) ...  .  18 

place  of  may  determine  jurisdiction.     Sec.  2  (1) 13 

C. 

Cases — appeals  in  what  may  be  taken.     Sec.  25 135 

in  which  referees  not  to  act.     Sec.  40  (b) 153 

index  of  to  be  kept  by  clerk.     Sec.    71 255 

jurisdiction  to  reinstate.     Sec.  2  (12) 25 

preceedings  in  partnership.     Gen.  Ord.  VIII 263 

referees  fee  in  cases  transferred.     Sec.  40  (b) 153 

reference  of  when  judge  absent.     Sec.  18  (g) 119 

after  adjudication.     Sec.  22 .'  125 

order  of.     Form  No.  14 314 

record  of  how  and  by  whom  kept.     Sec.  42 155 

transfer  of  from  one  referee  to  another.     Sec.  22  (b) 126 


554  GENERAL   INDEX. 

PA6B. 

Cases — Continued 

jurisdiction  to.     Sec.  2  (19) o  30 

when  to  another  district.     Gen.  Ord.  IV 260 

when  may  be  tried  before  a  jury.     Sec   19 119 

Certificate — by  referee  to  judge.     Gen.  Ord.  XXIII .'  275 

form  of.     Form  No.  56 353 

of  controversies  to  the  Supreme  Court.     Sec.  25  (d) 138 

of  justice  of  Supreme  Court  necessary  to  appeals  in  what 

cases  Sec.  25  (b)  (2) 137 

of  discharge,  form  of.     Form  No.  59 356 

when  to  issue.     Sec.  14 89 

of  search  clerks  to  issue.     Sec.  71 255 

Certified  Copies  of — proceedings  in  bankruptcy  evidence.     Sec.  21  (d)  124 

order  concerning  composition  or  discharge.     Sec.  21  (f) .  . . .  125 

order  approving  trustee's  bond  evidence  of   title.     Sec.  21  (e)  125 

order  confirming  composition   evidence   of  investing  title. 

Sec.  21  (g) 125 

Certiorari — when  writs  of  may  issue.     Sec.  25  (d) 138 

Checks — money  to  be  paid  out  by  only.     Sec.  47  (a)  (4),  Gen.  Ord. 

XXIX 160,  277 

to  be  coiintersigned  by  judge  or  referee.     Gen.  Ord.  XXIX . .  277 

Children's  allowance  not  affected  by  death.     Sec.  8 75 

Choice  of  new  trustee  form  of  order  for.     Form  No.  55 352 

Choses  in  action  statement  of.     Form  No.  1,  Sch.  B  (3) 298,  294 

Circuit  Court — (see  covirts)  cases  may  be  certified  to  for  trial  by  jury. 

Sec.  19  (b) 120 

concturent  jurisdiction  of  offenses.     Sec.  23  (c) 132 

jurisdiction  of  in  law  and  equity.     Sec.  23  (a) 126 

over  suits  by  trustees  when.     Sec.  23  (a) 126 

Circuit  Court  of  Appeals — (see  courts)   (see  appeals)  appeals  from 

courts  of  bankruptcy  to  .     Sec.  24  (f) 133 

are  Appellate  Courts  of  bankruptcy.     Sec.  1  (3) 4 

jurisdiction  of  over  bankruptcy.     Sec.  24  (a) 132 

practice  governing  appeal  to.     Gen.  Ord.  XXXIII 280 

to  Supreme  Court  from.     Sec.  25  (b) '.  137 

Claimant — cannot  collect  more  than  act  authorizes.     Sec.  65  (e) . .  219 

when  to  be  served  with  notice  of  depositions.     Sec.  21  (c) . .  124 

Claims — (see  debt)    (proof  of  claims)   account  open,  how  proved. 

Gen.  Ord.  XXI  (1) 270 

adverse  claims,  bankruptcy  court  jurisdiction  to  determine. 

Sec.  2  (7) 19 

against  other  bankrupts  may  be  proved  by  trustee.     Sec.  57 

(m) 184 

allowed  after  dividends,  how  paid.     Sec.  65  (c) 218 


GENERAL   INDEX.  555 

PAGE. 

Claims — Continued. 

jurisdiction  to  allow.     Sec.  2  (2) 15 

unless  opposed  to  be  allowed.     Sec.  57  (d) 177 

reconsideration  of  allowance.     Sec.   57k 184 

amount  of  computation  of.     Sec.  59  (a) 187 

appeal  from  allowance  of.     Sec.  25  a  (3) 135 

assignment  of  claims,  how  shown.     Gen.  Ord.  XXI  (3) .  .  .  .  271 

bankrupt  to  examine.     Sec.  7  (3) 70 

compounding  claims.     Gen.  Ord.  XXVIII 276 

false,  oath  as  to  (see  offenses).     Sec.  29b  (3) 141 

false,  bankrupt  to  inform  trustee  as  to.     Sec.  7  (7) 70 

firm,  proved  against  bankrupt  member.     Sec.  5  (a) 51 

limitations  of  time  to  prove.     Sec.  57n 7  184 

liquidation  of.     Sec.  64b 211 

list  of  recorded  by  referee.     Form  No.  40 338 

partnership  against  individual  estate.     Sec.  5  (f) 57 

penalties  and  forfeitures  not  allowed.    Sec.  57  j 184 

prior  in  paj'^ment.     Sec.  64 610 

proof  of,  (see  proof  of  claims) .     Sec.  57 173 

bankrupt  to  examine  correctness  of.     Sec.  7  (3) ... .  70 

before  whom  oath  may  be  taken.     Sec.  20 121 

corporations,  how  prove.     Gen.  Ord.  XXI  (1) . .  .  .  270 

depositions  to  establish.     Gen.  Ord.  XXI   (1) .  . . .  270 

form  of,  by  agent  or  attorney.     Form  No.  36 335 

by  corporation.     Form  No.  33 332 

by  partnership.     Form  No  34 333 

secured  debt  by  agent.     Form  No.  36. .  . .  335 

secured  debt.     Form  No.  32 331 

tmsecured  debt.     Form  No.  31 329 

may  be  expunged.     Gen.  Ord.  XXI  (6) 272 

surety  for  creditor  may  make.     Sec.  57  (i) 183 

within  what  time  to  be  made.     See.  57  (m) 184 

provable,  what  are  (see  debts  which  may  be  proved) .  Sec.  63  205 

proved,  after  dividend  declared.     Sec.  65  c  , 218 

preferred  must    be   surrendered.     Sec.   57g,  Sec  60    (a)    (b) 

178,192,197 

proved,  transmission  of  to  clerk  .     Gen.  Ord.  XXIV 274 

re-examination  of.     Gen.  Ord.  XXI  (6) 272 

set-off,  when  allowed.     Sec.  60  (c).  Sec.  68 200-238 

unrecorded  when  not  liens.     Sec.  67  a 220 

when  allowance  of   not  to  affect  rights  of  creditors.     Sec. 

65  (c) 218 

where  to  be  filed.     Sec.  57c 177 

which  have  priority.     Sec.  64 210 


5 $6  GENERAL  INDEX. 

PAGE 

Claims — Continued. 

objections  to.     Sec.  57  (f)  7 178 

penalty  and  forfeiture.     Sec.  57  (j)  7 183 

preferences.     Sec.  57  (g) 178 

proved  after  dividends  declared,  dividends  paid  on.     Sec. 

65  (c) 218 

which  have  priority,  schedule  a  (1).     Form  No.  1 287 

Clerk — wages  of  a  prior  claim.     Sec.  64  (b)  (4.) 214 

Clerks— includes  what.     Gen.  Ord.  XXXV  (1) 275 

duties.     Sec.  51 167 

account  for  fees.     Sec.  51  (1) 167 

collect  fees.     Sec.  51  (2) 167 

deliver  papers  to  referee.     Sec.  51  (3) ^.      ...  168 

issue  process  summons,  etc.     Gen.  Ord.  Ill 259 

pay  fees  to  referee  and  Trustee.     Gen.  Ord.  51  (4) . . . .  168 

reference  by  when  made.     Sec.  18f 118 

referees  records  to  be  transmitted  to.     Sec.  39b  (7) 151 

(see    duties    of    clerks)     (officers)     compensation    of.    Sec. 

62  (a) 168 

compensation  of.     Gen.  Ord.  XXXV  (1) 281 

definition.     Sec.  1   (5) 5 

may  require  indemnity  for  expense.     Gen.  Ord.  X 264 

filing  papers  by.     Gen.  Ord.  II 259 

to  endorse  time  of  filing  and  character  on  papers  filed.     Gen. 

Ord.  II 259 

to  enter  cases  in  docket  and  number.     Gen  Ord.  1 259 

to  keep  docket.     Gen.  Ord.  1 259 

to  sign  checks  for  withdrawal  of  money  deposited.     Gen. 

Ord.  XXIX 277 

to  test  process.     Gen.  Ord.  Ill 259 

Co-debtor  of  Bankrupt — liability  not  affected  by  discharge.     Sec.  16  104 

Commencement  of  Proceedings — definition.     Sec.  1  (10) 6 

Commissions — of  referee.     Sec.  40  (a) 15 

of  trustees.     Sec.  48  (a) 162 

Commissioner  of  Deeds — ^may  be  referee.     Sec.  35  (a)  (2) 146 

Commissioner — U.  S.  acknowledgment  before.     Gen.  Ord.  XXI  (6)  272 

Commitment — for  contempt,  practice.     Sec.  41  (b) 155 

referee,  no  power  of.     Sec.  38  (a)  (2) 147 

Compensation — of  clerk.     Sec.  52  (a) 168 

of  clerks,  referees  and  trustees.     Gen.  Ord.  XXXV 275 

of  marshal.     Sec.  52  (b) 169 

of  referees.     Sec.  40  (a) 152 

of  stenographers.     Sec.  38  (5) 149 

of  trustee.     Sec.  48a 162 


GENERAL   INDEX.  557 

PAGE. 
Compensation — Continued. 

withheld  from  trustees,  when.     Sec.  48  (c) 164 

Composition — Sec.  12,  13 85-89 

Application  for.     Sec.  12  (b) 86 

application  for  confirmation  of.     Form  No.  61 358 

order  on.     Form  No.  62. .  359 

approval  of,  judge  to  hear.     Gen.  Ord.  XII 265 

by  whom  approved.     Gen.  Ord.  XII  (3) 266 

confirmation  of,  property  to  revest  in  bankrupt.     Sec.  70  (f)  251 

by  judge  when.     Sec.  12d 87 

confirmation  or  rejection  and  setting  aside.     Sec.  2  (9) 24 

discharge  on.     Sec.  14  (c) 103 

distribution  to  be  as  court  directs.     Sec.  12(b) 89 

notice  of.     Sec.  58  (a)  (2) 185 

opposition  to.     Gen.  Ord.  XXXII 273 

order  confirming.     Form  No.  62 359 

^  of  distribution  on.     Form  No.  63 360 

petition  for  meeting  to  consider.     Form  No.  60 357 

when  set  aside.     Sec.  13 89 

title  to  property  to  vest  in  trustee.     Sec. 

70  (d)  250 

Compositions — when  set  aside  what  claims  to  be  prior.     Sec.  64  (c)  217 

Compounding  of  Claims.     Gen.  Ord.  XXVIII 276 

Compromise — notice  of.     Sec.  58  (a)  (7) 186 

Compromises.     Sec.  27  a 139 

notice  to  creditors  on.     Sec.  58  (a)  (7) 186 

Computation  of  Time.     Sec.  31 142 

Computing  Number  of  Creditors.     Sec.  59  (ej 191 

Conceal— definition.     Sec.  1  (22) 9 

Concealment — act  of  bankruptcy.     Sec.  3  (a)  (1) 32 

from  trustee  by  bankrupt.     Sec.  29  (b)  (1) 140 

of  book  prevents  discharge — .     Sec.  14  (b)  (s) 100 

Concurrence  of  two  out  of  three  trustees  necessary.     Sec.  47  (b) .  .  161 

Concurrent  Jurisdiction — of  offenses  in  Circuit  Courts.     Sec.  23  (c)  132 

Conditional  Sale,  see  transfer.     Sec.  1  (25) 10 

Conduct  of  Business — courts  of  bankruptcy  may  supervise.     Sec. 

2  (5)  18 

Conduct  of  Proceedings — in  person  or  by  attorney.     Gen.  Ord.  IV  260 

Conflicting  Petitions — disposal  of  in  different  districts.     Gen.    Ord. 

VI 261 

disposal  of  in  same  districts.     Gen.  Ord.  VII 261 

Consanguinity — petitioning  creditors  not  to  be  coimted  for  accoimt 

of.     Sec.  59  (e) 191 


558  GENERAL   INDEX. 

PAGE. 

Consent — creditors  may  meet  by.     Sec.  55  (b) 171 

jurisdiction  by.     Sec.  23  (b) 127 

Consent  of  parties — not  to  dismiss  proceedings  without  notice  to 

creditors  .     Sec.  59  (g) ^ 192 

Consular  officers  may  administer  oaths  in  foreign  countries.     Sec. 

20  (3) 121 

Contemplation  of  bankruptcy  as  affecting  liens.     Sec.  67  (c)  (2) .  .  .  .   223 

Contempts  before  Referees  .     Sec.  2  (16) 29 

Sec.  41  (a) 154 

procedure.     Sec.  41  (b) 154 

Contested  adjudications — costs  in.     Gen.  Ord.  XXXIV 274 

Contested  Matters — referee  to  make  up  records  in.     Sec.  39  a  (5) ...  .    150 
Contingent  Liability — proof  and  dividend.     Gen.  Ord.  XXI  (4) .  .  .  .   272 

Continuation  of  busmess.     Sec.  2  (5) IS 

Conveyance — when  court  may  order.     Sec.  67  (f) 229 

Contract — debt  founded  on  provable.     Sec.  63  (a)  (4) 207 

Contracts — rights  of  action  on,  title  to.     Sec.  70  (a)  (6)   249 

Controversies — arbitration  of.     Gen.  Ord.  XXXIII 274 

Convenience  of — creditors  consulted  in  first  meetings.     Sec.  55a. .  .    170 

parties  grovmd  for  transfer  of  case.      Sec.  32  a 143 

trustee  consulted  in  selecting  depositories.     Sec.  61 204 

Conversion  of  securities  to  determine  value.     Sec.  57  (h) 182 

Conveyances — to  be  made  by  trustee.     Sec.  70  (c) 250 

within  four  months  void.     Sec.  67  (e) 227 

Copies — certified,  when  admissible.     Sec.  21d 124 

of  written  instruments,  when  filed.     Sec.  57  (b) 177 

Copjnights — title  to  passes  to  trustee.     Sec.  70  (a)  (2) 241 

Correctness  of  Claims — duty  of  bankrupt  to  examine.     Sec.  7  (a)  (3)     70 

Corporation — definition.     Sec.  1  (6) 5 

may  be  sixrety.     Sec.  50  (g) 166 

may  be  trustees.     Sec.  45  (a)  (2) 158 

officer  of  to  execute  letter  of  attorney.     Gen.  Ord.  XXI  (5) .  .  272 
proof  of  claim  to  be  by  treasurer  when.     Gen.  Ord.  XXI  (1)  276 

proof  of  debt  due  to.     Form  No.  33 332 

what  may  be  involuntary  bankrupts.     Sec.  4  (b) 48 

Costs — expenses  are  part  of.     Gen.  Ord.  X 264 

fees  deposited  when.     Sec.  51   (a)    (4) 168 

Costs— taxing.     Sec.  2   (18)  .  , 29 

in  contested  adjudications.     Gen.  Ord.  XXXIV 274 

of  administration  prior  claim.     Sec.  64  (b)   (3) 211 

of  immaterial  depositions.     Gen.  Ord.  XXII 273 

of  preserving  estate,  prior  claim.     Sec.  64  (b)  (1 211 

on  seizure  of  property.     Sec.  3  (e) 46 

provable  debts,  when.     Sec.  63  (a)  (3)  (4) 207 


GENERAL   INDEX.  559 

PAGE. 

Counsel  fees — see  seizure.     Sec.  3  (e) 46 

Counselors  in  bankruptcy — referees  cannot  be.     Sec.  40  a  (2) 152 

Counterclaims  and  set  off.     Sec.  68 238 

Counties — referees  appointed  in  when  needed.     Sec.  34  (a)  (2) .  . . .  146 

Court — appoints  trustees  when.     Sec.  44 156 

appraisers  to  report  to.     Sec.  70  (3) 250 

Appellate,  defined.     Sec.  1   (3) 4 

definition.     Sec.  1   (7) 5 

may  allow  amendments   to   petition   and   schedules.     Gen. 

Ord.  XI 264 

call  special  meeting  of  creditors.     Gen.  Ord.  XXV 275 

discharge  imprisoned  debtor.     Gen.  Ord.  XXX 277 

order  appointment  of  trustee.     Gen.  Ord.  XV 267 

sale  of  perishable  goods  on  petition  when.     Gen. 

Ord.  XVIII 269 

that  no  meeting  of  creditors  be  held  after  &rst  meet- 
ing.    Gen.  Ord.  XV 267 

sales  made  subject  to  approval  of.     Sec.  70  (b) 250 

to  appoint  appraisers.     Sec.  70  (b) 250 

Supreme,  appeals  to  when  taken.     Sec.  25(b) 137 

controversies  may  be  certified  to.     Sec.  25  (d) . . . .  138 

when  may  order  conveyance.     Sec.  67  (f) 229 

United  States  and  State  jurisdiction  of.     Sec.  23 126 

Courts  of  Bankruptcy — created  and  defined.     Sec.  2 12 

and  their  jurisdiction.     Sec.  2 ,  12 

appeals  from.     Gen.  Ord.  XXXVI  (1) 282 

definition.     Sec.    1  (8) . , 5 

to  designate  depositories  of  money  and  fix  bonds.     Sec.  61  (a)  204 

Courts  and  Procedure— Ch.  IV,  Sec.  18  to  32 114 

Courts — Appellate.     Sec.  24 132 

in  appeal  case,  to  certify  what.     Gen.  Ord.  XXXVI  (3) 282 

jurisdiction.     Sec.  23 126 

Creation  of  Offices— Sec.  33  (a) 145 

Credit — given  by  creditor  after  preference.     Sec.  60  (c) 200 

Creditor — (see  creditors)  definition.     Sec.  1  (9) 5 

entitled  to  balance  only  after  set-offs  allowed.     Sec.  68.  . .  .  238 

may  appear  by  attorney.     Gen.   Ord.   IV 260 

may  manage  his  own  interest  before  the  bankruptcy  court. 

Gen.  Ord.  IV 260 

offense,  punishment.     Sec.  29  (b)   (3) 141 

recovery  of  dividend.     Sec.  57  (1) 184 

secured.    Sec.  56  (b) 173 

definition.     Sec.  1  (23) 9 


56o  GENERAL   INDEX. 

PARE. 

Creditor — Continuee. 

to  file  schedule,  when.     Gen.  Ord.  IX 263 

when  allowed  costs.     Gen.  Ord.  XXXIV 280 

Creditors— Ch.  VI,  Sec.  55  to  60 170 

appoint  trustee.     Sec.  44  a 156 

as  voters.     Sec.  56 172 

bond  of  .  Sec.  69 239 

when  required.     Sec.  3  (e) 46 

claims  (see  proof  of  claims)      Sec.  57  a 173 

proof  of  forms  for.     Forms  No.  31,  37 330 

damage  bond.     Form  No.  9 309 

entitled  to  information   of  estates  from  referees.     Sec.    39 

(a)  (3) 150 

entitled  to  notice  of  compromise.     Sec.  58  (a)  (7) 186 

declaration  of  dividends.     Sec.  58  (a)  (5)  185 

dismissal  of  petition.     Sec.  59  (g) 192 

dismissal  of  proceedings.     Sec.  58  (a)  (8)  186 
examinations     of    bankrupts.     Sec.     58 

(a)   (4) 185 

filing    of    trustee's    accounts.     Sec.    58 

(a)  (6) 186 

hearing    on    composition    or    discharge. 

Sec.  58  (a)   (2) 185 

notice    of    meetings    of   creditors.     Sec. 

58  (a)  (3) 185 

payment  of  dividends.     Sec.  58  (a)   (5)  186 

sales  of  property.     Sec.  58  (a)  (4) 185 

failing  to  appoint  trustees,  court  shall.     Sec.  44 156 

final  meeting  of.     Sec.  55  (f) 172 

issue  as  to  number  of,  how   formed.     Sec.  59  d 191 

letter  to  trustee.     Form  No.  41 339 

list  of  debts  proved  at  first  meeting.     Form  No.  18 319 

may   enter   appearance   in   opposition   to   discharge.     Gen. 

Ord.  XXXII 280 

may  file  involuntary  petition  when.     Sec.  59  (b) 187 

may  request  meeting.     Sec.  55  (d)  (e) 172 

meetings  of.     Sec.  55 170 

names  and  addresses  of  creditors  to  be  transmitted  to  clerk. 

Gen.  Ord.  XXIV 274 

notice  of  first  meeting,  form  of.     Form  No.  18 319 

notices  to.     Sec.  58 185 

by  referee.     Sec.  39  (a)  (4) '160 

offenses  by.     Sec.  29  (b) 140 

petitioning,  bond  of.     Form  No.  9 309 


GENERAL   INDEX.  5^' 

PAGE. 

Creditors — Continued. 

of  partnership.     Sec.  5  (6) 51 

petition.     Form  No.  3 301 

petitioning   or   opposing    may    conduct    proceedings.     Gen. 

Ord.  IV 260 

preferences.     Sec.  57  g 178 

receiving  dividends,  rights  of  (see  dividends).     Sec.  65  c  . . .  218 
rights  against  bankrupt  may  be  enforced  by  tnistee  when. 

Sec.  67  (b) 222 

preference.     Sec.   57   (g) 178 

special  meeting  of  .     Gen.  Ord.  XXV 275 

court  may  call.     Gen.  Ord.  XXV 275 

subsequent  meetings  of,  after  first  meeting.     Sec.  55  (d)  (e)  172 

surety.     Sec.  57  (e) 177 

those  within  the  U.  S.  to  be  first  paid,  sum  equal  to  etc. 

Sec.  65  (d) 218 

three  may  file  involimtary  petition.     Sec.  59  (b) 187 

voters  at  meetings.     Sec.  56 172 

when  first  meeting  only  may  be  held.     Gen.  Ord.  XV 267 

Creditors  in  Involuntary  Petition — niunber,  how  computed.     Sec. 

59  (e) 191 

joining  in  involuntary  petitions,   who  not  to  be  counted. 

Sec.  59  (e) 191 

letter  to  trustee.     Form  No.  41 339 

petition,  form  of.     Form  No.  3 301 

order  to  show  cause  on.     Form  No.  4 303 

Criminal  — jurisdiction  (see  concurrent  jurisdiction).     Sec.  23  (c)  . .  132 
proceedings,  examination  of  bankrupt  not  evidence  in.     Sec. 

7  (9) 72 

Cross-examination  of  Witnesses.     Gen.  Ord.  XII 265 

Custody  of  Property — by  marshal.     Gen.  Ord.  XIX 270 

D. 

Damages — for  seizing  property.     Sec.  3  (e) ...  .7 32 

right  of  action  for  title  to.     Sec.  70  (a)  (6) 249 

Date  of  bankruptcy — definition.     Sec.  1  (10) 6 

time  of.     See  adjudication,  Sec.  1  (2) 4 

Days,  how  computed  (see  computation  of  time) 240 

Date  of  investiture  of  title.     Sec.  70a.     Sec.  31  (a) 142 

Death — of  bankrupt.     Sec.  8 75 

of  trustee.     Sec.  46  (a) 158 

Debt— definition.     Sec.  1    (11) 6 

Appeal  from  allowance  or  rejection  of.     Sec.  25  (a)  (3) 135 

proof  of,  by  agent  or  attorney.     Form  No.  35 334 


562  GENERAL   INDEX. 

PAGE. 

Debt — Continued. 

partnership.     Form  No.  34 333 

secured.     Form  No.  32 331 

unsecured.     Form  No.  31 330 

unsecured,  proof  of  by  agent.     Form  No.  36 335 

Debt  due  corporation — proof  of.     Form  No.  33 332 

Debtor — imprisoned,  produced  before  referee.     Gen.  Ord.  XXX 277 

when  to  furnish  schedule.     Gen.  Ord.  IX 263 

Debtors — adjudication  that  not  bankrupt.     Form  No.  11 311 

petition,  form  of.     Form  No.  1 285 

recover  costs,  when      Gen.  Ord.  XXXIV 280 

Debts— what  are  a  fixed  liability  (See  debt) .     Sec.  63  (a)  (1) 205 

costs  of  administration.     Sec.  64  (b)  (3) 211 

preserving  estate  subsequent  to  filing  petition.     Sec. 

64  (b)  ( 1) 211 

entitled  to  .priority  imder  state  laws.     Sec.  64  (b)  (5)  216 

having  priority.     Sec.  64 210 

due  as  costs.     Sec.  63  (a)  (2) 206 

due  as  costs.     Sec.  63  (a)  (3) 207 

on  debts  reduced  to  judgment  after  filing  of  petition.     Sec. 

63    (a)  (5)      209 

Debts — due  on  open  account.     Sec.  63  (a)    (4) 207 

filing  fees  of  creditors.     Sec.  64  (b)    (2) 211 

not  affected  by  discharge.     Sec.  17  (a) 105 

proved  at  first  meeting  list  of.     Form  No.  19 320 

wages  earned  in  three  months.     Sec.  64  (b)  (4) 214 

which  may  be  proved.     Sec  63  (a) 205 

Debts  and  assets — form  for  summary  of.     Form  No.  1 298 

Declaration  of  dividends.     Sec.  65  (a)  (b) 217-218 

notice  to  creditors  of .     Sec.  58(a)  (5) 185 

Deed.     See  Document,  Sec.  1  (13).     Transfer,  Sec.  1  (25) 10 

from  bankrupt  to  trustee,  the  equivalent  of .     Sec.  21  (e) 125 

from  trustee  to  bankrupt.     Sec.  21  (g) 125 

Deeds,  books,  papers  and  writings — list  of.     Form  No.  1 298 

Defalcation — not  discharged  from  liability  for.     Sec.  17  (4) 110 

Default — clerk  may  refer  after.     Sec.  18  (f) 118 

When  may  be  taken  against  bankrupt  and  creditors.     Sec. 

18  (e) 117 

Defeat  act — effort  to.     See  offenses.     Sec.  29  (f)  (4) 141 

Defense  to  proceeding  in  bankruptcy — solvency.     Sec.  3  (c) 44 

Definitions,  Ch.  1,  Sec.  1  (a) 3 

Delivery  and  return  of  papers  between  clerks  and  referees.     Sec.  51 

(al  (3) 167 

Demand.     See  debt.     Sec.  1  (11) 6 


GENERAL   INDEX.  503 

PAGE. 
Denial  of  bankruptcy.     Form  No.  6 305 

Denying  discharge,  appeal  from  order.     Sec.  25  (a)  (2) 135 

Deposit  of  moneys — See  Duties  of  Trustees.     Sec.  47  (a)  (3) 159 

Depositions.     Sec.  21  (b) 124 

before  referee,  how  taken.     Gen.  Ord.  XXII 273 

notice  of.     Sec.  21  (c) 124 

to  prove  accounts.     Gen.  Ord.  XXI  (1) 270 

to  prove  claims,  how  entitled.     Gen.  Ord.  XXI  (1) 270 

Depositories  for  money.      Sec.  61 204 

courts    of  bankruptcy    to     designate.     Sec. 

61  (a) : 204 

courts  of  bankruptcy  to  fix  bond  of.     Sec. 

61  (a) 204 

money  must  be  deposited  in.     Sec.  47  (a)  (3)   159 

money  may  be  increased.     Sec.  61  (a) 204 

Depository — how  money  withdrawn  from.     Gen.  Ord.  XXIX 277 

to  be  furnished  with  copy  of  order  for  payment  of  money  and 

name  of  referee.     Gen.  Ord.  XXIX 277 

Designation — of  depositories.     Sec.  61 204 

Designation — of  newspapers.     Sec.  28 T  139 

of  referee's  districts.     Sec.  34  (a)  (2) 146 

Destroyed  Note  or  Instrument — how  proven.     Sec.  57  (b) 176 

Destruction  of  books  prevents  discharge.     Sec.  14  (b)  (2) 100 

Detention — of  bankrupt.     Sec.  9b 77 

of  property.     See  seizure.     Sec.  3  (e) 46 

right  of  action  for  passes  to  trustee.     Sec.  70  (a) 

(6) 249 

Deterioration — ground  for  taking  possession.     Sec.  69 239 

Determination  of  value  of  securities.     Sec.  57h 182 

Diminishing  Claims — how  and  when.     Gen.  Ord.  XXI  (6) 272 

Diplomatic  officers  may  administer  oaths  in  foreign  cotmtries.     Sec. 

20  (3) 121 

Directors — see  persons.     Sec.  1  (19) 9 

not  released  from  liability.     Sec.  4  (b) 48 

Disbursements  and  receipts — trustee  must  account  for.     Sec.  47  (a) 

(6) 160 

how  made  by  trustees.     Sec.  47  (a)  (6) 160 

Disallowance  of  Claims — jtxrisdiction.     Sec.  2  (2) 15 

appeal  from.     Sec.  25  (a)  (3) 135 

Discharge — application  for.     Gen.  Ord.  XII 265 

co-debtors  not  affected  by.     Sec.  16 104 

by  composition.     Sec.  14c 103 

by  whom  granted.     Gen.  Ord.  XII  (3) 266 


564  GENERAL  INDEX. 

PAGE. 

Discharge — Continued . 

credit  extended  after  (See  Priority) .     Sec.  64  (c) T  217 

debts  not  affected  by.     Sec.  17 .'  105 

definition.     Sec.  1  (12) 6 

evidence  of.     See  Proof.     Sec.  21  (f) 125 

hearing  for.     Sec.  14  (b) 90 

hearing  on,  notice  to  creditors.     Sec.  58  (a)  (2) 185 

jurisdiction  to  grant.     Sec.  2  (12) 25 

may  be  referred  to  referee.     Gen.  Ord.  XII 265 

objection  to.     Sec.  14  (b) 90 

of  bankrupt  form  for.     Form  No.  59 187 

opposition  to.     Gen.  Ord.  XXXII 278 

petition  for.     Form  No.  57 173 

what  to  state.     Gen.  Ord.  XXXII 278 

referee's  jimsdiction  over.     Sec.  38  (a)  (4) 148 

revoked,  trustee  appointed  when.     Sec.  44 156 

setting  aside  jurisdiction.     Sec.  2  (12) 25 

specifications  of  objections.     Form  No.  57 187 

on  objection  to.     Gen.  Ord.  XXXII    278 

when  granted.     Sec.  14  (a) 89 

revoked.     Sec.  15  (a) 103 

title  to  bankrupt's  property  in  Trustee    Sec. 

70  (d) 251 

Discharging  preferences — failure  to,  act  of  bankruptcy.     Sec.  3  (a)  (3)    36 

trustee,  order  for  after  allowing  account.     Form  No.  51 349 

Discharge  of  Bankrupt — order  for.     Form  No.  59 356 

Discretion  of  court  as  to  costs  of  objectionable  matter.^  Gen.  Ord.^ 

XXII 273 

Disinterested — appraisers  must  be.     Sec.  70  (b) 250 

Dismiss  petitions — referees  may  when.     Sec.  38  (a)  (1) 147 

Dismissal  of  Proceedings — notice  of.     Sec.  58  (a)  (8) 186 

notice  of.     Sec.  59  (g) 192 

lack  of  sufficient  cause  for.     Sec.  59d 191 

Disobedience  before  referee.     (See  contempts.)     Sec.  41  (a)  (1)  . . . . .  154 

District  Court — when  taay  issue  habeas  corpus.     Gen.  Ord.  XXX  . .'.  277 

a  cotirt  of  bankruptcy.     Sec.  2 12 

Districts  of  referees.     Sec.  34a  (2) 146 

District  of  Columbia,  Supreme  Court  of —  Appeals  from.     Gen.  Ord. 

XXXVI  (2) 282 

Jiuisdiction  of.     Sec  1  (8)  5 

Dividend  Notices — form  of.     Form  No.  41 339 

Dividend  Sheet — referee  to  furnish  to  trustee.     Sec.  39  (1) 149 

Dividends — belonging  to  minors.     Sec.  66  (b) 218 

claims  not  to  affect,  when.     Sec.  65  (c) 218 


GENERAL  INDEX.  565 

PAGE. 

Dividends — Continued . 

declaration  and  payment  of.     Sec.  65 T  217 

first  dividend  when  declared.     Sec.  65  (b) T  218 

judge  may  order,  when.     Sec.  65  (b) 218 

list  of  recorded  by  referee.     Form  No.  40 338 

not  to  be  paid  unless.     Gen.  Ord.  XXI  (4) 272 

notice  of.     Form  No.  41 339 

declaration,  etc.     Sec.  58  (a)  (5) 185 

recovered  on  claims  reconsidered  and  rejected.     Sec.  57(1).   ..   184 

referee  to  declare.     Sec.  39  (1) 149 

to  be  paid  into  court,  when.     Sec.  66  (a) 219 

on  allowed  claims,  when.     Sec.  65  (a) 217 

unclaimed.     Sec.  66 219 

when  creditors  within  the  United  States  to  be  first  paid.     Sec. 

65  (d) 219 

to  be  distributed.     Sec.  66  (b) 219 

paid  on  contingent  claims.     Gen.  Ord.  XXI  (4)  . .   272 

paid  the  bankrupt.     Sec.  66  (b) 219 

Docket.     Gen.  Ord.  I 259 

clerk  to  keep.     Gen.  Ord.  I 7  259 

name  of  attorney  to  be  entered  on  docket.     Gen.  Ord.  I 259 

open  to  public  inspection.     Gen.  Ord.  I 259 

what  to  contain.     Gen.  Ord.  I 7  259 

Document — definitions.     Sec.  1  (13) 6 

Documents — neglect  to  produce  contempt.     Sec.  41a  (3) .  .  . .  T 154 

title  to.     See  Title.     Sec.  70  (a)  (1)   241 

Domicile — jurisdiction.     Sec.  2(1) 13 

of  debtor,  controls  first  hearing  when.     Gen.  Ord.  VI 261 

Drafts — disbursements  to  be  by.     Sec.  47(a)  (4) 160 

Duplicate — petition  filed  in.     Sec.  59(c) 190 

Duties  of  attorney  General.      Sec.  53a 169 

Duties  of  Bankrupt.     See  Bankrupt.     Sec.  7. . .  7 69 

Duties  of  clerks.     (See  Clerks.)     Sec.  51a 7 167 

Duties  of  referees.     (See  Referees.)     Sec.  39a,  Gen.  Ord.  XII 149-265 

Duties  of  trustees.     (See  Trustees.)     Sec.  47a,  Gen.  Ord.  XVII.  168-268 

Earlier  act  of  bankruptcy,  when  amendment  setting  up  allowed.     See 

Petitions  in  different  districts.     Gen.  Ord.  VI 261 

Effect,  when  Act  goes  into 241 

Embezzlement  by  trustee.     (See  Offenses.)     Sec.  29a.  .  7 . .  7 140 

not  dischargable  debt.     Sec.  17(4) 7 110 

Employes  of  bankrupt — not  counted  as  creditors,  when.     Sec.  59  (e).  191 

Enforced,  what  liens  may  be.     See  Liens,  Sec.  67d.  .  . .  7 224 


S66  GENERAL  INDEX. 

PAGE. 

Enforcement  of  liens,  trustees  may  effect  for  benefit  of  estate.     Sec. 

67(c)  (3) 223 

Entries  on  docket,  what  required.     See  Docket,  Gen.  Ord.  1 259 

Entry  of  cases.     See  Docket,  Gen.  Ord.  1 259 

of  appearance,  what  must  include.     Gen.  Ord.  IV 260 

Equalization  of  dividends.     (See  Dividends.)     Sec.  55c 218 

Equity  jurisdiction.     (See  Circuit  Courts.)     Sec.  23a 126 

Equity  practice  followed  on  appeals.     Gen.  Ord.  XXXVI . . , 281 

Eqmty  rides  govern  in  bankruptcy.     Gen.  Ord.  XXXVII 282 

Error.     See  Appeals.     Sec.  25 135 

Errors  of  referee,  how  corrected.     Gen.  Ord.  XXVII 275 

Equity  rules.     See  United  States  Equity  Rules 363 

Estates — closing  and  re-opening  — power  to.     Sec.  2(8) 23 

collection  and  distribution.     Sec.  2(7) 19 

how  administered  by  three  trustees.     Sec  47b 161 

how  closed  up.     See  Duties  of  Trustees.     Sec.  47. 158 

in  bankruptcy,  referee  cannot  ptu-chase.     Sec.  39b  (3) 7 . .  152 

information  to  be  furnished  by  referees.     Sec.  39(a)  (3) 150 

inspection  of  affairs  of  refused.     (See  Offenses.)     Sec.  29(c) 

(3) 141 

jiuisdiction  of.     Sec.  2  (7) 19 

of  individuals.     Sec.  5(g) 57 

of  partners.     Sec.  5 51 

property    fraudulently     conveyed,    assets   of.     (See  liens.) 

Sec.  67(e) 227 

reports  on  condition  of ,  made  to  courts,  when.   Sec.  47(a)  (10).  160 

trustees  must  collect  and  reduce  to  cash.     Sec.  47(a)  (2) 159 

Evidence — examinations,  when  taken.     See.  21  (a) 122 

of  revesting  title.     Sec.  21  (g) 125 

of  trustees'  title.     Sec.  21  (e) , 125 

referee  to  preserve.     Sec.  39(9) 151 

taken  in  absence  of  stenographer.     Sec.  39(a)  (9) 151 

Examination — bankrupt  shall  submit  to.      Sec.  7(9) 72 

Examination  of  bankrupt.     Form  No.  29 328 

as  to  solvency.     Sec.  3  (d) 45 

at  first  meeting.     Sec.  55(b) 171 

duty  of  bankrupt  to  submit  to.     Sec.  7(a)  (9) 72 

notice  of  to  creditors.     Sec.  58(a)  (1) 185 

refusal  to  submit  to  contempt.     Sec.  41(a)  (4) 154 

stenographically  reported,  when.     Sec.  38(a)  (5) 149 

Examination  of  witnesses.     Sec.  38(a)  (2) ,  Gen.  Ord.  XXII 147-273 

Examinations — order  for,  of  bankrupt.     Form  No.  28 328 

Exceptions — to  referee's  findings.     Gen.  Ord.  XXVII 275 


GENERAL  INDEX.  $67 

PAGE. 

Exceptions — Continued. 

to  trustee's  report,  argument  on.    Gen.  Ord.  XVII 268 

Execution  of  assignment  of  claim.     Gen.  Ord.  XII  (5) 273 

letter  of  attorney.     Gen.  Ord.  XXII(5) 273 

of  papers.     (See  Duties  of  Bankrupts.)     Sec.  7(4) 70 

Exempt  property — statement  of  claim  to.     Form  No.  1.,  Sch.  B(5) .  . 

298,  297 

title  to  not  in  trustee.     Sec.  70  (a) 241 

Exemption  of  bankrupts — jiuisdiction  to  determine.     Sec.  2(11) . .  24 

not  effected  by  bankruptcy.     Sec.  6a 58 

trustee  to  set  apart.     Sec.  47(a)  (11) 161 

when  set  oflf.      Gen.  Ord.  XVII 268 

Expenses — indemnity  may  be  required  for.     Gen.  Ord  X 264 

of  publishing  notices.     Gen..  Ord  XXXV  (2) 281 

to  be  allowed  of  estates.     Sec.  62  (a) 204 

examined  by  the  court.     Sec.  62  (a) 204 

reported  in  detail  under  oath.     Sec.  62  (a) 204 

of  administering  estates      Sec.  62 204 

marshal,  return  of  to  be  made  under  oath.     Gen.  Ord.  XIX  270 

referee,  include  what.     Gen.  Ord.  XXVI 275 

stenographer.     Sec.  38  (a)  (5) 149 

when  bankrupt  entitled  to.     Sec.  7 69 

Expimging  claims.     See  Proof  Debts.     Gen.  Ord.  XXI  (6) 272 

Expunging  claims — order  for.     See  Form  No.  39 337 

Extortions  (see  Offenses) .     Sec.  29  (b)  (5) 141 

Extradition  of  bankrupts.     Sec.  10 78 

bankrupts'  jurisdiction  of.  •  Sec.  2  (14) 27 

P. 

Facts  reported  by  referee,  when.     Gen.  Ord.  XII  (3) 266 

Failure  to  give  bond  creates  vacancy.     Sec.  50k 166 

False  affirmation — punishment,  same  as  false  oath.     Sec.  20  (b) 121 

claim — pimishment  for  filing.     Sec.  29  (b)  (3) 141 

oath— pimishment  for.     Sec.  29  (b)  (2) 141 

Falsify— definition.     Sec.  1  (22) 9 

Farmers  excepted  from  involuntary  proceedings.     Sec.  4  (b) 48 

Fees— judge  may  order  paid.     Gen.  Ord.  XXXV  (4) 281 

witnesses  prior  claim.     Sec.  64  (b)  (3) 211 

Fees — and  commissions  of  referees.     Sec.  40  (a) 152 

and  commissions  of  trustees.     Sec.  48 162 

clerks  must  collect  and  account  for.     Sec.  51  (a)  (4) 168 

deposited  by  moving  creditors  have  priority.     Sec.  64b  (2) .  .  . .  211 

deposited  when  paid  out.     Sec.  51  (a)  (4) 168 

in  volimtary  cases,  how  collected.     Gen.  Ord.  XXXV  (4) 282 


568  GENERAL  INDEX. 

PAGE. 
Fees — Continued . 

judge  may  order  paid.     Gen.  Ord.  XXXV  (4) 282 

of  attorneys  for  bankrupt  examined  into.     Sec.  60d.  .  .7 202 

of  clerks.     Gen.  Ord.  XXXV  (4) 282 

of  officers  do  not  cover  expenses.     Gen.  Ord.  XXXV 281 

of  witness  must  be  paid  or  tendered  in  advance  when.     Sec. 

4  (a)  (4) 154 

priority  of  payment  of  (see  Priority).     Sec.  64 210 

voluntary  bankrupt  not  required  to  pay,  when.     Sec.  51  (a) 

(2).  . 167 

witnesses'  fee  a  prior  claim.     Sec.  64  (b)  (3) 211 

Fiduciary  debts  not  discharged.     Sec.  17  (a)  (4) 110 

Filing  of  claims  for  allowance.     Sec.  57  (c).. 177 

Filing  of  papers.     Gen.  Ord.  II 259 

after  reference — may  be  filed  with  the  clerk  or  the 

referee.     Gen.  Ord.  XX 271 

time  of  filing  and  character  to  be  endorsed  on. 

Gen.  Ord  II 259 

Final — account  of  trustee — notice  of  filing,  etc.     Sec.  58  (a)  (6) 186 

meeting  of  creditors,  when.     Sec.  55f 172 

statement  of  trustees.     Sec.  47  (a)  (7)  (8) 160 

Findings  of  referee — confirming,  modifying,  overruling,  returning 

of    Sec.  2  (10) 24 

Findings  of  fact  by  court  required  on  appeals.     Gen.  Ord.  XXXVI 

(3).  . 282 

First  dividend — when  declared.     Sec.  65  (b).  . 218 

First  meeting — bankrupt  shall  attend.     Sec.  7  (1) 69 

list  of  debts  proved  at.     Form  No.  19 320 

notice  of,  how  published.     Sec.  7  (a)  (1) 69 

First  meeting  of  creditors.     Sec.  55  (a)  (b).  .  .  7 170-171 

notice  of.     Form  No.  18 319 

when  no  other  meetings  necessary.     Gen. 

Ord.  XV 267 

who  presides  at,  of  creditors.     Sec.  55  (b)   171 

Forma  pauperis — petition  in.     Sec.  51  (2) 167 

Former  bankruptcy  acts —  Act  of  1800 . . .  , 423 

Amendment   Feb.  13, 1801.  .77. .   443 

Apr.  29, 1802 444 

Dec.  19, 1803 444 

Actof  1841.  .  .  7 445 

amendment  Mch.  3, 1843 455 

Actof  1867.  .  .  7 456 


GENERAL   INDEX.  569 

PAGE. 

Former  Bankruptcy  Acts — Continued. 

amendment  July  27, 1868 488 

June  30, 1870 T  489 

July  14, 1870.  .  .7..   490 

June  8, 1872 490 

Feb.  13, 1873. .....  491 

March  3, 1873 491 

June  22, 1874 7  492 

Apr.  14, 1876 503 

July  26, 1876 604 

June  7, 1878 505 

Forms.    Sec.  307 142 

prescribed  to  be  followed.     Gen.  Ord.  XXXVIII.  7 283 

Forms  in  Bankruptcy. 

accovmt  of  trustee.     Form  No.  49 347 

adjudication  of  bankruptcy .     Form  No.  12 7  312 

that  debtor  not  a  bankrupt.     FormNo.  11  . . . .  311 

affidavit  of  lost  bill  or  note.     Form  No.  37 336 

application  for  confirmation  of  composition.     Form  No.  61  .  .  .  358 
appointment,  oath  and  report  of  appraisers.     FormNo.  13...   313 

of  trustee  by  creditors.     Form  No.  22 323 

by  referee.     Form  23 324 

bankrupt's  petition  for  discharge.     Form  No.  57 7  354 

bond   of  petitioning  creditors.     Form  No.  9 309 

of  referee.     Form  No.  17 318 

of  trustee.     Form  No,  25 7 326 

to  marshal 7       7 

certificate  by  referee  to  judge.     Form  No.  56 7  353 

denial  of  bankruptcy.     Form  No.  9 7  309 

discharge  of  bankrupt.     Form  No.  59 356 

examination  of  bankrupt  or  witness.     Form  No.  29 228 

letter  of  attorney  in  fact,  general.     Form  No.  20 321 

special.     Form  No.  21 322 

list  of  claims  and  dividends.     Form  No.  40 7  338 

of  debts  proved  at  first  meeting.     Form  No.  38 337 

notice  of  dividend.     Form  No.  41 339 

of  first  meeting  of  creditors.     Form  No.  18 310 

of  petition  for  removal  of  trustee.     Form  No.  53 7  350 

to  trustee  of  his  appointment.     Form  No.  24 325 

oath  to  final  account.     Foim  No.  50 348 

to  Schedule  A 7  291 

to  Schedule  B 7  297 

of  bill  in  equity.     Eq.  Rule20 7  367 

of  last  interrogatory  in  eqtiity  cases.     Eq.  Rule  71 388 


570  GENERAL   INDEX. 

PAGE. 

Forms  in  Bankruptcy — Continued. 

of  order  allowing  account  and  discharging  trustee.     Form 

No.  51 349 

approving  trustee's  bond.     Form  No.  26 327 

confirming  composition.     Form  No.  62 359 

expxmging  claim.     Form  No.  39 337 

for  choice  of  new  trustee.     Form  No.  55 354 

examination  of  bankrupt.     Form  No.  28 328 

jury  trial.     Form  No.  7 306 

removal  of  trustee.     Form  No.  54 353 

of  distribution  on  composition.     Form  No.  63 360 

reference     Form  No.  12 315 

in  judge's  absence.     Form  No.  15 316 

reducing  amount  of  claim.     Form  No. 

38 337 

that  no  trustee  be  appointed.     Form 

No.  27 327 

petition,  creditors.     Form  No.  3 301 

order  to  show  cause  on.     Foim  No.  4  .  .  .  303 

debtor's.     Form  No.  4 303 

partnership  .     Form  No.  2   299 

and  order  for  sale  by  auction.     Form  No. 

42 340 

of  perishable  property.     Form  No.  46  .  344 

subject  to  liens.     Form  No.  44 342 

private  sale.     Form  No.  45 343 

for  meeting   to    consider  composition. 

Form  No.  60 359 

removal  of  trustee.     Form  No.  52 349 

proof  of  debt  by  agent  or  attorney.     Form  No.  35 334 

partnership.     Form  No.  34 333 

due  corporation.     Form  No.  33 332 

secured.     Form  No.  32 331 

by  agent.     Form  No.  36 335 

unsecured.     Form  No.  31 330 

referee's  oath  of  office.     Form  No.  18 317 

Schedule  A,  debts  of  bankrupt 287 

Schedule  B,  property  of  bankrupt 292 

special  warrant  to  marshal.     Form  No.  8 307 

return  thereon 307 

specification  opposing  discharge.     Form  No.  58 356 

subpoena  to  alleged  bankrupt.     Form  No.  5 S04 

summary  of  debts  and  assets.     Form  No.  1  .  , 299 

summons  to  witness.     Form  No.  30 329 


GENERAL   INDEX.  27I 

PAGE. 

Forms  in  Bankruptcy — Continued. 

return  thereon.     Form  No.  30 329 

trustee's  report  of  exempt  property.     Form  No.  47 345 

no  assets.     Form  No.  48 346 

Four  months'  limitation  on  Acts.     Sec.  3b  (1) 42 

what  liens  void,  when  within.     See  Liens,  Sec.  67 220 

Frame  of  petition.     Gen.  Ord.  V 260 

Fraud — act  of  bankruptcy,  when.     Sec.  3(a) 32 

composition  may  be  set  aside  for.     Sec.  13 89 

discharge  may  be  revoked  for.     Sec.  15(a) 103 

on  this  Act,  as  affecting  liens.     Sec.  67(c)  (3) 223 

prevents  discharge.     Sec.  14(b)  (2) 100 

transfer  void  for.     Sec.  67(e) 227 

transfer  void  for.      Sec.  67(c)  (3) 223 

when  exempted  from  arrest  for.     Sec.  9(a)  (2) 76 

Fraudulent — conveyances.     See  Liens,  Sec.  67(e) 227 

title  in  trustee.     Sec.  70(a)  (4) 243 

debts  not  discharged.     Sec.  17(a)  (4) 110 

expenditure  by  trustee.     Sec.  29a 140 

Further  credit — when  set  off.     Sec.  60b 197 

G. 

General  trustee — not  to  be  appointed.     Gen.  Ord.  XIV 267 

Guarantor  for  Bankrupt.     Sec.   16 104 

Gender — masculine,  includes  what.     Sec.  1  (28) " 11 

General  Assignment. 

when  an  act  of  bankruptcy.     Sec.  3(a)  (4) 40 

letter  of  attorney.     Form  No.  20 7 321 

Orders— include  forms.     Gen.  Ord.  XXXVIII 284 

General  Orders. 

accounts  of  marshals.     Gen.  Ord.  XIX.  . . . ." 270 

accounts  of  referee.     Gen.  Ord.  XXVI 275 

amendments.     Gen.  Ord.  XI 264 

appeals.     Gen.  Ord.  XXXVI 282 

appointment  and  removal  of  trustee.     Gen.  Ord.  XIII 267 

arbitration.     Gen.  Ord.  XXIII.  .  ..." 280 

compensation  of  clerks,  referees,  and  trustees.     Gen.  Ord. 

XXXV 281 

conduct  of  proceedings.     Gen.  Ord.  IV 26 

costs  in  contested  proceedings.     Gen.  Ord.  XXXIV 281 

docket.     Gen.  Ord.  1 259 

duties  of  referee.     Gen.  Ord.  XII 265 

duties  of  trustees.     Gen.  Ord.  XVII 268 

filing  of  papers.     Gen.  Ord.  II 265 


272  GENERAL  INDEX. 

PAGE. 

General  Orders — Continued. 

forms.     Gen.  Ord.  XXXVIII.  .  ..T 283 

frame  of  petitions.     Gen.  Ord.  V. . .  ? 260 

general  provisions.      Gen.  Ord.  XXXVII 282 

Indemnity  for  expenses.     Gen.  Ord.  X 264 

Imprisoned  debtor.     Gen.  Ord.  XXX 277 

no  official  or  general  trustee.     Gen.  Ord.  XIV 267 

notice  to  trustee  of  his  appointment.     Gen.  Ord.  XVI 268 

opposition  to  discharge  or  composition.     Gen.  Ord.  XXXII .  .  278 

orders  of  referee.     Gen.  Ord.  XXIII 278 

papers  filed  after  reference.     Gen.  Ord.  XX 270 

payment  of  moneys  deposited.     Gen.  Ord.  XXIX 277 

petition  for  discharge.     Gen.  Ord.  XXXI 278 

I>etitions  in  different  districts.     Gen.  Ord.  VI 261 

priority  of  petitions.     Gen.  Ord.  VII 262 

proceedings  in  partnership  cases.     Gen.  Ord.  VIII. . 263 

process.    'Gen.  Ord.  Ill 259 

proof  of  debts.     Gen.  Ord.  XXI. 270 

redemption  of  property  and  compoimding  of   claims.     Gen. 

Ord.  XX 276 

review  by  judge.     Gen.  Ord.  XXVII 275 

sale  of  property.     Gen.  Ord.  XVIII 269 

schedule  in  involvmtary  bankruptcy.     Gen.  Ord.  IX 263 

special  meeting  of  creditors.     Gen.  Ord.  XXV 275 

taking  of  testimony.     Gen.  Ord.  XXII 273 

transmission  of  proved  claimant  to  clerk.     Gen.  Ord.  XXIV. .  274 

trustee  not  appointed  in  certain  cases.     Gen.  Ord.  XV 267 

H. 

Habeas  corpus — to  release  debtor.     Gen.  Ord.  XXX.  .7 277 

Hearing  on  involtmtary  petition.     Sec.  59(d) .  .  . .  7 191 

as  to  sufficient  nxunber  of  creditors.     Sec.  59(d) ...  .7 191 

Hearings  on  applications  for  discharge,  notice  of,  required..     Sec. 

58(a)  (2) 185 

consolidated  petitions.     Gen.  Ord.  VII 262 

confirmation  of  composition,  notice  of   required.  Sec.  58  (a) 

(2) 185 

contempts.     Sec.  41  (b) 155 

objections  to  claims.     Sec.  57  (f) 178 

when  and  where  had.     Gen.  Ord.  XII 265 

Hire,  see  Wage-earner.     Sec.  1  (27) 11 

Holding  property  in  advance  of  adjudication.     Sec.  3(e) '. 40 

HoUday — definition  of.     Sec.  1  (14) 7 

excluded  if  last  day.     Sec.  31  (a) 7 142 


GENERAL  INDEX.  573 

PAGE. 

Homestead — see  Exemptions.     Sec.  6.  ...  7 58 

duty  of  trustee  to  set  aside  .     Sec.  47a  (11) 161 

statement  of  claim  to.     See  Form  No.  1,  Sch.  B(5) 7 296 

I. 

Identity  to  be  established,  when.     Gen.  Ord.  XXI  (5) 272 

Implied  contract — debt  fotmded  on,  provable.     Sec.   63  (a)  (4) 207 

Imprisonment,   as  pvmishment  under  act.     Sec.  29 140 

Imprisoned  debtor.     Gen.  Ord.  XXX. 277 

Incumbrance  of  property  by  bankrupt — void  when.     Sec.  67  (e) 227 

Indebtedness,  amoimt  necessary  in  involuntary  proceedings.     Sec. 

4(b) 48 

Indemnity  for  expenses,  when  may  be  required.     Gen.  Ord.  X 264 

Expenses,  money  paid  for,  shall  be  repaid  out  of  estate 

when.     Gen.  Ord.  X 264 

Indian  Territory.     See  States.     Sec.  1  (24) 10 

Individual  debts  and  assets.     See  Partners.     Sec.  5 51 

Indorser.     See  Secured  Creditor.     Sec.  1  (23) 9 

Infants  and  insane  persons  allowed  more  time  for  proof  of  claim. 

Sec.  57  (n) 184 

have  one  year  after  majority  to  claim  dividends.     Sec.  66  (b)  219 
Inferior  courts  of  bankruptcy.     See  Appellate  Courts.     Sec.  24  (b)   133 

Information  as  to  bankruptcy.     Sec.  53 169 

as  to  estates.     Sec.  39  (a)  (3) 150 

trustees  to  fixmish.     Sec.  47  (a)  (5) 160 

Injunction — by  whom  granted.     Gen.  Ord.  XXII  (3) 273 

suits  restrained  by,  when.     Sec.  11,  a 78 

Injuries — judgment  for  wilful  and  malicious — not  discharged.     Sec. 

17  (2) 107 

Injuries  to  property — right  of  action  for.     Sec.  70  (a)  (6) 249 

Insane  persons  allowed  more  time  for  proof  of  claims.     Sec.  57  (n) .  .  .    184 

Insanity  of  bankrupt.     Sec.  8  (f) 75 

Insolvency  laws — when  act  not  to  affect , 250 

Insolvency,  jury  trial  of.     Sec.  19  (a) 119 

preference  and  effect  on  liens.     Sec.  67  (c)  (1) 223 

when  person  is,  definition.     Sec.  1  (15) 7 

Inspection — accounts  to  be  open  for.     Sec.  49  (a). 164 

of  docket,  right  of.     See  docket.     Gen.  Ord.  1 259 

of  records,  refusal  to  allow.     Sec.  29  (c)  (3) 142 

Instrument — See  Dociiment.     Sec.  1  (13) 6 

in  writing,  how  proved  and  withdrawn.     Sec.  57  (f) 176 

Insiu-ance  policies,on  life,  title  to.     Sec.  70  (a)  (5) 248 

schedule  of.     Form  No.  1,  Sch.  B  (3). 294 


574  GENERAL   INDEX. 

PAGE. 

Intention,  affecting  preference.     Sec.  60  (b) 197 

Intent  to,  defeat  act.     Sec.  29  (b)  (4) 141 

to  give  preference  affecting  payment.     Sec.  60  (b) 197 

when  affect  act  of  bankruptcy.     Sec.  3  (a) 32 

Interest — on  accounts,  proof  of.     Gen.  Ord.  XXI  (1) 270 

provable  as  part  of  debt  when.     Sec.  63  (a)  (1) 205 

trustees  must  account  for.     Sec.  47  (a)  (1) 150 

Interlineation — not  permitted  in  petitions.     Gen.  Ord.  V 263 

Interlocutory  judgments.     Sec.  24  (b) 131 

Intervenors.     Sec.  59  (f) 198 

Inventory — trustee  to  prepare.     Gen.  Ord.  XVII 268 

Involvmtary  bankrupt — subpoena  to.     Form  No.  5 304 

trial  by  jury.     Sec.  19  (a) 119 

who  may  become.     Sec.  4  (b) 48 

Involuntary    bankruptcy — petitioning   creditors    to    file    schedule. 

Gen.  Ord.  IX 263 

Involuntary  bankrupts.     Sec.  4  (b) 48 

cases  bond  to  be  given  by  creditors.     Sec.  69  (a) 239 

costsin.     Gen.  Ord.  XXXIV 230 

marshal  may  seize  property,  when.     Sec.  69  (a) 239 

Involuntary  petition — answer  to,  must  contain  list  of  creditors,  when. 

Sec.  59(d)  (e) 191 

appearance  of  creditors  in  interest.     Sec.  59(f)  191 

certain  creditors  not  to  be  counted.     Sec.  59  (e) .  191 

creditors  who  must  join  in.     Sec.  59(b) 187 

defense  maybe  made  by  partners.     Gen.  Ord. 

VIII 263 

not  to-be  dismissed  without  notice.     Sec.  59  (g) .   192 

petitions  to  be  filed  in  duplicate.     Sec.  59(c) .  .  190 

what  first  heard.     Gen.  Ord.  VII 262 

who  may  file.     Sec.  59(b) 187 

Involuntary  petitions — creditor's  filing  fees,  prior  claims.     Sec.  64  (b) 

(2) 211 

Issue  as  to  number  of  creditors.     Sec.  59d 191 

Issues,  how  and  when  determined.     Sec.  18(d) 117 

joiner  in  bankruptcy.     See  Form  No.  6 305 

of  fact  referred  to  referee.     Gen.  Ord.  XII  (3) •.  .  .  266 

J. 

Joining  petitions.     Sec.  59f 191 

.    to  prevent  dismissal.     Sec.  59d 191 

Joint  bond  of  trustees.     Sec.  50h 166 

Joint  trustees.     Sec.  47  (b) 168 


GENERAL  INDEX.  575 

PAGE. 

Judge — definition.     Sec.  1  (16) 1 

clerk  may  refer  when  absent.     Sec.  18  (f) 118 

can  remove  trustee.     Gen.  Ord.  XIII 287 

may  issue  warrant  to  seize  and  hold  property  of  bankrupt, 

when.     Sec.  69  (a) 239 

modify  niles  of  practice.     Gen.  Ord.  XXXVII 283 

order  declaration  of  dividends.     Sec.  65  (b) 218 

remove  trustee.     Gen.  Ord.  XIII 237 

review  referee's  finding.     Gen.  Ord.  XXVII 275 

powers  of  vested  in  referees.     Sec.  38  (a)  (3) 143 

referee  may  act  in  absence  of.     Sec.  38  (3) 148 

referee's  certificate  to.     Form  No.  56 353 

shall  approve,  fix  the  amount  of  bond.     Sec.  69  (a) 239 

the  sureties  on  bond.     Sec.  69  (a) 239 

State  Court,  witness  may  be  ordered  before  Sec.  21  (a) 122 

to  hear  application  for  discharge.     Gen.  Ord.  XII 265 

Judges— list  of  U.  S.  Districts 506 

Judgment — when  a  preference.     Sec.  60  (a) 192 

Judgment  Debt — provable  claim.     Sec.  63  (a)  (1) 205 

Judgments — after  petition  filed,  provable  when.     Sec.  63  (a)  (5)  .  .  .  .  239 

against  bankrupt's  estate.     Sec.  67  (b) 222 

of  referee's,  review  of.     Gen.  Ord.  XXVII 275 

preferences  when.     Sec.  60  (a) 192 

provable  when.     Sec.  63a  (1) 205 

void  when.     See  liens.     Sec.  67f 229 

voidable  by  trustee  when.     Sec.  60b 197 

when  by  judge.     Gen.  Ord.  XII 265 

Jurisdiction.     Chapter  II.     Sec.  2-12 12 

See  adjudicate  bankrupt  power  to.     Sec.  2  (1) 13 

appeals,  power  to  entertain.     Sec.  25 135 

appointment  of  trustee.     Sec.  44 156 

Circuit  Courts.     Sec.  23a 126 

Circuit  Court  of  Appeals.     Sec.  24  (b) 133 

composition.     Sec.  2  (9) 24 

concurrent.     Sec.  23  (c) 132 

conduct  of  business.     Sec.  2  (5) 18 

contempts.     Sec.  2  (16) ;  Sec.  41,  29 154 

costs.     Sec.  2  (18) 29 

court  first  acquiring  to  retain.     Gen.  Ord.  VI 261 

discharge.     Sec.  2  (12) 25 

estates.     Sec.  2  (7) 19 

exceptions.     Sec.  2  (10) 24 

exemptions.     Sec.  2  (11) 25 


576  GENERAL   INDEX. 

PAGE. 
Jurisdiction — Continued. 

extradition.     Sec.  2  (14) 7  27 

parties,  to  make.     Sec.  2  (6) 7  19 

possession.     Sec.  69 239 

powers  not  enumerated.     Sec.  2 30 

proof.     Sec.  21  (f) 125 

receivers.     Sec.  2  (3) 16 

referees.     Sec.  34,  38 145 

seizure.     Sec.  3  (e) 7  46 

State  Courts.     Sec.  23  (b) 127 

transfer  of  cases.     Sec.  2  (19) 30-143 

trustee.     Sec.  2  (17) 29 

of  referees.     Sec.  38a 147 

adjudicate  or  dismiss  petitions.     Sec.  38  a  (1).  147 

administer  oaths.     Sec.  38  (a)  (2) 147 

exercise  powers  of  judge,  when.     Sec.  38  (a) 

(3) 148 

follow  rules  as  to  duties.     Sec.  38  (a)  (4) 148 

Jiiry,  specially  summoned.     Sec.  19  (b) 120 

Jury  Trial — order  for.     Form  No.  7 306 

right  to.     Sec.  19  (c) 121 

Jury  Trials.     Sec.  19  (b) 120 

Justice  of  the  peace  referee  may  be.     Sec.  35  (a)  (2) 146 

K. 

Knowledge  of  preference  intended — when  it  will  render  the  preference 

voidable.     Sec.  60  (b) 197 

intended  renders  lien  void.     Sec.  67(f) ... .  229 

I/. 

Last  day  included,  when.     Sec.  31  (a) 142 

Law  and  fact,  conclusions  and  findings.     Gen.  Ord.  XXXVI  (3) ....  .  282 

Law,  jurisdiction — proceedings  in .  .Gen.  Ord.  XXXVII 283 

Leave  to  amend  petitions  and  schedule.     Gen.  Ord.  XI. ..." 264 

Legal  proceedings,  liens  obtained  under  void.     Sec.  67(f) 229 

Letter  of  attorney — acknowledged  before.     Gen.  Ord.  XXI  (5) 272 

acknowledgment  of.     General  Ord.  XXI 272 

on  behalf  of  corporation.     Gen.  Ord.  XXI 272 

partnership.     Gen.  Ord.  XXI  (5) 272 

to  be  under  oath.     Gen.  Ord.  XXI(5) 272 

Letter  of  attorney  in  fact — general.     Form  No.  20 321 

special.     From  No.  21 322 

to  trustee  by  creditor  directing  payment  of  dividends.     Form 

No.  41 339 


GENERAL   INDEX.  577 

PAGE. 

Levies — ^when  right  under  passes  to  trustee.     Sec.  67(f) 229 

preserved  for  estate.     Sec.  67(f) 7 229 

void  under  Act.     Sec.  67(f) 7 229 

Liability  of  trustees.     See  Duties  of  trustees.     Sec.  47 158 

Liens.     Sec.  67 7 220 

given  after  being  adjudged  bankrupt.     Sec.  67(e).  .  , 227 

petition  and  order  of  sale  subject  to  Form  No.  44 342 

trustee  subrogated  to  right  to.     Sec.  67(b) 222 

unrecorded  when  not  liens.     Sec.  67(a) 220 

what  dissolved  by  adjudication.     Sec.  67(c) ...  7 222 

not  affected  by  Act.     Sec.  67(d) 7 224 

when  creditor  has  knowledge  of  insolvency.     Sec.  67(c)  (2)  .  . .  .  223 

obtained  during  insolvency .     Sec.  67  (c)  (1) 223 

within  four  months.     Sec.  67(f) 7 229 

permitted  in  fraud  of  Act.     Sec.  67(a)  (3) 220-223 

Limitation — bonds  of  referee.     Sec.  50(1) 166 

trustee.     Sec.  50(m) 166 

four  months  as  to   liens.     Sec.  67 220 

claims.     Sec.  57 (n) 7 184 

offenses.     Sec.  29(d) 142 

on  appeals.     Sec.  25(a)  (3) 135 

on  claiming  dividends.     See  unclaimed  dividends,  Sec.  66  ... .  219 

suits  by  or  against  trustee.     Sec.  1 1  (d) 85 

Limited  partnership — definition.     Sec.  1  (6) 5 

Liquidated  demands.     Sec.  63(b) 7 209 

List  of  claims  and  dividends  to  be  recorded  by  referee.     Form  No. 40.   338 
List  of  creditors,  when  to  be  filed  with  answer  in  involuntary  cases 

Sec.  59   (d) 191 

when  to  be  filed  by  referee.     Sec.  39a(6) 150 

List  of  debts  proved  at  first  meeting  of.     Form  No.  19 320 

proved  claims  shall  contain  what.     Gen.  Ord.  XXIV.  ........   274 

Lost  bill  or  note,  afiidavit  of.     Form  No.  37 336 

Lost  writing.     Sec.  57(b) 176 

M. 

Mailing  notices,  expense  of.     Gen.  Ord.  XXXV  (1)  (2) 281 

Majority  in  number  and  amount  of  creditors  may  designate  place  for 

meeting.     Sec.  55(e) 172 

of  three  trustees  must  concur  Sec.  47(b) 161 

Malicious  and  wilful  injuries — judgments  for.     Sec.  17(2) 107 

Manufacturing  corporations.     Sec.  4(b) 48 

Marshal— bond  to.     Form  No.  10 7 310 

compensation  of.    Sec.  52(b) ....  7 169 


578  GENERAL  INDEX. 

PAGE. 

Marshal — Continued. 

jurisdiction  over.     Sec.2(3) 7 16 

may  require  indemnity  for  expenses.     Gen.  Ord.  XIX 270 

to  make  retiim  of  expenses  incurred  tmder  oath.     Gen.  Ord 

XIX 270 

to  obtain  vouchers,  when.     Gen.  Ord.  XIX 270 

warrant  to,  special.     Form  No.  8 307 

when  ordered  to  seize  property  of  involuntary  bankrupt.     Sec.     ^ 

69(a) 239 

Marshalling  assets  of  partnership.     Sec.  5  (f),  (g) 55-57 

Masculine  gender — definition.     Sec.  1  (28) 11 

Master  in  chancery — referees  may  be.     Sec.  35(a)  (2) '. 146 

Meeting  of  creditors — court  may  order  that  none  be  called  after  the 

first.     Gen.  Ord.  XV 267 

final.     Sec.  55(f) 172 

first.     Sec.  55(a),  (b).  ..  .7 170-171 

first  notice  of.     Sec.  58(b) 186 

list  of  debts  proved  at  first.     FormNo.  19 '320 

notice  of.     Sec.  58(a)  (3) 185 

special.     Gen.  Ord.  XXV.    . .~ 275 

subsequent.     Sec.  55(a)  (b) 170-171 

to  consider  composition.     Form  No.  60 357 

Meeting  of  creditors.     Sec.  55 170 

Mercantile  corporations  may  be  bankrupts.     Sec.  4(f) 48 

Mileage  of  witnesses  has  priority.     Sec  64b  (3) 211 

paid  or  tendered  in  advance  .     Sec.  41  (a)  (4).  ...  7 154 

Minors — dividend  belonging  to  claimed  after  majority.     Sec.  66(b)..  219 

Misappropriation  by  trustee.     Sec.  29(a) 140 

not  discharged  from  liability  for.     Sec.  17(4). ..  T 110 

Money — courts  to  designate  depositories  for.     Sec.  61  (a) 204 

depositories  for.     Sec.  61 204 

to  be  withdrawn  from  depository  by  check.     Gen.  Ord.  XXIX.  277 

Mortgage.     (See  Transfer.)     Sec.  1  (25) 10 

when  and  how  discharged.     Gen.  Ord.  XXVIII 276 

Mutilate— definition.     Sec.  1  (22) 9 

Mutual  debts  or  credits  set  oflf.  when.     Sec.  68a. . .  7 238 

N. 

National  Banks — seem  to  be  contemplated  as  depositories.     Form 

No.  61 358 

excepted  from  bankruptcy  proceedings.     Sec.  4  (b) 48 

Necessary  expenses  allowed  when.  Sec.  62 7  204 

expenses  of  court  officers.     Gen.  Ord.  XXXV 282 

Neexeat.    Sec.  9(b) 77 


GENERAL  INDEX.  579 

PAGE. 

New  credit — when  claim  under  may  be  set  off.    Sec.  60  (c) 200 

New  Parties.     Sec.  2  (6) 19 

Newspapers — designation  of.     Sec.  28a .....?  139 

New  trustee — order  for  choice  of.     Form  No.  55 352 

No  trustee  appointed,  when.     Gen.  Ord.  XV 267 

order  that  none  be.     Form  No.  27 327 

Nonresidents — jurisdiction  of.     Sec.  2  (1) 3     13 

Notary  Public — referees  may  be.     Sec.  35  (a)  (2) 141 

what  may  be  acknowledged  before.     Gen.  Ord.  5^X1 ?  271 

Not  bankrupt — adjudication.     Form  No.  11 316 

Note— affidavit  of  lost.     Form  No.  37 336 

how  proved  and  withdrawn.     Sec.  57  (b) 179 

Notice — designation  of  newspaper.     Sec.  28 *  139 

of  dividend.     Form  No.  41 339 

first  meeting  of.     Form  No.  18 318 

,  order  discharging  bankrupt  from  custody.     Gen.  Ord.  XXX  270 

petition,  order  for.     Form  No.  57 354 

for  redemption.     Gen.  Ord.  XXVIII 7  276 

for  removal  of  trustee.     Form  No.  53 350 

record  of  revesting  title.     Sec.  21  (g) 125 

of  trustee's  title.     Sec.  21  (e) 125 

special  meeting  of  creditors.     Gen.  Ord.  XXV 275 

referee's  order  to  show.     Gen.  Ord.  XXII 7  273 

to  be  given  by  referee.     Sec.  58  (c) 186 

to  trustee  of  his  appointment.     Form  No.  23 324 

what  to  contain.     Gen.  Ord.  XXV 275 

Notice  of  Assignment  of  Claim — given  to  original 7; 

claimant.     Gen.  Ord.  XXI  (3) 271 

Notice  of  Involuntary  Petition — to  be  given  to  contesting  partner. 

Gen.  Ord.  VIII 7  263 

when  to  be  given  to  creditors.     Sec.  59  (d) 191 

Notice  to  trustee  of  appointment.    Form  No.  24 325 

to  be  made  by  referee.     Gen.  Ord. 

•  XVI 268 

what  to  contain.     Gen.  Ord.  XVI 7  268 

Notices  and  Orders — when  served  on  attorney.     Gen.  Ord.  VI 261 

Notices  to  Creditors.     Sec.  58 7  185 

how  given.     Sec.  58  (b) 7  186 

may  be  waived  in  writing.     Sec.  58  (a) 185 

must  be  by  mail.     Sec.  58  (a) 7  185 

of  dismissal  of  petition.     Sec.  59  (g) 7  192 

referee  to  give.     Sec.  39  (4) 7  150 

sale  to  take  place  without,  when.    Gen.  Ord.  XVIII 269 


58o  GENERAL  INDEX. 

PAGE. 

Notices  to  Creditors — Continued. 

sent  to  any  address  on  request.     Gen.  Ord.  XXI  (2) 7  371 

to  prosecuting  creditor  in  habeas  corpus.     Gen.  Ord.  XXX  . . .  T  277 

to  whom  addressed.     Gen.  Ord.  XXI  (2) 7  271 

when  required.     Sec.  58^  (a) ?  185 

Number  of  Creditors — how  computed.     Sec.  59  (e) 191 

issue  formed  on.     Sec.  59  (d) 191 

referees.     Sec.  37  (a) 7  147 

trustees.     Sec.  44 T  156 

Numbering  cases.     Gen,  Ord.  I 259 

O. 

Oath — by  whom  administered.     Sec.  20  (a) 121 

definition.     Sec.  1  (17) ?      8 

expense  accoimt  to  be  reported  tmder.     Sec.  62 ?  204 

false,  punishment.     Sec.  29  (b)  (2) 140 

form  for  to  schedule  (b) .     Form  No.  1 285 

of  appraisers,  form  of.     Form  No.  13 313 

of  office,  referee's.     Form  No.  16 7  317 

referee's  return  to  be  under.     Gen.  Ord.  XXV 275 

retiuTi  of  marshal's  expenses  to  be  made  xmder.     Gen.  Ord. 

XIX 270 

to  final  accovmt  of  trustee.     Form  No.  50 7  348 

Oaths,  Affirmation,  etc.    Sec.  20 121 

Obedience  to  orders — cotirt's  power  to  enforce.     Sec.  2  (13) 25 

Objections  to  claims.     Sec.  57f 7  178 

to  questions,  how  taken.     Gen.  Ord.  XXII 273 

to  discharge.     Gen.  Ord.  XXXII 278 

specifications  of  grotmds  of.     Gen.  Ord.  XXXII 7  278 

OflEenses — jurisdiction  of  cotirts.     Sec.  23  (c) 132 

limitations.     Sec.  29  (d) :  142 

ptmishment.     Sec.  29  (a) 140 

what  are  under  act.     Sec.  29  (a) 140 

Officer— definition.     Sec.  1  (18) 8 

Officers — their  duties  and  compensation,  Ch.  V.     Sec.  33  to  54 145 

to  include  "persons"  in  act.     Sec.  1  (19) 7  9 

to  prepare  statistics.     Sec.  56 161 

official  bonds.     Sec.  50  (a) 164 

Official  Forms  (See  Forms) 285 

Official  trustee,  not  to  be  appointed.     Gen.    Ord.   XIX 270 

One  trustee  or  three.     Sec.  44 ■ 1 56 

Open  account,  provable.     Sec.  63  (a)  (4) 207 

Operation  of  law,  title  changes  by.     Sec.  70 7  241 

Opporttmity  for  inspection,  reasonable,  refused.     Sec.  29  (c)  (3) 141 


GENERAL  INDEX.  58I 

PAGE. 

Opposition  to  discharge  or  composition.     Gen.  Ord.  XXXII T  278 

Opposition  to  discharge — specifications  of  grounds.     Form  No.  58  . .  356 

to  petitions  creditors  may  make.     Sec.  59  (f) 191 

Order — allowing  account  and  discharging  trustee.     Form  No.  51  ....  340 

approving  trustee's  bond.     Form  No.  26 327 

confirming  composition.     Form  No.  62 T  359 

discharging  bankrupt.     Form  No.  59 1  357 

evidence  of.     Sec.  21f 125 

expunging  claim.     Form  No.  39 7  337 

for  choice  of  new  trustee.     FormNo.  55 T  352 

examination  of  bankrupt.     Form  No.  28 328 

general  jurisdiction  to  make.     Sec.  2  (15) 27 

jury  trial.     Form  No.  7 '."  306 

removal  of  trustee.     Form  No.  54 T  351 

sale  of  real  estate.     Form  No.  42 340 

distribution  on  composition.     Form  No.  63 360 

notice  on  petition  for  discharge.     Form  No.  57 7  356 

payment  of  debts  having  priority.     Sec.  64 210 

of  reference.     Form  No.  14 315 

copy  of  order  to  be  sent  to  referee.     Gen.  Ord. 

XII .265 

in  judge's  absence.     Form  No.  15 T  316 

referee,  review  of.     Gen.  Ord.  XXVII T  275 

of  reference,  what  to  contain.     Gen.  Ord.  XII .'  265 

on  motion,  must  contain  name  of  moving  attorney.     Gen. 

Ord.  IV 260 

petition  for  private  sale.     Form  No.  45 7  343 

sale  by  auction.     Form  No.  42 7 7  340 

petition  for  sale  subject  to  lien.     Form  No.  44 7  342 

reducing  claim.     Form  No.  38 7  337 

that  no  trustee  be  appointed.     Form  No.  27  . ' 327 

to  show  cause  on  creditor's  petition.     Form  No.  4 303 

Orders — general.     Sec.  30.     See  General  Orders 142 

Orders — bankrupt  shall  comply  with.     Sec.  7  (2) 69 

enforcing  obedience  to.     Sec.  2  (13) 7  25 

Orders  of  Referee — what  to  contain.     Gen.  Ord.  XXII 273 

Original  claimant,  notice  to  of  proof  of  assigned  claim.     Gen.  Ord. 

XXI  (3) 271 

jurisdiction.     See  courts  of  bankruptcy.     Sec.  2 12 

vested  in  Circuit  Cotirts  of  Appeals.     Sec.  24  (b)  133 

P. 

Papers — bankrupt  shall  execute.     Sec.  7  (4) 70 

books,  deeds  and  writing,  Hst  of.     FormNo.  1.     Sch.  B  6.  298,  297 


582  GENERAL  INDEX. 

PAGE. 
Papers — Continued. 

filed  after  reference.     Gen.  Ord.  XX 270 

clerks  must  deliver  or  mail  to  referees,  when.     Sec.  51  (a)  (3) .  .  168 

etc.  to  be  endorsed  with  name  of  attorney.     Gen.  Ord.  IV  .  .  . .  260 

trustee's  open  to  inspection.     Sec.  49 164 

of  estates,  inspection  refused.     Sec.  29  (c)  (3) 141 

to  be  called  for  by  referees  in  person.     Sec.  39  (a)  (10) 151 

Parties,  additional,  new  and  substitution.     Sec.  2  (6) 19 

in  interest,  right  to  inspect  papers.     Sec.  49 164 

Partner — when  to  file  schedule  of  debts.     Gen.  Ord.  VIII 263 

Partners — adjudged  bankrupt  when.     Sec.  5  (a) 51 

jurisdiction  of  one  gives  ofj  estate.     Sec.  5  (c) 54 

refusing  to  join  in  petition.     Gen.  Ord.  VIII 263 

Partnership — claim  by;  deposition  by  partners.     Gen.  Ord.  XXI  (1)  .  270 

accounts  of  trustee.     Sec.  5  (a) 55 

adjudged  bankrupt,  when.     Sec.  5  (a) 51 

claims  of  against  members.     Sec.  5  (g) 7  57 

creditors  of.     Sec.  5  (b) 54 

distribution  of  assets.     Sec.  5  (f) 55 

expenses  how  paid.     Sec.  5  (e) 65 

jurisdiction  of  one  partner  enough.     Sec.  5  (c) 54 

petition  against  in  different  districts,  when  amended.     Gen. 

Ord.  VI 261 

petition  of.     Form  No.  2 299 

proof  of  debt  by.     Form  No.  34 333 

trustee,  how  chosen.     Sec.  5  (b) 54 

when  adjudicated  bankrupt.     Sec.  5  (a) 7  51 

where  all  partners  not  adjudicated.     Sec.  5  (h) 57 

Partnership  Cases — expenses.     Sec.  5  (e) 55 

proceedings  in.     Gen.  Ord.  VIII 7  263 

Partnership  Petition — form  for.     Form  No.  2 299 

Patent  rights  to  pass  to  trustee.     Sec.  70  (a)  (2) V  241 

Patents — title  to,  to  pass  to  trustee.     Sec.  70  (a)  (2) 241 

Paupers'  affidavit.     Sec.  5(a)  (2) 167 

Payment.     See  Transfer.     Sec.  1(25) 10 

Payment  of  dividends — notice  of  declaration  of  and  time  of.    Sec. 

58(a)  (5) 185 

of.     Sec.  65 217 

of  moneys  deposited.    Gen.  Ord.    XXVIII 277 

Penalties  and  forfeitures,  how  far  allowed.     Sec.  57J.  ...  7 183 

Pending  proceeding,  not  dismissed  until  creditors  notified.     Sec.  59d .  191 

Perishable  property — petition  and  order  for  sale.     Form  No.  26. . .  7 . .  327 

Saleof.     Gen.  Ord.  XVIII 269 

Perpetuating  testimony.    Gen.  Ord.  XXXV  (2) 281 


GENERAL  INDEX.  5^3 

PAGE. 

Person  against  whom,  etc.,  definition.     Sec.  1  (1) T 4 

Persons — definition.     Sec.  1  (19) 9 

Personal  property — appraisal  of.     Sec.  70b 250 

Petition — creditors,  form  of.     Form  No.  3 -, 301 

definition.     Sec.  1(20) 7 9 

filedin  duplicate.     Sec.  59(c) 190 

form  of  volimtary.     Form  No.  1 285 

<                     for  partnerships.     Form  No.  2 T 299 

.    how  amended.     Gen.  Ord.  XI 264 

framed.     Gen.  Ord.  V 260 

in  different  districts.     Gen.  Ord.  VI 261 

involuntary,  who  may  file.     Gen.  Ord.  V,  Sec.  59  (b) 187 

order  to  show  cause  on — form  of.     Form  No.  4 303 

Petition  and  order  for  private  sale.     Form  No.  45. . .  7 343 

redemption  of  property  from  lien.     Form  No. 

43 341 

sale  of  perishable  property .     Form  No.  46.  .  .  .7  344 

sale  subject  to  lien.     Form  No.  44 7 342 

Petition  for  discharge  Gen.  Ord.  XXXI 278 

Form  No.  57 354 

Petition  for  meeting  to  consider  composition.     Form  No.  60 7 . .  357 

Petitionforreview— filed  with  Judge.     Gen.  Ord.  XXVII 7 275 

finding  of  referee  to  be  certified.     Gen.  Ord. 

XXVII 276 

Petition  for  redemption  ef  property.     Gen.  Ord.  XXVIII 276 

Petition  for  sale  of  real  estate.     Form  No.  42. . .  7 340 

Petitions — court  may  order  to  be  consolidated.     Gen.  Ord.  VII.  . .  7 . .  262 

debtor's  domicile  to  control  hearing  on.     Gen.  Ord.  V 260 

frame  of.     Gen.  Ord.  V 260 

in  different  districts.     Gen.  Ord.  VT, . .  7 261 

may  be  adjudicated  or  dismissed  by  referees  when.     Sec,  38 

(a)<l) 147 

must  be  filed  in  duplieate.     Sec.  59(c) 7 190 

not  to  be  dismissed  without  notice.     Sec.  59(g) T 192 

not  to  be  filed  until 251 

number  of  creditors  necessary.     Sec.  59(d).  .  . .'. 191 

one  alleging  first  Act  of  Bankruptcy  to  be  first  heard.    Gen. 

Ord.  VII 262 

priority  of.     Gen.  Ord.  VI 261 

volimtary,  who  may  file.     Sec.  59(a) 7 187 

who  may  file  and  dismiss  involuntary.     Sec.  59(b) 187 

Petitions  and  schedules  to  be  written  or  printed.     Gen.  Ord.  V 260 


584  GENERAL  INDEX. 

PAGE. 

Petitioner's  bond.     See  Possession.    Sec.  69 239 

when  reqmred.     Sec.  3(e) T 46 

Petitioning  creditor's  bond.     See  Form  No.  9 309 

recover  costs,  when.     Gen.  Ord.  XXXIV 281 

Place  where  referees  shall  act.     Gen.   Ord.  VII 265 

Plead,  who  may.     Sec.  18(f) 115 

Pleadings.     Sec.  18 114 

to  be  verified.     Sec.  18(c) 116 

varying  time  for.     Gen.  Ord.  XXXVII .. .: 283 

Plural  nimiber — definition.     Sec.  1  (29)  ...7 11 

Policy  of  insurance — when  to  pass  to  trustee.     Sec.  70(a)  (5) 243 

Poor  person — when  not  to  pay  fees.     Sec.  51  (2) 167 

Possession  of  property — when  judge  may  order  taken.     Sec.  69a . . ; . .  239 

when  may  be  seized.     Sec.  3(e) .  .  . .  7 46 

Powers  not  enumerated.     Sec.  2 7 27-30 

which  bankrupt  might  exercise  to  pass  to  trustee.     Sec.  70  (a) 

(3) 242 

Powers  of  attorney,  how  made  and  attested.     Gen.  Ord.  XXI  (5) 272 

attorney,  forms  for  Forms  20-21 331-332 

Practice — Appeals.     Sec.  25 7 135 

equity  rules  to  govern,  when.     Gen.  Ord.  XXXVII 282 

law  rules  to  govern,  when.     (kn.  Ord.  XXXVII 282 

referees  not  to  in  bankruptcy.     Sec.  39(b)  (2) 152 

Preference — ^what  is  giving.     Sec.  60(a) 192 

credit  after  preference.     Sec.  60(c) 200 

test  in  dissolving  liens.     Sec.  67(c)  (1) 223 

when  lien  works.     Sec.  67(c)  (1) 7 223 

when  act  of  bankruptcy.     Sec.  3  (a)  (2) 33 

when  trustee  may  set  aside.     Sec.  60  (b) 1 192 

when  surrendered,  claim  allowed.     Sec.  57  g 178 

Preferred  Creditors.     Sec.  60 192 

when  may  claim  set-oflf.     Sec.  60  (c) 7  200 

Prescribed  rules,  forms  and  orders.     Sec.  30  (a) 142 

Preservation  of  estates.     Sec.  2  (3) 16 

Preserving  estate,  cost  of  has  priority.     Sec.  64  (b)  (1) 211 

Principal  place  of  business.     Sec.  2  (1) 13 

Prior  Claims — schedule,  form  of  schedule  (a)  (1).     Form  No.  (1)  287-295 

Priority — claims  having,  how  far  allowed.     Sec.  57  (e) 177 

not  entitled  to  vote.     Sec.  56  (b) 172 

debts  having.     Sec.  64  (a) 210 

costs  of  administration.     Sec.  64b  (3) 211 

costs  of  preserving  estate.     Sec.  64  (b)  (1)  . .  211 
debts   entitled   to   priority   \mder   state   or 


GENERAL  INDEX.  $8$ 

PAGE. 

Priority — Continued. 

federal  laws.     Sec.  64  (b)  (5) 216 

filing  fees.     Sec.  64  (a) 211 

taxes  due.     Sec.  64  (a) 210 

wages  due  working  men  and  clerks.     Sec. 

64b  (4) 214 

of  petitions.    Gen.  Ord.  VII 262 

statement  of  debts  having.     Form  No.  1,  Sch.  A  (1) 298,  287 

given  by  state  laws,  preserved  by  bankrupt  cotirt.    Sec. 

64  (b)  (5)  .■ 216 

Private — bankers.    Sec.  4  (b) 48 

corporations.     Sec.  1  (b) 5 

sale  petition  and  order  for.     Form  No.  45 348 

Procedtire — ^violation  of  act.     Sec.  2  (4)  7 13 

See  Appellate  Courts.     Sec.  24 132 

conduct  of  proceedings.     Gen.  Ord.  IV 260 

death  of  trustee.     Sec.  46 T  158 

debts  provable.     Sec.  63 T  205 

dividends.     Sec.  65 T  217 

duties  of  referees.     Sec.  38 T  147 

Notices  to  creditors.     Sec.  58 7  185 

no  trustee.     Gen.  Ord.  XV ?  267 

petitions.     Sec  59 7  187 

possession.     Sec.  69 239 

proof  and  allowance  of  claims.     Sec  57 173 

rules.     Sec  30a 142 

Supreme  Court.     Sec.  25 7  135 

transfer  of  cases.     Sec.  32  (a) 7  143 

Proceeding — when  bankruptcy  is  denied.     Sec.  3  (d) 45 

Proceedings — how  conducted.     Gen.  Ord.  IV 260 

in  partnership  cases.     Gen.  Ord.  VIII 7  263 

under  state  insolvency  laws  not  affected.     Sec.  70b  . .  261 

Process.     Sec.  18 7  114 

Process.     Gen.  Ord.  Ill 259 

disobedience  of  contempt.     Sec.  41  (a)  (1) 154 

judge  may  vary  time  allowed  for  retvun  of.     Gen.   Ord. 

XXXVIII 283 

to  be  tested  by  clerk.     Gen.  Ord.  Ill 259 

to  issue  out  of  court  under  seal.     Gen.  Ord.  Ill 259 

Promissory  note — how  proven  and  withdrawn.     Sec.  57  (b) 176 

Proof  burden  of  as  to  solvency.     Sec  3  (c) 44 

Proof  and  allowance  of  claims.     Sec.  57a 173 

duty  of  bankrupt  as  to.     Sec.  7  (a)  (3) 70 

Proof  of  Claims — ^where  filed  after  reference.    Gen.  Ord.  XX 7  270 


586  GENERAL  INDEX. 

PAGE. 

Proof  of  Debt — by  agent  or  attorney.    Form  No.  35 7  334 

by  partnership.     Form  No.  34 7  333 

due  corporation.     Form  No.  33 332 

Proof  of  Debts— (See  claims) ,  how  made.     Gen.  Ord.  XXI T  270 

deposition  must  aver  what.     Gen.  Ord.  XXI  (1) 270 

must  show  reason  why  when  made  by  an  agent. 

Gen.  Ord.  XXI 270 

Depositions  to  prove  must  be  entitled  in  cause  and  court. 

Gen.  Ord.  XXI 270 

letterof  attorney  to  represent  in.     Gen.  Ord.  XXI  (5) 272 

notice  to  creditors  where  sent.     Gen.  Ord.  XXI  (2) 271 

on  open  account  to  state  date  debt  is  due.     Gen.  Ord.  XXI  (1) .  271 

proof  of  assigned  claims.     Gen.  Ord.  XXI  (3) 271 

debt    due    a     partnership     must     show     deponent 

member.     Gen.  Ord.  XXI 270 

re-examinationof  proof  of  claim.    Gen,  Ord.  XXI  (6) '.  272 

Gen.  Ord.  XXI  (2) T  271 

trustee  to  deliver  to  referee.     Gen.  Ord.  XXI  (1) 270 

when  debt  due  corporation  who  to  make  deposition.    Gen. 
Ord.  XXI  (1) 270 

Proof  of  Secured  Debt.     Form  No.  32 T  331 

by  agent.     Form  No.  36 7  335 

tmsecured  debt.     Form  No.  31 330 

Property — appraisement  of.     Sec.  70  bV 250 

bankrupt  shall  convey  what.     Sec.  7  (5) 70 

judge  may  issue  warrant  to  seize.     Sec.  69  (a) 7  239 

partnership.     Sec.  5 51 

possession  of.     Sec.  69 239 

recovery  of  by  trustee.     Sec.  70  (e) 250 

recovery  from  bankrupt.     Sec.  29b  (4) V  141 

referee  caimot  purchase  when.     Sec.  39  (b)  (3) 152 

statement  of  in  volxmtary  proceedings.     Form  No.  1,  Sch.  B 

292 

sales  of,  notice  to  creditors  to  be  given.     Sec.  58  (a)  (4) . . . .   185 

sales  of.     Gen.  Ord.  XVIII 269 

title  to.     Sec.  70 239 

title  to  what  in  trustee.     Sec.  70  (a) 241 

to  be  released  if  bankrupt  files  bond.     Sec.  69  (a) 239 

when  bankrupt  about  to  neglect.     Sec.  69  (a) 239 

Property  of  Bankrupt — to  be  appraised.     Sec.  70  (b) 250 

to  be  sold  subject  to  approval  of  court    Sec.  70  (b) 260 

trustee  to  convey  title  to  .     Sec.  70  (c) 250 

Prosecutions — concurrent  jurisdiction  of.     Sec.  23  (b) 127 


GENERAL   INDEX.  587 

PAGE. 

Protection  of  Bankrupts.     Sec.  9 '.  76 

Provable  Claims — (see  debts  which  may  be  proved.     Sec.  64 210 

Proved  Claims — list,  referee  to  transmit.     Gen.  Ord.  XXIV 274 

Publication  of  Notices  of  creditors'  meetings.     Sec.  58  (b) 186 

service  by.     Sec.  18  (a) 114 

Punishment — jurisdiction.     Sec.  2  (4) 18 

Purchase — by  referee  of  property  of  bankrupt.     Sec.  29  (c)  (2) . . . .  141 

by  referee  at  sale.     Sec.  39  (b)  (3) 152 

Purchaser — bona  fide,  when  not  affected  by  bankrupt  act.     Sec. 

67  (f) 229 

Purchased— claim  not  set  oflF.     Sec.  68  (b)  (2) '.  238 

Purchasers  in  good  faith  protected,  when.     Sec.  67  (e) 227 

Qualifications  of — referees.     Sec.  35  (a) 146 

trustees.     Sec.  45  (a) 158 

R. 

Real  Estate — petition  and  order  for  sale  of.     Form  No.  42 340 

schedule  of.     Form  No.  1,  Sch.  B  (1) 292 

Receivers — jurisdiction.     Sec.  2  (3) 16 

when  appointed.     Sec.  3  (e) 46 

Reconsideration  of  Claims — jurisdiction.     Sec.  2  (2) 15 

Recorded  Lien — not  affected  by  act.     Sec.  67  (d) 224 

Record — as  affecting  liens.     Sec.  67  (a) 220 

in  case  of  appeals.     Gen  Ord.  XXXVI  (3) 283 

notice  of  revesting  title.     Sec.  21g 125 

trustee  to,  conveyances.     Sec.  71 255 

Records — referee  to  make.     Sec.  39  (5) 150 

Records  of  Referee — confirming,  modifying,  overruling  or  returning. 

Sec.  2  (10) 24 

Records  of  Referees.     Sec.  42 154 

Recovery  of  Property.     Sec.  67  (e) 227 

Redemption  of  Property.     Gen.  Ord.  XXVIII 276 

from  lien,  petition  for.     Form  No.  43 341 

Re-examination  of  Claims.     Gen.  Ord.  XXI  (6) 272 

Referee — accovmt  of  expenses  to  be  kept  by.     Gen.  Ord.  XXVIII  269 
application  for  discharge  may  be  referred  to.     Gen.  Ord. 

XII 265 

appointment  of  trustee  by.     Form  No.  23 324 

approval  of  composition  may  be  referred  to.     Gen.   Ord. 

XII 265 

bond,  limitation  on.     Sec.  50  (1) 166 

bond  of.     Form  No.  17 318 


588  GENERAL  INDEX. 

PAGB 
Referee — Continued. 

certificate  of  to  judge.     Form  No.  56 .' 353 

clerk  to  pay  fee  to.     Sec.  51  (4) 168 

compensation  of.     Gen.  Ord.  XXXV  (2) 282 

contempts  before.     Sec.  41 154 

call  on  clerk  for  papers.     Sec.  39  (a)  (10) 151 

creation  of  ofi&ce.     Sec.  33 145 

declare  dividends.     Sec.  39  (a)  (1) 149 

definition  of.     Sec.  1  (21) 9 

depositions  before.     Gen.  Ord.  XXII 273 

dividend  sheets.     Sec.  39  (a)  (1) 149 

duties  of.     Sec.  39. 149 

examine  schedule.     Sec.  39  (a)  (2) 149 

fiUTiish  information,  duty  to.      Sec.  39  (a)  (3) . . . .  150 

give  notices  to  creditors,  duty  to.     Sec.  39  (a)  (4) . .  150 

make  records.     Sec.  39  (a)  (5) 150 

prepare  schedules.     Sec.  39  (a)  (6) 150 

preserve  evidence.     Sec.  39  (a)  (9) 151 

records.    Sec.  39  (a)  (7) 151 

transmit  papers  to  clerk.     Sec.  39  (a)  (8) 151 

duties  of.    Gen.  Ord.  XII 265 

duties   performed    as   to   time   and  place.     Gen.  Ord.  XII  265 

examination  of  witnesses  before.     Gen.  Ord.  XX 270 

exceptions  to  trustee's  report  argued  before.     Gen.  Ord.  XVII  268 

expenses  not  to  be  included  in  fees.     Gen.  Ord.  XXXV  (2) .  .  282 

expenses  to  be  returned  under  oath.     Gen.  Ord.  XXVI  ....  275 

failure  to  give  bond.     Sec  50  (k) 166 

indorse  time  of  filing  on  papers.     Gen.  Ord.  II 259 

jurisdiction  of.     Sec.  38 147 

may  require  indemnity  for  expense.     Gen.  Ord.  X 264 

may  take  acknowledgment  of.     Gen.  Ord.  XXI  (5) 272 

number  of.     Sec.  37   ." 147 

oath  of  office.     Sec.  36 147 

oath  of  office.     Form  No.  16 317 

offense  by,  punishment.     Sec.  29  (c)  (1)  (2)  (3)    140,  141 

papers  may  be  filed  with  after  reference.     Gen.  Ord.  XX  . .  270 

petition  for  review  to  be  filed  with.     Gen.  Ord.  XXVII ....  275 

qualification  of.     Sec.  35 146 

removal  and  districts  of.     Sec.  34 145 

time  to  act  on  cases  fixed  by  judge.     Gen.  Ord.  XII 265 

to  approve  appointment  of  trustee.     Gen.  Ord.  XIII 267 

to  be  furnished  blanks  when.     Gen.  Ord.  Ill 259 

to  give  notices.     Sec.  58  (c) 186 

notify  trustee  of  appointment.     Gen.  Ord.  XVI 268 


GENERAL  INDEX.  589 

PAGE. 

Referee — Continued . 

to  protect  bankrupt  from  arrest.     Gen.  Ord.  XII 265 

to  transmit  list  of  claims  to  clerk.     Gen.  Ord.  XXIII 274 

to  whom  case  referred.     Sec.  22  (a) 125 

transfer  of  cases  from  one  to  another.     Sec.  22  (b) 126 

what  may  be  referred  to.     Gen.  Ord.  XII 265 

what  orders  must  show.     Gen.  Ord.  XXII 273 

when  proceedings  had  before.     Gen.  Ord.  XII 265 

to  countersign  checks.     Gen.  Ord.  XXX 277 

when  to  order  assignee  of  claim  subrogated  to  original  claimant 

Gen.  Ord.  XXI 271 

when  to  order  rule  to  show  cause  on  trustee  for  failure  to 
file  report.     Gen.  Ord.  XVII 268 

Referees — bonds  of.     Sec.  50  (a) 164 

cases  in  which  they  may  not  act.     Sec.  39  (b)  (1) 151 

compensation.     Sec.  40 152 

contempts  before.     Sec.  41 154 

not  to  practice  as  attorney,  when.     Sec.  39  (b)  (2) 152 

not  to  purchase  property  in  bankruptcy.     Sec,  39  (b)  (3) . .   152 
records  of.     Sec.  42 155 

Referee's  Absence  or  Disability.     Sec.  43 156 

Reference.     Sec.  18  (f)  (g) 118,  119 

order  of.    Form  No.  14 315 

in  judges'  absence.     Form  No.  15  7 316 

to  name  date  on  which  bankrupt  shall  attend 
before  referee.     Gen.  Ord.   XII 265 

Reference  of  Cases — after  adjudication.     Sec.  22  a 7  125 

may  be  general  or  special.     Sec.  22  a  (1) 126 

to  whom  made.     Sec.  22  a  (2) 126 

Reinstating  Cases — jiirisdiction  in.     Sec.  2  (12) 7     25 

Removal  of  referees.     Sec.  34  (a)  (1) 145 

Removal  of  Trustee — petition  for.     Form  No,  62 349 

notice  of  petition  for.     Form  No.  53 350 

order  on  petition  for.     Form  No.  54 351 

Report  of  Appraisers — form  of.     Form  No.  13 313 

of  exemption  property  by  trustee.     Form  No.  47 345 

of  exemptions  by  trustee,  when  made.     Gen.  Ord.  XVII..  268 
of  trustees,  when  to  be  made.     Sec,  47  a  (7)  (8)  (10) 160 

Residence — of  bankrupt,  jurisdiction.     Sec.  2  (1) 13 

of  trustees.     Sec.  45 158 

of  witness  not  compelled  to  attend    of  state,  of  his.  Sec. 

41  a  (4)  per 154 


590  GENERAL  INDEX. 

PAGE. 

Return  of — marshall  on  special  warrant.    Form  No.  8 307 

no  assets  by  trustee.     Form  No.  48 346 

process  time  allowed  for.     Gen.  Ord.  XXXVII 283 

subpoena.     Sec.  18  a T  114 

summons  to  witness.     Form  No.  30 329 

Reveslonary  interests,  statement  of.     Form  No.  1,    Sch.  B  (4)   298,  295 

Revesting  Title — evidence  of.     Sec.   21  (g) 125 

Revestment  of  Title.     Sec.  70  d 250 

Review  by  Judge — how  had  of  referee's  findings.     Gen.  Ord.  XXVII  275 

records  in  to  be  made  by  referees.     Sec.  39  (a)  (5) 150 

Revoking  Discharge — evidence  of.     Sec.  21  (f) 125 

Right  of  Action— title  to.     Sec.  70  (a)  (6) 249 

Right  of  Trial  by  jury.     Sec.  19 119 

Ride  Nisi — against  trustees  for  defaults.     Gen.  Ord.  XVII 268 

on  creditors'  petition.     Form  No.  4 303 

Rules— may  be  modified  by  judge.    Gea.  Ord.  XXXVII 283 

8. 

Sale — by  auction,  petition  for.     Form  No.  42 340 

of  perishable  property.     Form  No.  46 344 

private,  petition  for.     Form  No.  45 343 

subject  to  lien,  petition  for.     Form  No.  43 341 

account  of  to  be  kept  by  trustee.     Gen.  Ord.  XVIII 269 

court  may  authorize  trustee  to  sell.     Gen.  Ord.  XVIII ......  269 

may  order,  when.     Gen.  Ord.  XVIII 269 

notice  of.     Sec.  58  (a)  (4) 185 

private  sales  when  made.     Gen.  Ord.  XVIII 269 

to  be  by  public  auction.     Gen.  Ord.  XVIII 269 

to  be  made  subject  to  approval  of  court.     Sec,  70  (b) 7  250 

without  approval  of  court,  when.     Sec.  70  (b) 250 

Schedules — bankrupt  shall  prepare  and  file.     Sec.  7  (8) 70 

examined  by  referees.     Sec.  39  (a)  (9) ,  151 

form  of,  of  accomodation  paper.     Form  No.  (1) ,  Sch.  (a)  (5) 

298,  291 

bills  and  notes.  Form  No.  (1),  Sch.  (a)  (4) .  .298,  290 
books,  etc.,     relating    to    bankrupt's    business. 

Form  No.  (1),  Sch.  (b)  (6) 298,  297 

chcfees  in  action.  Form  No.  (1),  Sch.  (b)  (3)  298,  294 
exempt  property.  Form  No.  (l),Sch.  (b)  (5)  298,  296 
personal  property.     Form  No.  (1),  Sch.  (b)  (2)  298,  293 

prior  claims.     Form  No.  (1),  Sch.  (a)  (1) 298,  287 

real  property.  Form  No.  (1),  Sch.  (b)  (1).  .298,  292 
reversions,     remainders,     etc.     Form     No.     (1), 


GENERAL   INDEX.  591 

PAGE. 

Schedules — Continued. 

Sch.  (b)  (4) 298,  295 

secured  creditors.     Form  No.  (1),  Sch.  (a)  (2)  298,  288 

statement  of  all  property  of  bankrupt.     Form 

No.  (1),  Sch.  (b) .298,  292-297 

unsecured    creditors.     Form    No.    (1),  Sch.     (a) 

(3) 298,  289 

how  framed.     Gen.  Ord.  V 260 

in  involuntary  bankruptcy.     Gen.  Ord,  IX 263 

petitioning  creditors  shall  file,  when.     Gen.  Ord.  IX 263 

when,  how  and  amend.     Gen.  Ord.  XI . . , 264 

Secrete — definition  of.     Sec.  1  (22) 9 

Secured  Claims — how  far  allowed.     Sec.  57  (e) 177 

not  entitled  to  vote.     Sec.  66  (b) 173 

Secured  Creditor.     Sec.  56  (b) 173 

Secured  Creditor — definition.     Sec.  1  (23) 9 

Secured  Debt — proof  of.     Form  No.  32 331 

Seciuities — determination  of  value.     Sec.  57  (h) 192 

Security — may  prove  debt  of  principal,  when.     Sec.  57  (1) 183 

Seizure  of  Property.     Sec.  3  (e) 46 

Servants — wages  of,  prior  claim.     Sec.  64  (b)  (4) 214 

Service  of  process.     Sec.  18  a 114 

expense  of  service.     Gen.  Ord.  XIX 267 

Set-offs — when  not  provable.     Sec.  68  (b)  (1) 238 

when  not  to  be  allowed.     Sec.  68  (b) 238 

when  obtained  to  gain  a  preference.     Sec,  68  (a)  (2) 238 

preferred  creditor  may  claim.     Sec.  68  b  (1)  (2) 238 

to  be  made.     Sec.  68  (a) 238 

Settlement  of  controversies,  when  and  how  had.     Gen.  Ord.  XXXIII  280 

estates,  arbitration  in.     Sec.  26 139 

Singular  Number — definition.     Sec.  1  (30) 11 

Solvency — (see  insolvency) .     Sec.  1  (15) 7 

burden  of  proof  of.     Sec.  3  (c) 44 

Special— letter  of  attorney.     Form  No.  21 322 

meeting  of  creditors.     Gen.  Ord.  XXII 273 

orders  modifying  practice.     Gen.  Ord.  XXXVII 283 

reference.     Sec.  22  (a)  (1) 126 

how  referee  compensated.     Sec.  40  c 154 

warrant  to  marshal.     Form  No.  8 307 

Specification  of  Opposition  to  Discharge.     Form  No.  58 356 

State  Courts— jurisdiction.     Sec.  23  (b) 127 

proceeding  in,  enjoined.     Gen.  Ord.  XII  (3) 266 

witnesses  may  be  stunmoned  before  judges  in  bankruptcy 

proceedings.    Sec.  21  (a) 123 


592  GENERAL  INDEX. 

PAGE. 

State  Insolvency  Laws — proceedings  begun  tinder,  not  affected  by- 
act 251 

State  Laws — concerning  exemptions  followed.     Sec.  67  (e) 227 

Statement  of  Debts.     Form  No.  1,  Sch.  A 208,  287-291 

trustee  must  make  in  detail.     Sec.  47  (a)  (7) 160 

States— definition.     Sec.  1  (24) 10 

Statistics  of  Bankruptcy  Proceedings.     Sec.  54  a 169 

Stay  of  Proceedings — when  granted.     Gen.  Ord.  VI 261 

Stenographers — employment  and  compensation.     Sec.  38  (5) 149 

SubpcEna  to  alleged  bankrupts.     Form  No.  5 304 

to  witness  and  return  on.     Form  No.  30 . . 329 

to  issue  out  of  court.     Gen.  Ord.  Ill 259 

Subrogation — of  securities.     Sec.  57  (i) 183 

when  trustee  entitled  to.     Sec.  67  (b) 222 

when  trustee  has  right  of  to  lien.     Sec.  67  (c)  (3) 223 

Substitution  of  Parties,     Sec.  2  (6) 19 

Subsequent  Dividends — (see  dividends).     Sec.  65  (b) 218 

meetings  of  creditors.     Sec.  55  (b) 172 

Stiits  by  and  against  bankrupt.     Sec.  11 78 

Sunmiary — hearing  on  contempts.     Sec.  41  (b) 155 

of  debts  and  assets.     Form  No.  1,  Sch.  A.  B 298,  287-297 

Summons  to — issue  out  of  court.     Gen.  Ord.  Ill 259 

witness.     Form  No.  30 • 329 

Svmday,  when  excluded.     Sec.  31 142 

Supreme  Court  U.  S.— appeal  to.     Gen.  Ord.  XXXVI  (2) 282 

appeals  to.     Sec.  25  (b) 137 

Surety — ^may  prove  claim.     Sec.  57  (i) 183 

Sureties  on  Bond — by  whom  approved.     Sec.  69  (a) 239 

must  show  solvency.     Sec.  50  (d) 165 

two  required.     Sec.  50  (e) 165 

Surrender  of  Preferences  Required.     Sec.  57  (g) 178 

T. 

Taxes  must  be  paid.     Sec.  64(b) . 211 

not  discharged.     Sec.  17(a)  (1) T 106 

Term  of  office  referees  two  years.     Sec.  34(a)  (1) 145 

Territory — appeal  to  Supreme  Court  of.     Gen.  Ord.  XXXVI  (1)  ....  282 

Territories — what  included  in  definition.     Sec.  1  (24) 10 

Testimony — expenses  of.     Gen.  Ord.  XXII 264 

of  bankrupt  not  to  be  used  in  criminal  proceedings.     Sec.  7(9) .  72 

taking  of.     Gen.  Ord.  XXII 273 

Time — computation  of.     Sec.  31 142 

for  appeals.     Gen.  Ord.  XXXVI 281 

of  bankruptcy.     See  date  of  bankruptcy,  Sec.  1  (10) ? . . . .  S 


GENERAL  INDEX.  593 

PAGE. 

Time — Continued . 

when  act  takes  effect.     Sec.  71  (a) 251 

petition  may  be  filed.     Sec.  3(b) 7 42 

Title  to  property.     Sec.  70 T 241 

bankrupt's  property  to  vest  in  trustee.    Sec.  70(a) 241 

documents  relating  to  bankrupt's  property.     Sec.  70(a)  (1).  .  T  241 
insurance  policy  with  cash  sturender  value.    Sec.  70a  (5) 

how  proved  , T 7 243 

interest  in  patents,  patent  rights,  etc.     Sec.  70(2) ...  7 241 

powers  which  bankrupt  might  exercise  for  his  own  benefit. 

Sec.  70(a)  (3) 242 

property  transferred  in  fraud  by  bankrupt.     Sec.  70(a)  (4) . .  .7    24 
property  which  might  have  been  transferred  and  sold  by  bank- 
rupt.    Sec.  70(a)  (5) 243 

rights  of  action  on  contract.     Sec.  70(a)  (6) ....  7 249 

when  to  revest  in  bankrupt.     Sec,  70(f) .  . .  7 251 

Title  to  vest  in  trustee — as  of  what  date.     Sec.  70(d) ..  7 250 

vests  in  trustee,  as  of  date  of  adjudication.     Sec.  70(a) 241 

Trade-marks — title  to  passes  to  trustee.     Sec.  70(a)  (2) 241 

Trading  corporations.     Sec.  4(b) 7 48 

Transfer— definition.     Sec.  1  (25) 10 

when  to  be  avoided  by  trustee.     Sec.  70(f) 251 

when  a  preference.     Sec.  60(a) T 192 

Transfer  of  cases — power  of  court.     Sec.  2(19) T 30 

where  petitions  in  different  districts.     Sec.  32 . .  7 143 

from  one  district  to  another.     Gen.  Ord.  VI 7 261 

from  one  referee  to  another.     Sec.  22(b) ...  7 126 

Transfers  by  bankrupt — when  void.     Sec.  67(e) 7 227 

Transmission  of  proved  claims  to  clerk.      Gen.  Ord.  XXIV . .  7 274 

Treasurer  of  corporation,  to  prove  claim,  when.     Gen,  Ord,  XXI  (1)  .  270 

Trial  by  jury — order  for.     Form  No.  7 . .  7 306 

Trustee's  accotmts  in  partnership  cases.     Sec,  5(d) 55 

accovmt.     Form  No.  49.  ...  7 347 

Trustee,  accounts  and  papers  of.     Sec.  49 164 

appointment  of.     Gen.  Ord.  XIII 267 

by  creditors.     Form  No.  22 323 

power  to  make.     Sec.  2  (17) 7  29 

by  referee.     Form  No,  23 324 

by  creditors.     Sec.  44 7 156 

bond  of.     Form  No.  25 326 

bond  of,  order — approving.     Form.  26.  , . .  7 327 

certified  copy  of  order  approving  bond.     Sec.  21  (e) 125 

clerk  to  pay  fee  to.    Sec.  51(4>., , 168 


594  GENERAL  INDEX. 

PAGE. 

Trustee — Codtinued . 

compensation  of.     Gen.  Ord.  XXXV ? 281 

compensation  of.     Sec.  48 162 

compromise  by.     Sec.  27 ? 139 

court  may  order  appointment  of.    Gen.  Ord.  XV 267 

creation  of,  office.     Sec.  33 " 145 

definition.     Sec.  1(26) 11 

duties  of.     Gen.  Ord.  XVII 268 

accovmt  for  interest.     Sec.  42(2) ... '. 159 

close  up  estate.     Sec.  47(3) 159 

deposit  money  in  depository.     Sec.  47(3) 159 

disburse  money  by  check  or  draft  on  depository. 

47(4) 160 

final  report  and  account.     Sec.  47(8) 7 160 

furnish  information.     Sec.  47(5) 160 

keep  accounts.     Sec.  47(6) 160 

pay  dividends.     Sec.  47(9) 160 

set  apart  exemptions.     Sec.  47(11) 161 

statement  of  Adm.     Sec.  47(7) 160 

when  to  report.     Sec.  47(10) 160 

final  accovmt  and  discharge  of.     Sec.  2(8) 23 

failure  to  give  bond.     Sec.  50  (k) 166 

joint  bonds.     Sec.  50  (j) 166 

may  avoid  transfers  when.     Sec.  70(e) 250 

make  application  for  leave  to  submit  controversy  to 

arbitration.     Gen.  Ord.  XXXIII 280 

petition  to  redeem  property.     Gen,  Ord.  XXVIII.  . . .  7 . .  276 
recover  money  paid  attorney  by  bankrupt,  when.     Sec. 

60(d) 202 

no  general  or  official  trustee  to  be  appointed,    (yen.  Ord.  XIV .  267 

not  appointed  in  certain  cases.     Gen.  Ord.  XV 267 

not  required  to  give  bond  on  appeal.     Sec.  25(c) ....  7 138 

notice  of  appointment.     Gen.  Ord.  XVI 268 

notice  of  petition  for  removal.     Form  No.  53 350 

Form.  No.  24 325 

oath  to  final  account  of.     Form  No.  50 348 

order  allowing  account  and  discharge  of .     Form  No.  61 349 

order  for  choice  of  new.     Form  No.  54 351 

order  for  choice  of  new.     Form  No.  55 352 

offenses  by,  punishment.     Sec.  29(a) 140 

Sec.  29  (c)  (3) 141 

order  that  none  be  appointed.     Form  No.  27 327 

petition  for  removal  of.     Form  No.  52 349 

preparation  and  fiUng  of  inventory  by.     Gen.  Ord.  XVII. .....  268 


GENERAL   INDEX.  595 

PAGE. 

Trustee — Continued . 

qualification  of.     Sec.  45 158 

removal.     Sec.  2  (17) 29 

removal  of.     Gen.  Ord.  XIII 267 

record  kept  of  money  paid  out  by.     Gen.  Ord.  XXIX 277 

recover  bankrupt's  property.     Sec.  70(e) 250 

report  of  exempt  property.     Form  No.  47 345 

report  in  compliance  with.     Sec.  47.     Gen.  Ord.  XVII 268 

takes  title  to  property  when  composition  set  aside.lL  Sec.  70(d)  250 

takes  title  to  property  when  discharge  revoked.     Sec.  70(d) .  . .  250 

to  convey  title  to  property  to  purchaser.     Sec.  70(c) 250 

to  have  title  to  certain  property.     Sec.  70 241 

to  pay  unclaimed  dividends  into  court.     Sec.  66(a) 219 

vacancy  in  office  of.     Gen.  Ord.  XXV '." 275 

when  conveyed  property  passes  to.     Sec.  67(e) 227 

may  preserve  lien  for  estate.     Sec.  67(f) .  .. .'. 229 

subrogated  to  rights  of  creditor.     Sec.  67(b) 222 

where  may  sue.     Sec.  23(b) 127 

who  appoints  in  partnership  cases.     Sec.  5(b) 54 

return  of  no  assets.     Form  No.  48 346 

bond  limitation.     Sec.  50(m) 166 

bonds — who  to  fix  amount.     Sec.  50(c) 165 

bonds  of.     Sec.  50(b) 165 

death  or  removal  of.     Sec.  46 158 

duties  of.     Sec.  47 158 

Two  years  limitation  of  suits.     Sec.  50  (1)  (m) 166 

U. 

Unclaimed  dividends — (see  Dividends) .     Sec.  66 219 

Unliquidated  claims — how  liquidated.     Sec.  63  (b) 209 

United  States  Circuit  Courts  (see  Circuit  Courts.)     Sec.  23  (a) 126 

United  States  Courts — judges,  clerks  and  referees 506 

United  States  Equity  Rules 381 

Answers. 373-381 

amendment  of 381 

exceptions  to 381 

Appearance 366 

Bills,  amendment  of 370 

cross 388 

frame  of 367 

nominal  parties  to 377 

parties  to  revivor  and  supplemental 380 

stockholders  of  corporation 395 

taken  pro  confesso 366 


596  GENERAL  INDEX, 

PAGE. 

United  States  Equity  Rules — Continued. 

cross-bills 388 

Decrees 392 

Demurrers  and  pleas 372 

English  chancery  practice — to  govern  when 394 

Exceptions  to  answers 381 

to  report  of  master.  .  . ;' 392 

Form  of  the  last  interrogatory. 388 

Frame  of  bills 367 

Guardians  and  prochein  ami  393 

Injimctions 394 

Issue 383 

Masters 388 

Nominal  parties  to  bills 379 

Parties  to  bills 377 

Pleas.  .  ; 372 

PreUminary  regulations. 361 

Proceedings  before  masters 388 

Process 363 

service  of.  .  .7 365 

Pro  confesso  bills  taken 366 

Reference  to  and  proceedings  before  masters 388 

RepUcation  and  issue 383 

Report  of  master,  exceptions  to.  .  .  .7 392 

Revivor,  bills  of . 380 

Service  of  process 365 

Stockholders  of  corporation,  bills  by.  .  .  .". 395 

Testimony  De  Bene  Esse 387 

how  taken 383 

V. 

Vacancy  in  office  of  referee — ^how  filled.     Sec.  43  (a) 156 

Vacancy  in  office  of  trustee.     Gen.  Ord.  XXV 275 

Value  of  securities,  how  ascertained.     Sec.  57h 182 

Verification  of  pleadings.     Sec.  18  (c) 116 

Vesting  of  title  in  trustee.     Sec.  70  (a) 241 

Violation  of  act — jurisdiction  to  pvmish.     Sec.  2  (4) .  .  .7 18 

Voluntary  bankrupt.     Sec.  4  (a) 47 

petitions,  adjudication  on.     Sec.  18  (g) ...  7 119 

Voluntary — who  may  file  petition  for.     Sec.  59  (a) 187 

Voters  at  creditors'  meetings.     Sec.  56a 171 

creditors  with  security,  not.     Sec.  56  (b) 173 

Vouchers — when  referee  to  give.     Gen.  Ord.  XXVI.  .  .7 276 


GENERAL  INDEX.  597 

W. 

PAGE. 

Wage-earner — definition.    Sec.  1  (27) 11 

may  not  be  made  involtmtary  bankrupt.     Sec.  4  (b) 48 

Wages — when  prior  claim.     Sec.  64  (b)  (4) 214 

Warrant  to  marshal — special.     Form  No.  8 307 

to  seize  property  of  involuntary  bankrupt  when  may  issue. 

Sec.  69  (a) 239 

Who  may  become  bankrupts.     Sec.  4 47 

Witness — examination  of    Form  No.  29 328 

fees  and  mileage.     Sec.  41  (a)  (4) 154 

fees  of,  prior  claim.      Sec.  64  (b)  (2) 211 

summons  to.     Form  No.  30 329 

when  not  compelled  to  attend  before  referee.     Sec.  41  (a)  (4)   154 

Witnesses — examination  of.     Gen.  Ord.  XXII 273 

Women,  see  Gender.     Sec.  1  (28) 11 

Words— definition.     Sec.  1  (28)  (29)  (30) -  11 

Workmen — wages  of,  prior  claim  when.     Sec.  64  (b)  (4) 214 

Writ  of  habeas  corpus — when  to  issue.     Gen.  Ord.  XXX. 277 

Written  instrument — debt  founded  upon, provable.     Sec.  63  (a)  (1)  205 


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